Cornwall Square Shopping Centre

On August 9, 2007, Charter REIT acquired the Cornwall Square Shopping Centre ("Cornwall Square"), a two-level enclosed shopping centre located in Cornwall, Ontario for an aggregate cash purchase price of $41.70 million before closing costs.

Cornwall Square is strategically located next to the Cornwall waterfront in the heart of the city's downtown retail sector. Adjacent land uses include a number of government offices including Parks Canada, the Cornwall Civic complex and the Department of Justice building. The site encompases an area of approximately 9.16 acres. There are 1,180 parking spaces on the site (4.7 spaces per 1,000 square feet of gross leasable area), with approximately 1,000 spaces located within a four-level parking deck. Management believes that the property is the dominant fashion shopping centre in the region and draws from a broad trade area encompassing approximately 109,000 people.

Cornwall Square was originally built in 1979 and was expanded in 1989 with the addition of a food court on the second level. The centre is anchored by a 96,909 square foot Sears store and a 41,058 square foot Loblaws grocery store operating under the "No Frills" banners. There are approximately 58 additional retail tenants. The centre is currently 98.68% leased.

In the next five years, leases representing the percentage of leased retail square feet set out below will expire:

The purchase price was financed with cash.

Pursuant to a property management agreement between Charter and Redcliff Realty Management Inc. ("Redcliff"), Redcliff provides property management services for Cornwall Square.

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