BR Properties S.A. announced the commencement of a cash tender offer to purchase up to an aggregate amount of $100 million (such amount, as the same may be increased in the sole discretion of BR Properties, the Maximum Tender Amount) of the outstanding $285 million aggregate principal amount of its 9.00% Perpetual Notes. The terms and conditions of the Tender Offer are described in BR Properties' Offer to Purchase and the related Letter of Transmittal, each dated January 20, 2016. Subject to the Maximum Tender Amount and the other terms and conditions described in the Offer to Purchase and the Letter of Transmittal, the Tender Offer will expire, unless earlier terminated by BR Properties in its sole discretion on February 17, 2016, unless extended by BR Properties (such time and date, as the same may be extended, the Expiration Date).

The Total Consideration for each $1,000 principal amount of the Notes validly tendered (and not validly withdrawn) at or prior to the Early Tender Date and accepted for purchase pursuant to the Tender Offer will be $852.50. The Total Consideration includes an early participation payment equal to $30.00 for each $1,000 principal amount of the Notes validly tendered (and not validly withdrawn) at or prior to the Early Tender Date and accepted for purchase pursuant to the Tender Offer (the Early Participation Payment). Holders of the Notes who tender Notes after the Early Tender Date but at or prior to the Expiration Date and whose Notes are accepted for purchase will not be entitled to receive the Early Participation Payment and will therefore be entitled to receive, for each $1,000 principal amount of Notes tendered, $822.50, which is an amount equal to the Total Consideration less the Early Participation Payment.

In addition to the applicable consideration, accrued and unpaid interest on the purchased Notes will be paid from the last interest payment date to, but not including, the applicable settlement date for such purchased Notes. The settlement dates for the Tender Offer will follow three business days after the Early Tender Date and Expiration Date, respectively.