Summary of FX REAL ESTATE & ENTERTAINMENT INC.

Item 5.02 Departure of Directors or Certain Officers; Election of Directors;
Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

(e) At FX Real Estate and Entertainment Inc.'s (the "Company") 2008 annual meeting of stockholders held on September 24, 2008, the Company's stockholders approved the:
Х The FX Real Estate and Entertainment Inc. 2007 Long-Term Incentive Compensation Plan (the "Long-Term Incentive Compensation Plan"); and

Х The FX Real Estate and Entertainment Inc. 2007 Executive Equity Incentive Plan (the "Executive Equity Incentive Plan").

Each of the Long-Term Incentive Compensation Plan and the Executive Equity Incentive Plan and a summary of its terms, including outstanding option awards held by the Company's principal executive officer, principal financial officer and other named executive officers, are set forth in, and incorporated herein by reference to, the Company's definitive proxy statement for such aforesaid 2008 annual meeting of stockholders, which was filed with the Securities and Exchange Commission on August 20, 2008.
The standard form of option agreement for the Long-Term Incentive Compensation Plan is filed herewith as Exhibit 10.1, and the standard form of option agreement for the Executive Equity Incentive Plan is filed herewith as Exhibit 10.2. Both of these standard forms of option agreement are incorporated herein by reference.
Item 8.01 Other Events.

As a result of the dislocation and turbulence in the capital markets, the Company is reviewing its originally proposed program for the redevelopment of its Las Vegas properties. While no definitive determination has been made by the Company, it is unlikely that the program originally proposed will be undertaken. The Company intends to continue the properties' commercial leasing activities pending any such definitive determination. Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

Exhibit No.   Description
10.1          Form of Option Agreement for FX Real Estate and Entertainment Inc. 2007
              Long-Term Incentive Compensation Plan

10.2          Form of Option Agreement for FX Real Estate and Entertainment Inc. 2007
              Executive Equity Incentive Plan

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