Melcor REIT Completes $20.235 Million Public Offering of Trust Units

EDMONTON, ALBERTA–(Marketwired – May 7, 2014) –

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Melcor Real Estate Investment Trust (TSX:MR.UN) (the “REIT”) announced today the successful issue and sale (the “Offering”) of 1,900,000 trust units at a price of $10.65 per Unit (the “Offering Price”). The Offering raised gross proceeds of $20,235,000 and was underwritten by a syndicate of underwriters (the “Underwriters”) co-led by RBC Capital Markets and CIBC, and included Scotia Capital Inc., TD Securities Inc., National Bank Financial Inc., Desjardins Securities Inc., Canaccord Genuity Corp., GMP Securities L.P., Laurentian Bank Securities Inc. and Raymond James Ltd. RBC Capital Markets and CIBC were the bookrunners on the transaction.

The REIT has granted the Underwriters an over-allotment option, exercisable for a period of 30 days following the closing, to purchase up to an additional 285,000 trust units at the Offering Price which, if exercised in full, will increase the total gross proceeds of the offering to the REIT to $23,270,250.

As previously announced, the net proceeds of the Offering (after deducting the underwriting fee and estimated offering expenses) are intended to be used by the REIT to partially fund the purchase price of two multi-tenant retail properties (together, the “Acquisitions”) representing approximately 54,126 square feet of gross leasable area (“GLA”). The closing of the Acquisitions is expected to be completed on or about May 9, 2014.

The Acquisitions are subject to certain conditions and there can be no assurance that either of the Acquisitions will be completed on their terms or at all. The REIT continues to actively pursue acquisition and investment opportunities.

About Melcor REIT

Melcor REIT is an unincorporated, open-ended real estate investment trust. Melcor REIT owns, acquires, manages and leases quality retail, office and industrial income-generating properties with exposure to high growth Canadian markets. Its portfolio is currently made up of interests in 30 properties representing approximately 1.76 million square feet of gross leasable area located across Alberta and in Regina, Saskatchewan and Kelowna, British Columbia. For more information, please visit www.melcorREIT.ca.

Forward-Looking Statements

This press release contains “forward-looking information” as defined under applicable Canadian securities law (“forward-looking information” or “forward-looking statements”) which reflect management’s expectations regarding objectives, plans, goals, strategies, future growth, results of operations, performance, business prospects and opportunities of the REIT. Statements other than statements of historical fact contained in this press release may be forward-looking information. Some of the specific forward-looking statements in this press release include, but are not limited to, statements with respect to: the closing of the Acquisitions and the expected terms and closing dates thereof; the REIT’s intended use of proceeds of the Offering; the REIT’s pursuit of acquisition and investment opportunities; and expectations, projections or other characterizations of future events or circumstances and the future economic performance of the REIT. The REIT has based these forward-looking statements on its current expectations and assumptions about future events, which may prove to be incorrect.

When relying on forward looking statements to make decisions, readers are cautioned not to place undue reliance on these statements, as forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results and do not take into account the effect of transactions or other items announced or occurring after the statements are made. All forward-looking information in this press release speaks as of the date of this press release. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements. The REIT does not undertake any obligation to update any such forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable law.