Orchid Developments Group Ltd
11 December 2007



                       Orchid Developments Group Limited



                       Update regarding Grand Mall Varna



Orchid Developments Group Limited, ('Orchid' or 'the Company'), an established
property developer in Bulgaria, is pleased to announce it has been granted a
construction permit for the Orchid MultiUse Complex, which includes the Grand
Mall Varna, and has secured the financing required for the development.



Excavation and shoring works for the Orchid MultiUse Complex, which is part of
the largest multi use complex in Varna, comprising in total 80,000 sqm of
shopping and entertainment space, 51,000 sqm of commercial space and 1,650
parking places, are ongoing and are expected to complete by the end of February
2008. The construction permit allows building work to commence. In September
2007, Orchid signed a 30 year anchor tenant agreement with Carrefour for the
Grand Mall section of the development, and in addition approximately 34% of the
lettable space is now either under pre-lease or advanced negotiations.
Construction of the Mall and office tower is expected to begin in Q1 2008, and
will take approximately 24 months.



The financing of the development of the Orchid MultiUse Complex is to be
facilitated by a loan of approximately Euro 107 million through OTP Bank Nyrt
and MKB Bank Zrt. and their Bulgarian subsidiaries (DSK Ead  and MKB Union
banks). The loan is for a period of 20 years and is on a non-recourse basis.



Guy Meyohas, joint CEO of Orchid, commented:



'Orchid welcomes the grant of our construction permit which marks a further step
in the development of the Orchid MultiUse Complex. The complex has been designed
to the highest international standards and has generated a great deal of
interest. We look forward to progressing with the construction and welcoming
international retailers to the most attractive retail space in Bulgaria.'



Enquiries:

Orchid Developments

Guy Meyohas                                       +359 2 981 9955



Shore Capital and Corporate Limited

Graham Shore                                      +44 20 7408 4090

Dru Danford



Citigate Dewe Rogerson

Sarah Gestetner                                   +44 20 7638 9571

Fiona Mulcahy

Nicola Smith


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