HACKENSACK, NJ, June 9, 2017 – First Real Estate Investment Trust of New Jersey (“FREIT”) reported its operating results for the six and three months ended April 30, 2017. The results of operations as presented in this earnings release are unaudited, and are not necessarily indicative of future operating results.

RESULTS OF OPERATIONS

Year-to-Date (“YTD”) Results (Per share represents basic and diluted share amounts)

Second Quarter (“QTD”) Results (Per share represents basic and diluted share amounts)

Table of Revenue & Net Income Components

(a) Expense for lease termination fee paid to Macy's to terminate the lease and take possession of the space at the Preakness Shopping center located in Wayne, NJ

Dividend

In our Shareholder Letter that was delivered with the 2016 Annual Report, we shared our strategy to position the Trust for long-term financial strength. To execute upon the strategy, we prioritize investment when opportunity avails. To that end, we elected to buy out the Macy’s lease at the Preakness Shopping Center located in Wayne, New Jersey, which provided for rental rates that were significantly below current market rents with no rent escalation for the remaining term and option periods of the lease. The loss of rental revenue from the Macy’s space will result in some short-term disruption to our revenue and earnings. However, our buyout of this lease provides us the opportunity to recognize increased revenue by re-leasing the space at higher rents and enhance the overall tenant mix at the Preakness Shopping Center, which furthers our strategy of pursuing long-term value creation.

Longer term, we expect the Trust to benefit from substantially improved cash flow both at the Preakness Shopping Center and the Rotunda, where we are currently in the rent up period (as of May 26, 2017, we are approximately 63% leased in the apartments and approximately 71% leased in the ground level retail). We are encouraged that Rotunda apartment units are leasing at a rate faster than originally anticipated, accelerating our expected stabilization. However, known vacancies and capital commitments continue to pressure revenues, earnings and cash flow this year. In addition, uncertainty in the retail environment could affect our revenues. Accordingly, the Board did not declare a dividend for the second quarter in order to give the Trust more flexibility with its liquidity to navigate the challenges we are facing in 2017. Delivering value to shareholders remains a paramount objective for the Board and the Trust. The Board will continue to evaluate the dividend on a quarterly basis.

Adjusted Funds From Operations

FFO is a non-GAAP measure defined by the National Association of Real Estate Investment Trusts (“NAREIT”). Although many consider FFO as the standard measurement of a REIT’s performance, FREIT modified the NAREIT computation of FFO to include other adjustments to GAAP net income that are not considered by management to be the primary drivers of their decision making process. These adjustments to GAAP net income are straight-line rents and recurring capital improvements on FREIT’s residential apartments.

The modified FFO computation is referred to as AFFO. FREIT believes that AFFO is a superior measure of our operating performance. We compute FFO and AFFO as follows:

FFO and AFFO do not represent cash generated from operating activities in accordance with accounting principles generally accepted in the United States of America, and therefore should not be considered a substitute for net income as a measure of results of operations or for cash flow from operations as a measure of liquidity. Additionally, the application and calculation of FFO and AFFO by certain other REITs may vary materially from that of FREIT, and therefore FREIT’s FFO and AFFO may not be directly comparable to that of other REITs.

The statements in this report that relate to future earnings or performance are forward-looking. Actual results might differ materially and be adversely affected by such factors as longer than anticipated lease-up periods or the inability of tenants to pay increased rents. Additional information about these factors is contained in the Trust’s filings with the SEC including the Trust’s most recent filed report on Form 10-K and Form 10-Q.

First Real Estate Investment Trust of New Jersey is a publicly traded (over-the-counter – symbol FREVS.) REIT organized in 1961. It has approximately $367 million (historical cost basis) of assets. Its portfolio of residential and commercial properties extends from Eastern L.I. to Maryland, with the largest concentration in Northern New Jersey.

For additional information contact Shareholder Relations at (201) 488-6400

Visit us on the web: www.freitnj.com