Dundee REIT

Dundee REIT

November 27, 2012 08:38 ET

Dundee REIT Announces Redemption of Convertible Debentures on December 31, 2012

TORONTO, ONTARIO--(Marketwire - Nov. 27, 2012) -


DUNDEE REIT (TSX:D.DB)(TSX:D.DB.A)(TSX:D.DB.B)(TSX:D.DB.G) today announced that it will redeem all of its outstanding 6.5% Convertible Unsecured Subordinated Debentures ("6.5% Debentures"), 2005-1 5.7% Convertible Unsecured Subordinated Debentures ("5.7% Debentures"), 6.0% Convertible Unsecured Subordinated Debentures ("6.0% Debentures") and 7.0% Series G Convertible Unsecured Subordinated Debentures ("7.0% Debentures", and collectively with the 6.5% Debentures, 5.7% Debentures and 6.0% Debentures, the "Debentures") on December 31, 2012 (the "Redemption Date").

The redemption price has been determined in accordance with the provisions of the indentures and supplemental indentures related to the Debentures. The redemption price will be paid in cash and will be equal to the aggregate of (i) $1,000 for each $1,000 principal amount of Debentures issued and outstanding on the Redemption Date and (ii) all accrued and unpaid interest on the Debentures to but excluding the Redemption Date (the "Redemption Price"). The aggregate principal amount currently outstanding for the Debentures is $133,712,000. Dundee REIT intends to use cash on hand to pay the Redemption Price.

Notice of redemption has been delivered to Computershare Trust Company of Canada, as indenture trustee, for the 6.5% Debentures, the 5.7% Debentures and the 6.0% Debentures in accordance with their indenture and supplemental indentures.

Notice of redemption has been delivered to BNY Trust Company of Canada, as indenture trustee, for the 7.0% Debentures in accordance with its indenture and supplemental indentures.

The Debentures are listed for trading on the Toronto Stock Exchange under the trading symbols "D.DB", "D.DB.A", "D.DB.B" and "D.DB.G", respectively. The 6.5% Debentures, the 6.0% Debentures and the 7.0% Debentures may be converted in accordance with their terms into units of Dundee REIT until 5:00 p.m. (Toronto time) on December 17, 2012. The 5.7% Debentures may be converted in accordance with their terms into units of Dundee REIT until they are redeemed on December 31, 2012.

Beneficial holders of Debentures should contact their investment dealer or other firm through which they hold Debentures if they have any questions about the redemption. No action is required to be taken by beneficial holders of Debentures if they wish to have their Debentures redeemed. However, if such beneficial holders wish to convert their Debentures before they are redeemed, they should contact their investment dealer or other firm through which they hold Debentures. Intermediaries such as investment dealers, banks, trust companies or other financial institutions who maintain their interests in the Debentures through CDS Clearing and Depository Services Inc. ("CDS") should contact their CDS customer service representative with any questions about the redemption.

Dundee REIT is an unincorporated, open-ended real estate investment trust. Dundee REIT is focused on owning, acquiring, leasing and managing well-located, high-quality central business district and suburban office properties. Its portfolio currently comprises approximately 22.4 million square feet of gross leasable area in major urban centres across Canada. Dundee REIT's portfolio is well diversified by geographic location and tenant mix. For more information, please visit www.dundeereit.com.

This press release may contain forward-looking information within the meaning of applicable securities legislation. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond Dundee REIT's control, which could cause actual results to differ materially from those that are disclosed in or implied by such forward-looking information. These risks and uncertainties include, but are not limited to, general and local economic and business conditions; the financial condition of tenants; our ability to refinance maturing debt; leasing risks, including those associated with the ability to lease vacant space; and interest and currency rate functions. Our objectives and forward-looking statements are based on certain assumptions, including that the general economy remains stable, interest rates remain stable, conditions within the real estate market remain consistent, competition for acquisitions remains consistent with the current climate and that the capital markets continue to provide ready access to equity and/or debt. All forward-looking information in this press release speaks as of the date of this press release. Dundee REIT does not undertake to update any such forward-looking information whether as a result of new information, future events or otherwise. Additional information about these assumptions and risks and uncertainties is contained in Dundee REIT's filings with securities regulators, including its latest annual information form and MD&A. These filings are also available at Dundee REIT's website at www.dundeereit.com.

Contact Information