BTB REIT announces change in distributions and new management agreement

    MONTREAL, Feb. 18 /CNW Telbec/ - The trustees of BTB Real Estate
Investment Trust (TSX-V: BTB.UN) ("BTB" or the "REIT") announced today that
the distribution declared for the month of March, 2009 is $0.0067, per REIT
unit, equal to $0.08 per REIT unit on an annualized basis, representing an
annual yield of approximately 13.8% based on the February 17, 2009 REIT unit
closing price of $0.58 per REIT unit. Payment will be made on or about March
15, 2009 to REIT unitholders of record on February 28, 2009. At the close of
business on February 17, 2009, 33,521,387 REIT units of BTB were issued and


    The distribution amount of $0.08 (on an annualized basis) represents a
50% decrease in distributions compared to distributions paid since May 15,
2008. Commenting on the change in distributions, Michel Leonard, President and
Chief Executive Officer of BTB stated: "BTB is closely monitoring current
conditions of credit and capital markets, and recognizes the need for a
proactive approach. Without forward visibility as to the extent and length of
prevailing negative market sentiment, the REIT believes that it is in the best
long term interest of its unitholders that BTB take a conservative approach to
the preservation of capital. Consequently, management and the trustees of BTB
have elected to reduce distributions to a level, where cash requirements,
including capital improvements to its portfolio, should be satisfied by
internally generated cash flows. The annualized $0.08 in distributions is
approximately half the AFFO generated by BTB through the twelve month period
of fiscal 2008. In a further move to improve profitability and increase
internally generated cash flows, management has undertaken a review of its
operations and is implementing measures to reduce its General & Administrative
(G&A) expenditures by approximately 20%, as well as lower operational costs
for the REIT following the announced internalization of management of the
properties which will improve financial performance going forward."


    As part of the operational cost saving measures, BTB and AMTB Management
Inc. ("AMTB") have agreed to terminate, as of March 31, 2009, the management
agreements. Peter Polatos, officer of AMTB, of TB Subsidiary Trust ("TB") and
of BTB will leave its responsibilities with AMTB, TB and BTB but will remain
on the Board of Trustees of BTB. Michel Léonard, President, Chief Executive
Officer and Trustee of the REIT who provided his services through AMTB will
remain President, Chief Executive Officer and Trustee of BTB under a new
contractual agreement. The new agreement will generate substantial cost
savings for BTB as compared to the prior agreement.


    BTB is a real estate investment trust listed on the TSX Venture Exchange.
Its objective is to provide unitholders with stable cash distributions from
investments in a quality portfolio of long-term leased office, industrial,
commercial and retail properties predominantly located in the province of
Quebec. BTB is led by a team that boasts in-depth experience in the real
estate field and a governance and business-focused board of trustees.


    This press release contains forward looking statements. Forward-looking
statements are subject to risks, uncertainties and assumptions. Although the
trustees of BTB believe that the expectations represented in such
forward-looking statements are reasonable, there can be no assurance that such
expectations will prove to be correct. Some of the factors and risks which
could affect future results and could cause results to differ materially from
those expressed in the forward-looking statements contained herein include the
impact of general economic conditions, industry conditions, governmental
regulation, environmental risks, competition from other industry participants,
stock market volatility, the ability to access sufficient capital from
internal and external sources and the risk of fluctuation and variation in
actual operating results, which variation may be material. A full description
of these risks and uncertainties can be found in BTB's Short Form Prospectus
dated March 13, 2008 and Annual Information Form dated April 28, 2008 which
are available electronically at
    The forward-looking statements contained herein are expressly qualified
in their entirety by this cautionary statement. The forward-looking statements
included herein are made as of the date hereof and BTB does not undertake any
obligation to publicly update such forward-looking statements to reflect new
information, subsequent events or otherwise.

    Neither TSX Venture Exchange nor its Regulation Services Provider (as
    that term is defined in the policies of the TSX Venture Exchange) accepts
    responsibility for the adequacy or accuracy of this release.

For further information:

For further information: Mr. Michel Léonard, President and Chief
Executive Officer, BTB Real Estate Investment Trust, (514) 286-0188, ext. 228

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