Canadian Real Estate Investment Trust Announces $125.0 Million Equity Offering

TORONTO, ONTARIO--(Marketwired - Nov. 11, 2014) -

NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE SERVICES

Canadian Real Estate Investment Trust ("CREIT") (TSX:REF.UN) today announced that it has agreed to sell 2,552,000 Units at a price of $49.00 per Unit for aggregate gross proceeds of approximately $125.0 million to a syndicate of underwriters led by RBC Capital Markets on a bought-deal basis (the "Offering").

In addition, CREIT has granted the syndicate an over-allotment option, exercisable in whole or in part at any time up to 30 days after closing, to purchase up to an additional 382,800 Units at the Offering price which, if exercised in full, would increase the gross Offering size to approximately $143.8 million.

The Offering is expected to close on or about November 20, 2014 and is subject to regulatory approval. The Offering is being made pursuant to CREIT's base shelf prospectus dated June 18, 2013. The terms of the Offering will be described in a prospectus supplement to be filed with the Canadian securities regulators.

The net proceeds of the Offering will be used to partially repay CREIT's revolving credit facilities, which have a current outstanding balance of approximately $195 million. The revolving credit facilities were drawn primarily to fund CREIT's numerous previously disclosed investment, development and financing activities. The outstanding balances of the revolving credit facilities will be reduced with the net proceeds of the Offering to create financial flexibility for CREIT's future investment, development and financing activities.

CREIT intends to make monthly cash distributions to Unitholders of record on each record date, on or about the 15th day of the month following the record date. CREIT's monthly cash distribution declared on October 16, 2014 was $0.1458 per Unit. The first cash distribution to which purchasers of the Units under this offering will be entitled to receive will be for the month of November 2014, with a record date of November 28, 2014 and a payment date of December 12, 2014.

The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

ABOUT CREIT

CREIT is a real estate investment trust focused on accumulating and aggressively managing a portfolio of high-quality real estate assets and delivering the benefits of real estate ownership to Unitholders. The primary benefit is a reliable and, over time, increasing monthly cash distribution. CREIT owns a diversified portfolio of retail, office and industrial properties.

CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING STATEMENTS

This news release contains forward-looking statements relating to our operations and the environment in which we operate, which are based on our expectations, estimates, forecasts and projections. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. Therefore, actual outcomes and results may differ materially from those expressed in these forward-looking statements. Readers, therefore, should not place undue reliance on any such forward-looking statements. Further, a forward-looking statement speaks only as of the date on which such statement is made. We undertake no obligation to publicly update any such statement, to reflect new information or the occurrence of future events or circumstances, except as required by law.