Amica Mature Lifestyles Inc.

Amica Mature Lifestyles Inc.

June 21, 2005 11:00 ET

Amica Mature Lifestyles Announces Second 99-Year Management Contract

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - June 21, 2005) - Amica Mature Lifestyles Inc. (TSX:ACC) -

Mr. Samir Manji, Chairman, President and CEO of Amica Mature Lifestyles Inc. is pleased to announce the Company's second 99-year management contract. Amica has entered into a contract to manage Amica at Bayview Gardens located next to its successful Amica at Bayview retirement community located in Toronto, Ontario in the affluent North York area.

Amica at Bayview Gardens will be a $71.0 million retirement complex comprised of a 142 suite luxury independent living rental retirement community (including a 26 suite assisted living floor), with an attached 100 unit luxury condominium tower. The owners of the condominium units will pay a monthly fee for access to the amenities available in the rental retirement community.

During the construction phase of the project Amica will earn a total of $2.1 million in design and marketing fees. In addition, the Company will receive a bonus of $2,000 per retirement suite leased in the rental residence within the first 12 months of operation. Under the terms of the 99-year contract to manage the rental retirement residence, the Company will earn a base management fee of 7% of gross revenues. In addition, the Company will receive an annual bonus of 25% of any net operating income in excess of $3.9 million. The $3.9 million threshold remains fixed for the entire 99-year term of the contract.

Amica will not have an equity interest in this project but will provide $2.5 million in mezzanine financing at an interest rate of 12%. Investors will provide the balance of equity for the rental and condominium buildings, totaling $10 million.

Mr. Manji stated, "We are extremely pleased in having signed our second 99-year management contract. This is a testament to the Amica brand and its people and the confidence that our investors have placed in us."

Amica at Bayview Gardens will include all the amenities that one would find in an Amica Wellness & Vitality™ Residence including; a grand lobby, a dedicated home theatre room, an English style pub, a private dining room, a spa salon and a Wellness & Vitality™ Centre.

The joint venture that represents the owners will complete the acquisition of the site later this year with the construction of this high profile residence expected to commence in early 2006 with an expected opening of summer 2007.

Mr. Colin Halliwell, Amica's Chief Operating Officer, stated, "We are excited to add this newest Wellness & Vitality™ Residence to our existing presence in North York. The demand we have already seen in our first development in the area has been overwhelming. We believe a second Amica Wellness & Vitality ™ Residence in the Bayview and Sheppard area is required to satisfy the demand for luxury independent retirement living."

Mr. Manji continued, "We have a very committed group of private investors who will be providing the equity for our newest residence in the GTA. We are looking forward to working with them to create another premiere retirement residence in North York that will represent, upon completion, a five-star residence that will be the future home of over 300 residents who will receive first class quality service and accommodation."

Amica Mature Lifestyles Inc., a Vancouver based public company, is a leading brand manager in the design, development, marketing and management of luxury housing and services for mature lifestyles. There are 17 Amica Wellness & Vitality™ Residences, including four under development. The common shares of Amica are traded on the Toronto Stock Exchange under the symbol "ACC".

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