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1185 Avenue of the Americas
30th Floor
New York, NY 10036
Tel: 212.921.1122
Fax: 212.921.2533
www.reis.com



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Reis, Inc. Announces Second Quarter 2008 Results

Conference Call Scheduled for Wednesday, August 13, 2008 at 10:00 A.M. (EDT)

NEW YORK, August 7, 2008: Reis, Inc. (NASDAQ:REIS) ("Reis" or the "Company") announced its financial results and operational achievements for the three and six months ended June 30, 2008.

Results and Performance

Reis presents financial information for its two operating segments: the information services segment, which we refer to as Reis Services, and the Residential Development Activities segment. The Company believes that the utilization of segment reporting will assist investors in analyzing the two separate businesses. For comparison purposes, the Company has included pro forma financial information for the three and six months ended June 30, 2007, which is presented as if the May 30, 2007 merger (the "Merger") had been consummated between Reis, Inc., then a privately held real estate information company ("Private Reis"), and a wholly owned subsidiary of Wellsford Real Properties, Inc. ("Wellsford") as of January 1, 2006.

Consolidated Financial Results

For the three months ended June 30, 2008, the Company's consolidated net income was $1,024,554, as compared to a consolidated pro forma net loss of ($8,239,790) for the three months ended June 30, 2007. Total revenue for the three months ended June 30, 2008 and 2007 were $12,903,418 (actual) and $10,985,246 (pro forma), respectively. During the 2008 period, revenue was comprised of subscription revenue of $6,504,703 and revenue from sales of residential units of $6,398,715. During the 2007 pro forma period, revenue was comprised of subscription revenue of $5,488,542 and revenue from sales of residential units of $5,496,704. These amounts represent an 18.5% increase in subscription revenue and a 16.4% increase in revenue from sales of residential units from the 2007 pro forma period.

For the six months ended June 30, 2008, the Company's consolidated net income was $1,472,436, as compared to a consolidated pro forma net loss of ($10,515,813) for the six months ended June 30, 2007. Total revenues for the six months ended June 30, 2008 and 2007 were $27,698,347 (actual) and $24,554,670 (pro forma), respectively. During the 2008 period, revenue was comprised of subscription revenue of $12,915,807 and revenue from sales of residential units of $14,782,540. During the 2007 pro forma period, revenue was comprised of subscription revenue of $10,926,441 and revenue from sales of residential units of $13,628,229. These amounts represent an 18.2% increase in subscription revenue and an 8.5% increase in revenue from sales of residential units from the 2007 pro forma period.

The 2008 periods include a tax benefit of $1,165,000 which resulted from a change in estimate of net operating losses allocable for income tax purposes to the fiscal 2007 period subsequent to the Merger.

Reis Services EBITDA

Management uses EBITDA to monitor and assess Reis Services's performance and believes it is helpful to investors in understanding Reis Services's business (see Reconciliation of Net Income to EBITDA and Adjusted EBITDA below). For the three months ended June 30, 2008, EBITDA for the Reis Services segment was approximately $2,858,000, representing a 43.9% EBITDA margin and a 74.4% EBITDA growth rate over pro forma second quarter 2007 EBITDA of approximately $1,639,000. For the six months ended June 30, 2008, EBITDA for the Reis Services segment was approximately $5,550,000, representing a 43.0% EBITDA margin and 64.4% EBITDA growth rate over 2007 pro forma EBITDA of approximately $3,376,000.

The increase in EBITDA over the 2007 pro forma periods is primarily the result of (i) the revenue growth of 18.5% and 18.2% for the three and six months ended June 30, 2008, respectively, over the 2007 pro forma periods, (ii) the effect of a significant portion of the revenue growth translating directly to EBITDA growth as a result of our fixed cost structure (as demonstrated by the increase in EBITDA margin from 29.9% to 43.9% from the second quarter of 2007 to the second quarter of 2008 and an increase from 30.9% to 43.0% for the six months ended June 30, 2007 to the 2008 period) and (iii) higher expenses in the 2007 pro forma periods as a result of accruals for lease termination and other operational obligations of Private Reis that were not Merger related costs or costs of the merged entities.

Consolidated Balance Sheet Information

At June 30, 2008, Reis had consolidated assets of $132,862,451, including $22,651,415 of cash and cash equivalents, $50,854,401 of consolidated liabilities and consolidated stockholders' equity of $82,008,050 or $7.47 per common share based upon 10,984,517 shares outstanding. Officers and directors of Reis beneficially own approximately 25% of the common shares outstanding.

