DECEMBER 31, 2007. TORONTO, ONT. – Timbercreek Asset Management Inc. (“TAMI”) announced today, on behalfof Timbercreek REIT (“TREIT”), that TREIT has completed the acquisition ofTimbercreek Investments Inc. (“TII”). The amalgamation of the two Funds createsa combined entity of approximately $400 million in multifamily real estateassets. At the Special Meeting held on December 14, 2007, the preferredshareholders and debenture holders of TII (together “TII Securities holders”)approved the arrangement between TII and TREIT substantially on the termscontemplated in the plan of arrangement (the “Arrangement”). The Arrangementallowed for the TII Security holders to remain invested in the combinedportfolio by rolling their investment into TREIT and maintain the strong,stable returns they have come to expect from TII or to crystallize their gainsby electing cash. An overwhelming 92% of TII Securities holders have opted toremain invested in the portfolio.

TIIwas formed in May 1999 to capitalize on underperforming, multifamily residentialreal estate in Canada. In December 2004, TREIT was then created to co-investwith TII in the multifamily sector using a more simplified, tax efficient structure.Together, the two entities have accumulated over 6,000 units across 8 cities. TimbercreekAsset Management Inc. (“TAMI”) is one of Canada’s fastest growing alternativeasset class investment managers. TAMI has a value oriented investmentphilosophy, and specializes in providing conservatively managed, risk adverse privateinvestment opportunities to institutions, trusts and endowment funds, discretionaryinvestment advisors and qualified individuals. Timbercreek Asset ManagementInc. is the exclusive asset manager for Timbercreek Investments Inc. andTimbercreek REIT, which collectively own a portfolio of multi-family realestate with a total asset value of approximately $700 million.

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