Partners Real Estate Investment Trust (TSX:PAR.UN)
Signs New Lease with Wal-Mart



VICTORIA, BRITISH COLUMBIA, OCTOBER 9, 2012 - Partners Real Estate Investment Trust (“Partners REIT”) is pleased to announce today that it has entered into a fifteen-year lease agreement with Wal-Mart Canada Corp. for approximately 90,000 square feet (plus basement storage space) at the REIT’s Méga Centre retail property located at the intersection of Côte-Vertu Boulevard and Rue Begin in St. Laurent, (Montreal) Québec. It is anticipated the new Wal-Mart store will open by the second quarter of 2013.

The Méga Centre consists of approximately 277,000 square feet of leasable space situated on approximately 19.0 acres, and is home to such leading tenants as Scotia Bank, Bureau en Gros (Staples), the SAQ, Tim Hortons, Brault & Martineau, and L'Oreal. A 110,000 square-foot Rona-owned home improvement store is located adjacent to the property and acts as a secondary anchor, drawing customers to the property.

“We are very pleased to welcome Wal-Mart to our Méga Centre,” commented Adam Gant, Chief Executive Officer. “We are confident the presence of this leading international retailer will help to generate increased traffic for our current tenants, attract additional new high quality national retailers to the centre, and serve as the first phase of our re-merchandising and transformation of this well-located property.”

About Partners REIT

Partners REIT is a growth-oriented real estate investment trust, which currently owns (directly or indirectly) thirty retail properties, well-located in British Columbia, Alberta, Manitoba, Ontario and Quebec, aggregating approximately 2.2 million square feet of leasable space. Partners REIT focuses on expanding and managing a portfolio of retail and mixed-use community and neighbourhood shopping centres located in both primary and secondary markets across Canada.

Certain statements included in this press release constitute forward-looking statements, including, but not limited to, those identified by the expressions "expect," "will" and similar expressions to the extent they relate to Partners REIT. The forward-looking statements are not historical facts but reflect Partners REIT's current expectations regarding future results or events. These forward looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations, including access to capital, regulatory approvals, intended acquisitions and general economic and industry conditions. Although Partners REIT believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein.

For further information:

Patrick Miniutti, President and Chief Operating Officer or
Tony Quo Vadis, Chief Financial Officer Telephone: (250) 940-5500, Facsimile: (250) 940-5501