BUY TO SELL

The state of the property market in Poland relates well to the state of the country's economy. In recent years Poland's economic activity has been dramatically increasing and the property market is likewise experiencing blossoming growth. Demand for apartments in Poland has been rising rapidly since 2004 - the year of accession to the EU. At the same time, the value of flats in most Polish cities has increased by approx 20% pa, which firmly places real estate investments among the most profitable markets in Europe.

Average price pln/sqm	February 2006	September 2006	Change rise in price (as a percentage)
Cracow	4 401	6 275	42.5%
Trojmiasto	3 822	4 804	25.7%
Warsaw	4 987	6 561	31.5%
Wroclaw	4 366	6 211	42.2%
Poznan	3 500	4 096	17%

BUY TO LET

According to data provided by independent local governmental departments, 2005 saw 50,000 people emigrate to the three largest cities in Poland - Cracow, Warsaw and Wroclaw. This intensive migration resulted in considerable and sustained demand for the available lettings. Depending on the location, a monthly profit from rent in 2005 varied between xxxx and xxx pln, (without consideration of the 'top end of the market' apartments); the rental income varied from 10,000 to 20,000 pln per month

	Warsaw	Cracow	Wroclaw
2-bedroom apartment/economy standard/estimated rent rate per month	1 120 - 1 700 PLN	900 - 1 570 PLN	xxx

On request, G&S Real Estate Poland arranges property rental, which includes the following:

• rental advertisements
• presentation of rental offers to prospective tenants
• signing-up of residential tenants under short-term tenancy agreements
• rental income agreements with owners (to be discussed and finalised 'case-by-case')
• property management and maintenance during the tenancy period
• additional services to be discussed if/when the owner requires