Huntingdon Real Estate Investment Trust Announces Closing of $46 Million Public Offering of Secured Debt Units

/NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

RICHMOND, BC, Nov. 14, 2011 /CNW/ - Huntingdon Real Estate Investment Trust (the "Trust" or "HREIT") (TSX: HNT.UN) is pleased to announce that it has closed its previously announced offering of 46,000 units (each, a "Debt Unit") for gross proceeds of $46.0 million (the "Offering"). The closing included $6.0 million aggregate principal amount of Debt Units issued as a result of the exercise in full of the over-allotment option. The Offering was co-led by Canaccord Genuity Corp. and RBC Dominion Securities Inc.

Each Debt Unit was priced at $1,000 (the "Offering Price") and is comprised of a face value $1,000 principal amount secured debenture (each, a "Debenture") and 28 trust unit purchase warrants (each, a "Warrant"). The Debentures bear a coupon rate of 7.50% per annum and mature on December 31, 2016. Each Warrant entitles the holder to purchase one trust unit (a "Unit") of HREIT at any time prior to December 31, 2016 at an exercise price of $9.00 per Unit.

The net proceeds of the Offering are intended to be used to redeem HREIT's 7.5% Series C convertible redeemable unsecured subordinated debentures and for general working capital purposes.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "1933 Act"), or any state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the 1933 Act and applicable state securities laws.

HREIT is a real estate investment trust which is listed on the Toronto Stock Exchange under the symbol HNT.UN. HREIT owns, directly or indirectly, 76 income producing commercial properties that have a total gross leasable area of 5.5 million square feet, located in five provinces and the Northwest Territories.

Notice to Readers

Certain statements contained in this press release may constitute forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "plan", "expect", "may", "will", "intend", "should", and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Forward-looking statements may also include, without limitation, any statement relating to future events, conditions or circumstances. The forward-looking statements contained in this press release include that the net proceeds of the Offering are intended to be used to redeem HREIT's 7.5% Series C convertible redeemable unsecured subordinated debentures and for general working capital purposes. The forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results or events to differ materially from current expectations including, but not limited to, the risks detailed from time to time in HREIT's filings with Canadian provincial securities regulators, available on SEDAR at www.sedar.com. HREIT cautions you not to place undue reliance upon any such forward-looking statements, which speak only as of the date they are made. Forward-looking statements are based on management's current plans, estimates, projections, beliefs and opinions, and HREIT does not undertake any obligation to update forward-looking statements should assumptions related to these plans, estimates, projections, beliefs and opinions change, except as required by applicable law.

SOURCE Huntingdon Real Estate Investment Trust

For further information:

Zachary R. George, Trustee, President and Chief Executive Officer
Tel: (604) 249-5119
Fax: (604) 249-5101
Email: zgeorge@hreit.ca

Profil de l'entreprise

Huntingdon Real Estate Investment Trust

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