BRE Properties reports first fiscal quarter results; Declares quarterly dividend.

SAN FRANCISCO--(BUSINESS WIRE)--Nov. 22, 1994--BRE Properties Inc. (NYSE: BRE) Tuesday reported funds from operations of $7,241,000, or 66 cents per share, for the fiscal quarter ended Oct. 31, 1994, up 10% from $6,567,000, or 60 cents per share, in the comparable quarter a year ago.

Net income for the quarter amounted to $5,457,000 or 50 cents per share, versus $4,993,000, or 46 cents per share, in the like period last year.

BRE also declared a quarterly dividend of 60 cents per share, payable Dec. 22, 1994, to shareholders of record Dec. 5, 1994.

Arthur G. von Thaden, president and chief executive officer, said, "The expansion of BRE's apartment sector continues to provide a substantial boost to our results. Rental income, which accounts for 96% of total revenue, was 16% higher than a year ago. Rents from apartments owned two years or more rose 3%, and recent acquisitions contributed $2,300,000 to rental income in the first quarter. Apartment occupancy was 95% at the end of the quarter.

"Occupancy and rental income also increased at BRE's shopping center properties," von Thaden said. "The addition of several strong tenants at The Hub Shopping Center in Fremont, California has raised occupancy to 95%, from 89% in the last three months.

"We are moving forward with our $51.8 million acquisition, announced in September, of a portfolio of seven apartment communities totaling 1,301 units in Tucson, Arizona," von Thaden stated. "Thus far, the purchase of four of the seven has been completed. In addition, we have signed an agreement to develop a 432-unit apartment community in Phoenix, Arizona, which we anticipate will be completed by mid-1996."

BRE Properties is a self-administered equity real estate investment trust which owns and operates garden apartments, shopping centers and other income-producing properties in California, Washington, Arizona and Oregon. Apartment communities and shopping centers represent 75% and 14%, respectively, of the portfolio's estimated current fair value.

Founded in 1970, BRE has paid a quarterly dividend to shareholders for 97 consecutive quarters. Common shares of the company are traded on the New York Stock Exchange.

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                         BRE Properties Inc.
                         Financial Summary

Quarter ended Oct. 31                   1994          1993

Total revenue                        $14,689,000     $12,740,000
Net income                             5,457,000       4,993,000
Per share net income                    50 cents        46 cents
Funds from operations (1)              7,241,000       6,567,000
Per share funds from operations         66 cents        60 cents
Average shares outstanding            10,931,969      10,938,015

(1)  Funds from operations is defined as net income, excluding gains
or losses, plus depreciation and amortization.

CONTACT: BRE Properties Inc.

              Ellen G. Breslauer, 415/445-6550
              Healy Partners & Company
              Maury Healy, 415/546-6166