IPC REIT Unitholders Overwhelmingly Approve Transaction with Behringer Harvard



    TORONTO, Oct. 16 /CNW/ - IPC US Real Estate Investment Trust ("IPC REIT")
(TSX: US$:IUR.U, C$:IUR.UN) announced today that its Unitholders
overwhelmingly approved the proposed transaction with Behringer Harvard
REIT I, Inc., which includes the sale by IPC REIT to Everclear Acquisition
Corporation, a wholly-owned subsidiary of Behringer Harvard, of all of the
outstanding common shares of IPC Realty Holdings Company and the amendment of
the IPC REIT declaration of trust to provide for the redemption of all
outstanding units and the subsequent termination of IPC REIT.
    The transaction was approved by approximately 97.4% of the votes cast by
Unitholders present or represented by proxy at a special meeting of
Unitholders held today to consider the proposed transaction. The Unitholder
approval fulfills the requisite 66 2/3% majority under the IPC REIT
declaration of trust.
    Pursuant to a purchase agreement dated August 14, 2007, Everclear has
agreed to indirectly acquire the assets and assume the liabilities of IPC REIT
in an all cash transaction valued at approximately US$1.4 billion. Following
closing, all of the issued and outstanding units of IPC REIT will be redeemed
at a redemption price of US$9.75 per Unit in cash plus (i) any declared and
unpaid monthly distributions, and (ii) $0.0667 per Unit, pro rated on the
basis of the number of days that have passed in the month in which the closing
occurs. IPC REIT will thereafter be wound up. IPC REIT is entitled to continue
paying its monthly distributions of $0.0667 per unit.
    Subject to IPC REIT obtaining regulatory approvals and all required third
party consents, the transaction is expected to close mid to late November
2007. IPC REIT will notify Unitholders of the closing date by press release
once it is in a position to do so.

    About IPC REIT

    IPC REIT is the only real estate investment trust in Canada that invests
exclusively in U.S. commercial real estate. IPC REIT beneficially owns an
87.0% interest in IPC (US), Inc., which has ownership interests in a portfolio
of 35 office buildings comprising a total of 9.6 million square feet of
rentable space.
    The Units of IPC REIT are listed on the Toronto Stock Exchange under the
symbol "IUR.UN" for Canadian dollar quoted Units and "IUR.U" for US dollar
quoted Units. For more information on IPC REIT, please visit IPC REIT's
website at www.ipcreit.com.

    About Behringer Harvard

    Behringer Harvard is a commercial real estate company investing in assets
in the U.S. and internationally. The company creates and manages strategic
real estate fund opportunities across a wide spectrum of investment styles for
retail investors, as well as domestic and international institutions, through
its real estate investment trusts, partnerships, joint ventures and
proprietary program structures. For more information, visit
www.behringerharvard.com.

    Forward-Looking Statements

    From time to time, IPC REIT makes written or oral forward-looking
statements. Statements of this type are included in this press release, and
may be included in other filings with Canadian securities regulators and other
communications. All such statements are made pursuant to the 'safe harbour'
provisions of, and are intended to be "forward-looking statements", within the
meaning of the United States Private Securities Litigation Reform Act of 1995
and forward looking information under the provisions of Canadian provincial
securities laws. Forward-looking statements may involve, but are not limited
to, comments with respect to our objectives and priorities for 2007 and
beyond, our strategies or future actions, our targets, expectations for our
financial condition or Unit price, and the results of or outlook for our
operations or for the Canadian or U.S. economies. The words "may", "could",
"should", "would", "suspect", "outlook", "believe", "plan", "anticipate",
"estimate", "expect", "intend", "forecast", "objective", and words and
expressions of similar import are intended to identify forward-looking
statements.
    By their nature, forward-looking statements require us to make
assumptions and are subject to inherent risks and uncertainties. There is
significant risk that predictions, forecasts, conclusions or projections will
not prove to be accurate, that our assumptions may not be correct and that
actual results may differ materially from such predictions, forecasts,
conclusions or projections. We caution readers of this press release not to
place undue reliance on our forward-looking statements as a number of factors
could cause actual future results, conditions, actions or events to differ
materially from the targets, expectations, estimates or intentions expressed
in the forward-looking statements. These factors include industry risk, risks
inherent in the ownership of real property, competition, financial leverage,
additional funding requirements, capital requirements for growth, interest
rates, tenant bankruptcies, labour disruptions, geographic concentration,
foreign exchange risk, environmental liability risk, credit risk, availability
of cash flow for distributions and liquidity risk. We caution that the
foregoing list of important factors that may affect future results is not
exhaustive. When relying on our forward-looking statements to make decisions
with respect to us, investors and others should carefully consider the
foregoing factors and other uncertainties and potential events. We do not
undertake to update any forward-looking statement, whether oral or written,
that may be made from time to time by us or on our behalf.

    %SEDAR: 00017112E




For further information:

For further information: Gary M. Goodman, President and Chief Executive
Officer, IPC US REIT, Tel: (416) 929-0514, Fax: (416) 929-5314,
investorrelations@ipcreit.com

Organization Profile

IPC US REAL ESTATE INVESTMENT TRUST

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