Romulus High Income Fund

Romulus was launched in the spring of 2005, with the objective of providing a relatively high income through investing in business centres, also known as serviced offices.  The Fund had a period of twelve months, starting from the closing date of the offer, in which to invest net funds raised.  The Fund has minimum life of five years.  Following the expiry of this period, investors will be asked to vote upon whether or not the Fund should continue.

The Fund currently owns four business centres, in Coventry, Leeds, South West London and Clotheroe which were purchased for a toal consideration of £16.8 million, plus associated acquisition costs.  The Fund distributes income to investors on a quarterly basis.  The target income level is 7.25% per annum*.  The current distribution rate of income is approximately 4% per annum**.  The Fund manager continues to work closely with the property operators to improve the overall performance of the Fund.

In February 2008 a resolution to sell the property was approved by investors.  Close Investments Limited is proceeding with the negotiation for the sale of the property on behalf of the Fund.  However there is a complex due diligence process still to be completed and therefore a sale is not guaranteed.

Key Facts
Launch Date	Spring 2005
Activity	Investment
Equity	£11.0m
Original Fund Size	£18.1m
* No assurance or guarantee can be given that targeted returns will be acheived. ** The performance information set out opposite refers to the past.  Past performance is not a reliable indicator of future results.