TORONTO, April 1 /CNW/ - H&R Real Estate Investment Trust ("H&R") (TSX: HR.UN; HR.DB) is pleased to announce that commitments have been secured from various Canadian financial institutions resulting in the successful syndication, co-led by RBC Capital Markets and TD Securities, of a $425-million construction facility (the "Financing") for H&R's development project in Calgary - "The Bow". Legal documentation is currently being negotiated. The closing of the Financing, which is expected within the next few weeks, is subject to certain customary conditions, including completion of documentation, which are typical for a construction facility.

H&R President & CEO Tom Hofstedter said, "We are very pleased to have reached this important milestone in the development of what will be the largest office tower in Canada west of Toronto, and a magnificent addition to H&R's North American portfolio. This major financing is a testament to the confidence that Canadian financial institutions have in H&R's ability to build a landmark office tower successfully."

About H&R REIT

H&R REIT is an open-ended real estate investment trust, which owns a North American portfolio of 35 office, 123 industrial and 121 retail properties comprising 42 million square feet, with a net book value of $4.7 billion. H&R Finance Trust is an unincorporated investment trust, which primarily invests in notes issued by an H&R REIT subsidiary. The units of H&R REIT trade together with the units of H&R Finance Trust as stapled units on the Toronto Stock Exchange. The foundation of H&R's success since inception in 1996 has been a disciplined strategy that leads to consistent and profitable growth. Additional information regarding H&R REIT and H&R Finance Trust is available at www.hr-reit.com and on www.sedar.com.

Certain information in this news release contains forward-looking information within the meaning of applicable securities laws (also known as forward-looking statements) including, among others, statements relating to H&R REIT's and H&R Finance Trust's objectives, strategies to achieve those objectives, REIT's and H&R Finance Trust's beliefs, plans, estimates, and intentions, and similar statements concerning anticipated future events, results, circumstances, performance or expectations that are not historical facts including, in particular, H&R REIT's expectation regarding future developments in connection with The Bow. Forward-looking statements generally can be identified by words such as "outlook", "objective", "may", "will", "expect", "intend", "estimate", "anticipate", "believe", "should", "plans", "project", "budget" or "continue" or similar expressions suggesting future outcomes or events. Such forward-looking statements reflect H&R REIT's and H&R Finance Trust's current beliefs and are based on information currently available to management. These statements are not guarantees of future performance and are based on H&R REIT's and H&R Finance Trust's estimates and assumptions that are subject to risk and uncertainties, including those discussed in H&R REIT's and H&R Finance Trust's materials filed with the Canadian securities regulatory authorities from time to time, which could cause the actual results and performance of H&R REIT and H&R Finance Trust to differ materially from the forward-looking statements contained in this news release. Those risks and uncertainties include, among other things: Unit prices; availability of cash for distributions; development and financing relating to The Bow development; liquidity; credit and tenant concentration; interest rates and financing; tax; ability to access capital markets; dilution; lease rollover; construction; real property; debentures; mezzanine financing credit; currency risk; environmental matters; redemption right; and unitholder liability. Material factors or assumptions that were applied in drawing a conclusion or making an estimate set out in the forward-looking statements include that the general economy is stable; local real estate conditions are stable; interest rates are relatively stable; and equity and debt markets continue to provide access to capital. H&R REIT and H&R Finance Trust caution that this list of factors is not exhaustive. Although the forward-looking statements contained in this news release are based upon what H&R REIT and H&R Finance Trust believe are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements. All forward-looking statements in this news release are qualified by these cautionary statements. These forward-looking statements are made as of today, and H&R REIT and H&R Finance Trust, except as required by applicable law, assumes no obligation to update or revise them to reflect new information or the occurrence of future events or circumstances.

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