10 September 2021

Palace Capital PLC

("Palace Capital" or the "Company")

Dividend Declaration

Palace Capital (LSE: PCA), the Main Market REIT that has a UK regional commercial real estate portfolio focused on the office and industrial sectors in carefully selected locations outside of London, is pleased to announce that it will pay a quarterly dividend, in respect of the three months ended 30 June 2021 of 3 pence per ordinary share. The entire dividend will be paid as a Property Income Distribution.

The dividend will be paid on 15 October 2021 to shareholders on the register as at 24 September 2021. The ex-dividend date will be 23 September 2021.

For further information, contact:

Joint Broker

Numis Securities

Heraclis Economides / George Fry

Tel: +44 (0)20 7260 1000

Joint Broker

Arden Partners plc

Corporate Finance: Paul Shackleton / Elliot Mustoe

Corporate Broking: James Reed-Daunter

Tel: +44 (0)207 614 5900

FTI Consulting (Financial PR)

Claire Turvey / Katie Hughes

palacecapital@fticonsulting.com

Tel. +44 (0)20 7271000

About Palace Capital plc (www.palacecapitalplc.com):

Palace Capital plc (LSE: PCA) is a UK REIT that has a £274 million diversified portfolio of UK regional commercial property. The Company maintains a disciplined investment strategy focused on towns and cities outside of London that are characterised by thriving local economies and strengthening fundamentals. Within those locations the highly experienced management team select assets that provide opportunities to drive both capital value and long-term rental income through tailored active asset management programmes ultimately delivering attractive shareholder returns.