TORONTO, ONTARIO–(Marketwired – July 11, 2016) –

NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE SERVICES

Canadian Apartment Properties Real Estate Investment Trust (“CAPREIT”) (TSX:CAR.UN) of Toronto, Ontario announced today that it has agreed to sell, subject to regulatory approval, 4,660,000 units at a price of $32.20 per unit for aggregate gross proceeds of $150,052,000 (the “Offering”) to a syndicate of underwriters led by RBC Capital Markets on a bought-deal basis. CAPREIT has granted the underwriters an over-allotment option (the “Over-Allotment Option”), exercisable in whole or in part up to 30 days after closing of the Offering, to purchase up to an additional 466,000 units to cover over-allotments, if any.

CAPREIT will, within the next few days, file with the securities commissions and other similar regulatory authorities in each of the provinces and territories of Canada, a preliminary short form prospectus relating to the issuance of the units. Closing of the Offering is expected to take place on or about August 3, 2016.

CAPREIT intends to use the net proceeds of the Offering:

1. first to partially repay CAPREIT’s acquisition and operating facility in the amount of approximately $143 million, which was utilized by CAPREIT to, among other uses, partially fund previous acquisitions; and
2. the remainder, if any, for future acquisitions, capital expenditures and for general trust purposes.

Upon closing of the Offering, and excluding the effect of the Over-Allotment Option, the repayment of approximately $143 million of the currently drawn acquisition and operating facility, with the net proceeds of the Offering, will reduce CAPREIT’s total debt to gross book value ratio to 45.5% from 47.4% as at March 31, 2016, after giving effect to subsequent events. CAPREIT’s acquisition capacity is expected to be approximately $770 million, based on the remaining liquidity available under the acquisition and operating facility, and assuming 65% loan-to-value mortgage financing.

Thomas Schwartz, President & Chief Executive Officer of CAPREIT, added, “We are very pleased with the continued growth of CAPREIT’s portfolio through selective high-quality acquisitions in desired markets. Since our last equity offering in 2015, we’ve grown our portfolio through the acquisition of 1,992 suites and sites, at an aggregate purchase price of approximately $305 million. This equity offering will further strengthen our acquisition and investment capacity to support continued accretive growth, while maintaining our low leverage ratio.”

Recent Acquisitions

The following table highlights information about recent acquisitions completed by CAPREIT:

Date Completed		Location	Property Type	Property Class	Total Suites and Sites	Acquisition Cost ($ millions)
June 30, 2016		Ottawa, ON	Townhome	Mid-Tier/ Affordable	850	$	183.1
June 15, 2016		Victoria, BC	Apartment	Mid-Tier	21	$	2.6
May 11, 2016		Fort St. John, BC	MHC	n/a	144	$	8.7
May 11, 2016		Mississauga, ON	Townhome	Mid-Tier	55	$	10.2
April 26, 2016		Markham, ON	Townhome	Mid-Tier	71	$	16.6
April 12, 2016		Charlottetown, PEI	Apartment	Mid-Tier	12	$	1.2
January 20, 2016		London, ON	Apartment/ Townhome	Mid-Tier	670	$	52.9
December 15, 2015		Victoria, BC	Apartment	Mid-Tier	169	$	29.4
Total					1,992	$	304.6

CAPREIT intends to make monthly cash distributions to unitholders of record on each record date, on or about the 15th day of the month following the record date. CAPREIT’s current monthly cash distribution is $0.10417 per unit. The first cash distribution to which purchasers of the units under this Offering will be entitled to participate will be for the month of August, with a record date of August 31, 2016 and a payment date of September 15, 2016.

This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities being offered have not been and will not be registered under the U.S. Securities Act of 1933 as amended and may not be offered or sold in the United States absent registration or pursuant to applicable exemption from registration.

ABOUT CAPREIT

As one of Canada’s largest residential landlords, CAPREIT is a growth-oriented investment trust owning interests in 48,609 residential units, comprising 42,166 residential suites and 31 manufactured home communities comprising 6,443 land lease sites located in and near major urban centres across Canada. For more information about CAPREIT, its business and its investment highlights, please refer to our website at www.caprent.com or www.capreit.net and our public disclosure, which can be found under our profile at www.sedar.com.

CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING STATEMENTS

All statements in this press release that do not relate to historical facts constitute forward-looking statements. These statements represent CAPREIT’s intentions, plans, expectations and beliefs and are subject to certain risks and uncertainties that could result in actual results differing materially from these forward-looking statements. These risks and uncertainties are more fully described in regulatory filings that can be obtained on SEDAR at www.sedar.com.

Canadian Apartment Properties Real Estate Investment Trust
Mr. Thomas Schwartz
President & CEO
(416) 861-9404

Canadian Apartment Properties Real Estate Investment Trust
Mr. Michael Stein
Chairman
(416) 861-5788

Canadian Apartment Properties Real Estate Investment Trust
Mr. Scott Cryer
Chief Financial Officer
(416) 861-5771
www.caprent.com
www.capreit.net

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