Acquisition of the Holiday Inn Express Edinburgh City Centre International Hotel Properties Limited (previously International Hotel Group Limited) (Incorporated in the British Virgin Islands) (Company number 1862176) JSE share code: IHL ISIN: VGG487261064 (“IHL” or the “Company”) ACQUISITION OF THE HOLIDAY INN EXPRESS EDINBURGH CITY CENTRE IHL, the hotel and leisure focused property Investment Company, announces that on 13 January 2017 it completed on the acquisition of the Holiday Inn Express Edinburgh City Centre for the purchase price of GBP17.7 million plus costs. The property adds a further 161 hotel bedrooms and takes IHL’s portfolio to nine hotels with a total of 1,135 bedrooms. The purchase price was partly settled through GBP9.6 million of existing cash reserves with the balance raised through debt funding with Santander, which will increase the loan to value ratio for the Company’s total portfolio to 51%. Edinburgh is a major tourist destination and is one of the UK’s most popular conference destinations outside of London. Occupancy and daily rates for the hotel peak during the month of August and are supported by a consistent corporate demand, resulting in a RevPAR (Revenue Per Available Room) in excess of £70, which is among the highest in the UK. Jon Colley, IHL’s Chief Executive Officer, said: “This is a high-quality asset in the most stable hotel market in the UK, outside of London, and is an excellent addition to IHL’s growing portfolio. The hotel, which will continue to operate under a franchise agreement with IHG and a management agreement with RBH, consistently trades at a very high occupancy and is a mature, stable business having been in operation for over 12 years. The hotel also has the potential for the addition of extra hotel rooms, which management are exploring. The acquisition underpins IHL’s investment strategy and business plan of investing in good quality hotels in strong locations with international brands that have the potential to deliver consistent cash returns to shareholders.” For further information, please contact: M Partners Luxembourg listing agent +352 263 868 602 Java Capital JSE sponsor +27 (0) 11 722 3050 FTI Consulting South African Public Relations Advisor Sherryn Schooling +27 (0) 21 487 9027 Company Secretary Osiris Secretarial Services Ltd +1 (284) 494 9820 Notes to editors: IHL is a hotel and leisure focused property Investment Company that owns nine hotels in the UK. The Company’s shares are currently listed on the Euro MTF market of the Luxembourg Stock Exchange, which constitutes its primary listing, and on the AltX of the JSE which constitutes its secondary listing. 16 January 2017 Date: 16/01/2017 08:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.