Trizec Properties, Inc.

Trizec Properties, Inc.

January 03, 2005 17:05 ET

Trizec Announces Property Dispositions


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: TRIZEC PROPERTIES, INC.

NYSE SYMBOL: TRZ
TSX SYMBOL: TZC.SV

JANUARY 3, 2005 - 17:05 ET

Trizec Announces Property Dispositions

CHICAGO--(CCNMatthews - Jan 3, 2005) -

2004 Dispositions Exceed $1 billion; Company Exits Two More Non-Core
Markets

Trizec Properties, Inc. (NYSE:TRZ) today announced it has completed the
dispositions of two office properties for an aggregate of approximately
$85.6 million. The properties are 250 West Pratt Street in Baltimore and
Bank of America Plaza in Columbia, S.C.

With these transactions, both of which occurred in late December 2004,
Trizec has now exited the Baltimore and Columbia markets, consistent
with the Company's strategy of focusing on its core markets. The Company
exited a total of five non-core markets during 2004.

On December 17, Trizec sold 250 West Pratt to Behringer Harvard Funds
for approximately $51.8 million. The 24-story, 368,000-square-foot
building was built in 1986 and is located in Baltimore's business
district near the Inner Harbor area.

On December 30, Trizec sold Bank of America Plaza for $33.8 million to
Columbia SC Owner LLC. Located in downtown Columbia at 1901 Main Street,
the 17-story, 303,000-square-foot property was built in 1989.

Tim Callahan, Trizec's President and Chief Executive Officer commented,
"The completion of these transactions has helped us to close out 2004 on
a high note. We had hoped to make substantial progress on the
repositioning of our portfolio during the past few months, and we fully
accomplished what we set out to do. We are entering 2005 well-positioned
to take advantage of opportunities as they present themselves."

During the fourth quarter of 2004, Trizec sold 7 non-core office
properties and a land parcel for aggregate proceeds of approximately
$440 million. For the year, Trizec sold over $1 billion of non-core
office, retail and other real estate assets. Also during 2004, Trizec
acquired Bank of America Plaza, a 55-story, 1.4 million-square-foot
Class A office building in downtown Los Angeles, in August for $435
million. The Company also purchased a significant interest in 2001 M
Street, a 229,000-square-foot premier office property in Washington,
D.C., in November which valued the property at $76.6 million. Both
acquisitions were part of the Company's continuing capital recycling
program.

Trizec Properties, Inc., a real estate investment trust (REIT)
headquartered in Chicago, is one of the largest owners and operators of
commercial office properties in the United States. The Company has
ownership interests in and manages a high-quality portfolio of 52 office
properties totaling approximately 37 million square feet concentrated in
the metropolitan areas of seven major U.S. cities. The Company trades on
the New York Stock Exchange under the symbol TRZ. For more information,
visit Trizec's web site at www.trz.com or call toll free at 1 (800)
891-7017.

This release contains forward-looking statements, within the meaning of
the federal securities laws, relating to our business and financial
outlook which are based on our current expectations, beliefs,
projections, forecasts, future plans and strategies, and anticipated
events or trends. In some cases, you can identify forward-looking
statements by terms such as "may," "will," "should," "expects," "plans,"
"anticipates," "believes," "estimates," "predicts," "potential" or the
negative of these terms or other comparable terminology. These
forward-looking statements are not guarantees of future performance and
financial condition. Forward-looking statements are not historical
facts. Instead, such statements reflect estimates and assumptions and
are subject to certain risks and uncertainties that are difficult to
predict or anticipate. Therefore, actual outcomes and results may differ
materially from those projected or anticipated in these forward-looking
statements. You should not place undue reliance on these forward-looking
statements, which speak only as of the date of this release. A number of
important factors could cause actual results to differ materially from
those indicated by the forward-looking statements, including, without
limitation, the risks described in our annual report on Form 10-K filed
with the Securities and Exchange Commission on March 12, 2004, as the
same may be supplemented from time to time. These factors include,
without limitation, the following: changes in national and local
economic conditions, including those economic conditions in our seven
core markets; the extent, duration and strength of any economic
recovery; our ability to maintain occupancy and to timely lease or
re-lease office space; the extent of any tenant bankruptcies and
insolvencies; our ability to sell our non-core office properties in a
timely manner; our ability to acquire office properties selectively in
our core markets; our ability to maintain REIT qualification and changes
to U.S. tax laws that affect REITs; Canadian tax laws that affect
treatment of investment in U.S. real estate companies; the competitive
environment in which we operate; the cost and availability of debt and
equity financing; the effect of any impairment charges associated with
asset dispositions or changes in market conditions; our ability to
obtain, at a reasonable cost, adequate insurance coverage for
catastrophic events, such as earthquakes and terrorist acts; and other
risks and uncertainties detailed from time to time in our filings with
the Securities and Exchange Commission.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Trizec Properties, Inc., Chicago
    Investor Contact:
    Dennis C. Fabro, 312-798-6290
    or
    Media Contact:
    Rick Matthews, 312-798-6128