Wellsford's primary operating activities immediately prior to the Merger were the development, construction and sale of three residential projects and its approximate 23% ownership interest in Private Reis. At June 30, 2008, the Company's equity in its remaining real estate assets was approximately $13,415,000 (or 16.4% of consolidated stockholders' equity).

Operational Highlights

Following are recent operational highlights for Reis:

Basis of Accounting

The previously announced plan of liquidation of the Company was terminated as a result of the Merger and the Company returned to the going concern basis of accounting from the liquidation basis of accounting. For accounting purposes, the Merger was deemed to have occurred at the close of business on May 31, 2007 and the statements of operations include the operations of Reis Services effective June 1, 2007.

Reconciliation of Net Income to EBITDA and Adjusted EBITDA

EBITDA is defined as earnings before interest, taxes, depreciation and amortization. Adjusted EBITDA is defined as earnings before interest, taxes, depreciation, amortization, impairment losses on real estate assets under development and stock based compensation. Although EBITDA and Adjusted EBITDA are not measures of performance calculated in accordance with GAAP, senior management uses EBITDA and Adjusted EBITDA to measure operational and management performance. Management believes that EBITDA and Adjusted EBITDA are appropriate metrics that may be used by investors as supplemental financial measures to be considered in addition to the reported GAAP basis financial information to assist investors in evaluating and understanding the Company's business from year to year or period to period, as applicable. Further, these measures provide the reader with the ability to understand our operational performance while isolating non-cash charges, such as depreciation and amortization expenses, as well as other non-operating items, such as interest income, interest expense and income taxes, and in the case of Adjusted EBITDA, isolates non-cash charges for impairment losses on real estate assets under development and stock based compensation. Management also believes that disclosing EBITDA and Adjusted EBITDA will provide better comparability to other companies in Reis Services's type of business. However, investors should not consider these measures in isolation or as substitutes for net income, operating income, or any other measure for determining operating performance that is calculated in accordance with GAAP. In addition, because EBITDA and Adjusted EBITDA are not calculated in accordance with GAAP, they may not necessarily be comparable to similarly titled measures employed by other companies. Reconciliations of EBITDA and Adjusted EBITDA to the most comparable GAAP financial measure, net income, follow for each identified period:

Revenue was stable from the first quarter of 2008 to the second quarter of 2008. Reis Services is able to grow revenue through new business as well as price increases in connection with renewals. Although we cannot make assurances as to future periods, Reis Services has historically experienced higher revenue during the second half of any calendar year because a greater number of our contracts have renewed, coupled with price increases, in the second half of each year. This results from several historical operating facts:

Accordingly, meaningful revenue growth occurs in heavy renewal periods in conjunction with any price increases. Also, other factors may impact consecutive quarter-over-quarter growth, including (i) the lengthening of subscription terms beyond 12 months to as long as 36 months (in an effort to spread renewals more evenly throughout the year), (ii) the introduction of new products and (iii) non-recurring consulting or valuation work. These items did not have a material impact in evaluating revenue growth for the first and second quarters of 2008. However, revenue and EBITDA growth in the third and fourth quarters of 2008 as compared to the third and fourth quarters of 2007 may not be as robust as our current period growth numbers indicate, as non-recurring consulting and valuation work in those 2007 periods were greater by up to approximately $300,000 per quarter over the current quarterly run rate. Generally, this type of special project and consulting revenue is not a substantial amount in any given period.

Residential Development Activities

At June 30, 2008, the Company's residential development activities and other investments were comprised primarily of the following:

The following table presents Gold Peak and East Lyme sales information for the respective periods:

On June 30, 2008, the Company entered into a listing agreement authorizing a broker to sell the remaining lots at East Lyme (which are comprised of improved lots with road and infrastructure in place and unimproved lots without road and infrastructure in place). In addition, the Company has made the decision to halt any new home construction pending exploration of a bulk sale of lots at East Lyme. There can be no assurance that the Company will be able to sell the remaining lots at East Lyme at acceptable prices, or within a specific time period, or at all.

