PURE INDUSTRIAL REAL ESTATE TRUST ANNOUNCES $67.5 MILLION OF PROPERTY ACQUISITIONS AND $30.0 MILLION EQUITY FINANCING

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

TORONTO, Jan. 10 /CNW/ - Pure Industrial Real Estate Trust (TSXV: AAR.UN) ("PIRET" or the "REIT") announced today that it has entered into agreements to acquire $67.5 million of income producing properties (the "Acquisitions"), consisting of four industrial buildings representing approximately 531,000 square feet of gross leasable area ("GLA").  The Acquisitions consist of two properties in British Columbia and two properties in Ontario and are being acquired at a weighted average going-in capitalization rate of 7.0%.

PIRET has also entered into an agreement to sell to a syndicate of underwriters led by Canaccord Genuity Corp. and Dundee Securities Corporation (the "Underwriters"), on a bought deal basis, 7,500,000 trust units ("Units") at a price of $4.00 per Unit for gross proceeds to PIRET of approximately $30.0 million (the "Financing"). PIRET has also granted the Underwriters an over-allotment option to purchase up to an additional 1,125,000 Units on the same terms and conditions, exercisable at any time, in whole or in part, up to 30 days after closing of the Financing. The Financing is expected to close on or about January 27, 2011 and is subject to regulatory approval.

The two British Columbia properties to be acquired by the REIT are located in Burnaby and Surrey and represent approximately 367,000 square feet of GLA.  The two Ontario properties are located in Guelph and Stoney Creek and represent approximately 164,000 square feet of GLA.  All the properties being acquired by the REIT are 100% leased to high quality national and regional tenants with a weighted average lease term of approximately 11.2 years.

The purchase price of the Acquisitions is expected to be settled with the proceeds of the Financing, approximately $39.5 million of mortgage financing bearing an anticipated weighted average interest rate of 4.65% and weighted average term of 8.3 years, and the balance through the REIT's existing cash balance.  The REIT also intends to use a portion of the net proceeds from the Financing to reduce its existing operating facility.

"With these acquisitions, PIRET continues to execute its accretive growth strategy and diversify its portfolio geographically. PIRET is pleased to enhance its presence in the healthy British Columbia and Ontario markets. The REIT continues to see accretive acquisition opportunities with robust spreads between capitalization rates and mortgage rates," said Darren Latoski, acting CEO of PIRET.

Immediately following the completion of the Acquisitions, PIRET's portfolio will comprise 37 properties, which represent approximately 2.5 million square feet of GLA. PIRET's portfolio (by GLA) will be diversified across Canada with 22% in British Columbia, 28% in Alberta, 7% in Saskatchewan, 6% in Manitoba, 27% in Ontario, 9% in Quebec and 1% in New Brunswick.

About Pure Industrial Real Estate Trust

PIRET is an unincorporated, open-ended investment trust established for the purposes of acquiring, owning and operating a diversified portfolio of income-producing industrial properties in primary markets across Canada.  PIRET focuses exclusively on investing in industrial properties and is the only publicly traded vehicle in Canada that offers investors exclusive exposure to Canada's industrial asset class. 

Additional information about PIRET is available at www.piret.ca or www.sedar.com.

Forward-Looking Information:

Certain statements contained in this news 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 in this news release include that the Financing is expected to close on or about January 27, 2011 and that the purchase price of the Acquisitions is expected to be settled with the proceeds of the Financing.  The forward-looking statements contained in this news release are based on certain key expectations and assumptions made by the REIT, including: expectations and assumptions concerning receipt of required regulatory approvals and the satisfaction of other conditions to the completion of and use of proceeds from the Financing.

Although the REIT believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the REIT can give no assurance that they will prove to be correct.  Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties.  Actual results could differ materially from those currently anticipated due to a number of factors and risks.  These include, but are not limited to, the failure to obtain necessary regulatory approvals or satisfy the conditions to closing the Financing, competitive factors in the industries in which the REIT operates, prevailing economic conditions, and other factors, many of which are beyond the control of the REIT.

The forward-looking statements contained in this news release represent the REIT's expectations as of the date hereof, and are subject to change after such date.  The REIT disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (as that term is defined in the policies of the TSX Venture Exchange) HAS REVIEWED OR ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR THE ACCURACY OF THIS RELEASE.

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

SOURCE Pure Industrial Real Estate Trust (PIRET)

For further information:

Andrew Greig, Director of Investor Relations

Pure Industrial Real Estate Trust
Suite 910, 925 West Georgia Street
Vancouver, BC  V6C 3L2
Phone: (604) 681-5959 or (888) 681-5959
E-mail: agreig@piret.ca
www.piret.ca


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