FORTRESS REIT LIMITED - Update regarding riots and civil unrest

Update regarding riots and civil unrest

FORTRESS REIT LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 2009/016487/06)
JSE share codes:    FFA ISIN: ZAE000248498
                    FFB ISIN: ZAE000248506
Bond Company code:  FORI
LEI: 378900FE98E30F24D975
(Approved as a REIT by the JSE)
(“Fortress” or “the Company”)


UPDATE REGARDING RIOTS AND CIVIL UNREST


Shareholders and noteholders are advised that as at 15 July 2021, the following properties were impacted by the riots
and civil unrest:

-     Cornubia Ridge Logistics Park (Cornubia, KwaZulu-Natal): We unfortunately had extensive fire damage to our
      newly developed co-owned (50,1%) logistics building of 23 727m2 at the park;
-     Biyela Shopping Centre (Empangeni, KwaZulu-Natal): This centre was looted and has suffered a degree of
      structural damage due to a fire;
-     Evaton Mall (Evaton, Gauteng): This mall was extensively looted over the past few days. However, damage
      was restricted mostly to non-structural elements, including shopfronts;
-     Palm Springs Shopping Centre (Orange Farm, Gauteng): This centre was looted and suffered several small
      fires in individual shops, all of which were contained and extinguished;
-     336 West Street (Durban, KwaZulu-Natal): The roof of this building collapsed due to a fire and remains closed;
-     Tembi Mall (Tembisa, Gauteng): One shop measuring 113m2 was looted and damage was mostly contained to
      non-structural elements and shopfronts; and
-     Yarona Shopping Centre (Tembisa, Gauteng): This centre was looted and has sustained non-structural fire
      damage.

The events of the past week mostly affected properties in KwaZulu-Natal and some areas of Gauteng, with the
majority of our property portfolio unaffected. A total of 7 properties in our portfolio of 264 buildings were impacted.
Fortunately, no staff or service providers were injured during the riots.

Our unaffected retail properties in KwaZulu-Natal are currently open, albeit for limited trading, given that essential
goods and services currently need to be supplied as far as possible to communities impacted by the civil unrest and
riots.

We express our sincere appreciation to all our on-site centre management, staff and security providers who have
shown their commitment and dedication well beyond expectations to ensure damage and losses were contained as far
as possible. We welcome the deployment of the SANDF and SAPS to affected areas to contain further damage to
property and also wish to thank those community members who have volunteered to assist in clean-up operations.

At this time, management and our assessors are quantifying the damage to our properties, but this is well within the
limits of our insurance cover, which includes cover for loss of income.

Stakeholders will be kept informed of further information.

16 July 2021


Lead sponsor                  Joint sponsor                                   Debt sponsor
Java Capital                  Nedbank Corporate and Investment Banking        Rand Merchant Bank
                              (a division of Nedbank Limited)                 (a division of First Rand Bank Limited)
                              
Date: 16-07-2021 10:22:00
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