In April 2008, the Company extended, with term modifications, its existing financing on the East Lyme project (the "East Lyme Construction Loan"). The interest rate for the East Lyme Construction Loan increased from LIBOR + 2.15% to LIBOR + 2.50% over the extension period which matures in June 2009. The extension terms also require minimum principal repayments if repayments from sales proceeds are not sufficient to meet required repayment amounts. The minimum liquidity requirement was also reduced to $7,500,000 from $10,000,000 with additional reductions based upon principal repayments. The required minimum liquidity level at June 30, 2008 was approximately $6,146,000 related to the Company's construction debt. The balance of the East Lyme Construction Loan was approximately $6,242,000 and $6,966,000 at June 30, 2008 and December 31, 2007, respectively.

Regarding the other residential development projects, the balance of the Gold Peak Construction Loan was approximately $1,129,000 and $6,417,000 at June 30, 2008 and December 31, 2007, respectively, and the Claverack project is unencumbered at each balance sheet date. Depending on the sale velocity and amount of proceeds from sales at Gold Peak, the Gold Peak Construction Loan is expected to be repaid in full by the end of the third quarter of 2008.

Investor Conference Call

The Company will host a conference call on Wednesday, August 13, 2008, at 10:00 AM (EDT). This call is for the benefit of existing and prospective stockholders, stock analysts, and other interested parties to discuss the second quarter 2008 operating results and other matters. The Company has a policy of not providing quarterly or annual guidance.

The U.S. dial-in number for this teleconference is (800) 860-2442. The international dial-in number is (412) 858-4600. A replay of the conference call will be available from shortly after the conference call through 5:00 PM (EDT) on August 28, 2008 by using U.S. dial-in number (877) 344-7529 and entering the following passcode: 422145# (international callers may use dial-in number (412) 317-0088 and use the same passcode). An audio webcast of the conference call will be available on Reis's website at www.reis.com/events and will remain on the website for a period of time following the call.

About Reis

The Company was formed through a May 2007 merger between Private Reis and Wellsford. Reis carries on the businesses of Private Reis and Wellsford.

Private Reis was founded in 1980 as a provider of commercial real estate market information. Reis maintains a proprietary database containing detailed information on commercial real properties in neighborhoods and metropolitan markets throughout the U.S. The database contains information on apartment, retail, office and industrial properties and is used by real estate investors, lenders and other professionals to make informed buying, selling and financing decisions. In addition, Reis data is used by debt and equity investors to assess and quantify the risks of default and loss associated with individual mortgages, properties, portfolios and real estate backed securities. Reis currently provides its information services to many of the nation's leading lending institutions, equity investors, brokers and appraisers.

Reis's flagship product is Reis SE, which provides online access to information and analytical tools designed to facilitate both debt and equity transactions. In addition to trend and forecast analysis at neighborhood and metropolitan levels, the product offers detailed building-specific information such as rents, vacancy rates and lease terms, property sale information, new construction listings and property valuation estimates. Reis SE is designed to meet the demand for timely and accurate information to support the decision-making of property owners, developers and builders, banks and non-bank lenders, and equity investors, all of whom require access to information on both the performance and pricing of assets, including detailed data on market transactions, supply and absorption. This information is critical to all aspects of valuing assets and financing their acquisition, development, and construction.

For more information regarding Reis's products and services, visit www.reis.com.

Prior to the Merger, Wellsford was a public company operating as a real estate merchant banking firm which acquired, developed, financed and operated real properties and invested in private real estate companies. The Company's primary operating activities immediately prior to the Merger were the development, construction and sale of its three residential projects and its approximate 23% ownership interest in Private Reis. The Company continues to develop, construct and sell these existing residential projects in an effort to ultimately exit this business in order to focus solely on the Reis Services business.

Cautionary Statement Regarding Forward-Looking Statements

The Company makes forward-looking statements in this press release. These forward-looking statements may relate to the Company's or management's outlook or expectations for earnings, revenues, expenses, asset quality or other future financial or business performance, strategies or expectations, or the impact of legal, regulatory or supervisory matters on the Company's business's operations or performance. Specifically, forward-looking statements may include:

These statements reflect management's judgment based on currently available information and involve a number of risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. With respect to these forward-looking statements, management has made certain assumptions. Future performance cannot be assured. Actual results may differ materially from those in the forward-looking statements. Some factors that could cause actual results to differ include:

You are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date of this press release. Except as required by law, the Company undertakes no obligation to publicly update or release any revisions to these forward-looking statements to reflect any events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.

Press Contact:
Mark P. Cantaluppi
Reis, Inc.
Vice President, Chief Financial Officer
(212) 921-1122

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