Partners Real Estate Investment Trust (TSX:PAR.UN) Announces $22,522,500 BOUGHT DEAL FINANCING

 

FOR IMMEDIATE RELEASE

VICTORIA, BRITISH COLUMBIA, DECEMBER 13, 2012 - Partners Real Estate Investment Trust (“Partners REIT”) is pleased to announce a bought deal financing

The Offering

Partners REIT has entered into an agreement to sell, on a bought deal basis and subject to regulatory approval, to a syndicate of underwriters led by Scotiabank, National Bank Financial Inc. and Canaccord Genuity Corp., with Scotiabank and National Bank Financial Inc. acting as joint bookrunners (the “Underwriters”), 2,925,000 trust units (the “Units”) at a price of $7.70 per Unit representing gross proceeds of approximately $22.5 million. The REIT has granted the Underwriters an over-allotment option, exercisable in whole or in part at any time up to 30 days following the closing of the offering, to purchase up to an additional 438,750 Units at the same offering price.

The REIT intends to use the proceeds to fund future acquisitions, to repay current indebtedness and for general trust purposes. Partners REIT’s management team continues to see good acquisition opportunities for high quality retail properties and will continue to pursue property purchases that meet the REIT’s strategic and financial criteria

As at the close of business on December 13, 2012, Partners REIT had 22,299,933 units issued and outstanding.

The REIT will, by December 19, 2012, file with the securities commissions and other similar regulatory authorities in each of the provinces of Canada, except Quebec, a preliminary short form prospectus relating to the issuance of the Units. Closing of the offering is expected to take place on or about January 7, 2013.

This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities being offered have not been and will not be 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 pursuant to applicable exemption from registration.

About Partners REIT

Partners REIT is a growth-oriented real estate investment trust, which currently owns (directly or indirectly) twenty-one 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.

For further information on Partners REIT, please view our informational videos available at http://www.partnersreit.com/video.html

For further information:

Patrick Miniutti, President and Chief Operating Officer (250) 940-5500

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 the timing of the offering, success of the offering, listing of the units, use of proceeds of the Offering, 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.