Morguard REIT Acquires Office Complexes in Calgary and Edmonton, Alberta

TSX: MRT.UN

MISSISSAUGA, ON, Dec. 28, 2011 /CNW/ - Morguard Real Estate Investment Trust ("the Trust") (TSX: MRT.UN) today announced that the Trust has acquired a fifty percent interest in two office complexes in Calgary and Edmonton, Alberta at an aggregate purchase price of $80.7 million (for the Trust's interest).

The acquisition was funded through the issuance of $40.6 million in first mortgage debt carrying a weighted average interest rate of 3.8% and the balance through drawings on the Trust's lines of credit.

The office complex in Edmonton contains 304,000 square feet of leaseable area and is currently 100% leased with the largest tenant being the Province of Alberta which occupies approximately 95% of the rentable space.

The office property in Calgary contains 78,315 square feet of leaseable area all of which space is under long term lease to a major Canadian engineering services organization.

About Morguard Real Estate Investment Trust

Morguard REIT is a closed-end real estate investment trust, which owns a diversified portfolio of 53 high quality retail, office and industrial properties in Canada with an approximate asset book value of $2.1 billion and approximately 8.5 million square feet of leaseable space.