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REALTY ReFUND TRUST TO ACQUIRE TWO PARTNERSHIPS

 REALTY ReFUND TRUST TO ACQUIRE TWO PARTNERSHIPS
 CLEVELAND, Dec. 30 /PRNewswire/ -- Realty ReFund Trust (NYSE: RRF)


announced today that it has entered into a definitive agreement to acquire two real estate limited partnerships in merger transactions valued at approximately $204 million, including $114 million of existing mortgage debt of the partnerships.
 Realty ReFund will acquire Lepercq Corporate Income Fund L.P. (LCIF I) and Lepercq Corporate Income Fund II L.P. (LCIF II). In the transaction, the limited and general partners of these partnerships will receive an aggregate of approximately 5.5 million common shares of Realty ReFund Trust for their partnership interests. Realty ReFund currently has approximately 1,020,000 shares outstanding.
 This acquisition has been approved unanimously by Realty ReFund's Board of Trustees which has recommended its approval by shareholders. Robert A. Stanger & Co. has advised Realty ReFund in a preliminary fairness opinion that this transaction is fair from a financial point of view for the shareholders of Realty ReFund.
 Alan M. Krause, chairman and co-chief executive officer of Realty ReFund Trust, said, "In January 1990, our Board of Trustees asked us to explore real estate equity investment opportunities. This transaction will implement the Trustees' wishes in a major way by enabling us to acquire in a single transaction 22 fully occupied, income producing properties in 15 states."
 Krause continued, "With this acquisition, Realty ReFund will increase substantially its asset base and its capital base. This acquisition will give us the size and capital needed to continue our Trustees' desire for portfolio growth as well as portfolio diversity."
 Krause added, "For the last three years, we have paid a quarterly dividend of $.43 per share or an annual dividend of $1.72 per share and we have not missed a quarterly dividend since our inception in 1971. Based upon our assumptions as to future cash flows of the partnerships and our existing mortgage portfolio, we believe we will be able to achieve our objective of maintaining this dividend rate for the foreseeable future on the substantially greater number of Realty ReFund shares which will be outstanding following this acquisition."
 The transaction is subject to, among other conditions, the approval of the shareholders of Realty ReFund and to the approval of limited partners owning a majority of the units of each class of the partnerships. Realty ReFund said a proxy statement/prospectus will be filed with the SEC promptly and that it expects to complete the transaction by mid-1992.
 LCIF I owns properties in 13 states and its tenants and/or guarantors include: American National Can Co., Hartford Fire Insurance, Honeywell, Health & Tennis Corporation of America, Tenneco, White Consolidated, Ross Stores, Fred Meyer Stores, and Federal Express. LCIF II owns properties in nine states and its tenants and/or guarantors include: Time, Fred Meyer Stores, Unijax, Dun & Bradstreet Software Services, Circuit City Stores, and Valley National Bank.
 Realty ReFund Trust is a real estate investment trust which is currently invested primarily in wrap-around real estate mortgages and is headquartered in Cleveland, Ohio. Its shares of beneficial interest are traded on the New York Stock Exchange.
 -0- 12/30/91
 /CONTACT: Christine Witter of Realty ReFund Trust, 216-771-7663/
 (RRF) CO: Realty ReFund Trust ST: Ohio IN: FIN SU: TNM FC -- NY006 -- 2797 12/30/91 09:53 EST
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Publication:PR Newswire
Date:Dec 30, 1991
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