Affirmation of credit rating by GCR and change of credit rating by Moody’s 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 (Approved as a REIT by the JSE) ("Fortress" and "the Company") AFFIRMATION OF CREDIT RATING BY GCR AND CHANGE OF CREDIT RATING BY MOODY'S Security holders are advised that Global Credit Ratings Company Limited ("GCR") on 1 April 2019 affirmed the Company's national scale issuer rating at AA-(ZA) and A1+(ZA) for the long-term and short-term respectively; with a stable outlook. GCR's full report is available online at https://globalratings.net/news/article/gcr-affirms-fortress-reit- limiteds-rating-at-aa-za-stable-outlook1 Security holders are further advised that Moody's Investor Services Inc ("Moody's") has downgraded Fortress' long- term Baa3 issuer rating to a corporate family rating ("CFR") of Ba1 as well as the short-term rating to Not Prime from Prime-3 (P-3). Concurrently, Moody's has assigned a long-term CFR national scale rating of Aa3.za and has withdrawn Fortress' long-term Aa1.za national scale issuer rating, whilst it has affirmed the short-term national scale rating of Prime-1.za. Moody's rating outlook is negative. The full report is available online at https://www.moodys.com/research/Moodys-downgrades-Fortress-REIT-Limited-to-Ba1Aa3za-outlook-negative--PR_399150 In its report, Moody's bases its re-rating on the view that investor sentiment is negative in respect of the ongoing Financial Sector Conduct Authority ("FSCA") investigation relating to trading in Fortress shares in 2017-2018, notwithstanding that the FSCA has publicly stated that the investigation is not into the affairs of Fortress, but into trading in Fortress shares and that the FSCA has closed its investigation relating to the possibility of insider trading in Fortress shares. Moody's is of the view that the ongoing FSCA investigation will curtail Fortress' access to the capital markets. This view, coupled with Moody's approach to assessing liquidity, which includes Fortress' ability to meet its funding requirements on the assumption that it will not have access to any new funding over the next 12 months, results in Moody's concluding that Fortress would not have sufficient cash and undrawn credit lines to cover upcoming debt repayments, on the assumption that no maturing debt is refinanced. Fortress is of the view that Moody's approach is excessively conservative given that Fortress has successfully refinanced all bank debt maturing in the last 12 months, to the value of R 2.46 billion, and has raised new secured facilities of R1.92 billion, R450 million of which will be applied in redeeming bonds maturing in May and June 2019. Moody's has noted Fortress' successful refinancing of matured bank debt and its solid access to a diversified group of local banks. Moody's negative outlook reflects the risks related to the refinancing of debt becoming due in the next 12 months. 24 April 2019 Debt sponsor Lead sponsor Joint sponsor RAND MERCHANT BANK Java Capital Nedbank Corporate and Investment Banking (A division of FirstRand Bank Limited) Date: 24/04/2019 05:30:00 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.