RioCan REIT Announces Public Offering of $175 Million of Series T Senior Unsecured Debentures

April 11, 2013

TORONTO, ONTARIO--(Marketwired - April 11, 2013) -

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

RioCan Real Estate Investment Trust ("RioCan") (TSX:REI.UN) announced today that it has reached an agreement to issue to the public on a bought deal basis, subject to regulatory approval, $175 million principal amount of Series T senior unsecured debentures (the "Debentures"). 

The Debentures are being issued by a syndicate of underwriters co-led by RBC Capital Markets, TD Securities and BMO Capital Markets. The Debentures will carry a coupon rate of 3.725% and will mature on April 18, 2023. 

RioCan will use a portion of the proceeds from the offering to redeem its $150 million 5.65% Series M senior unsecured debentures due March 31, 2015 and the balance for general trust purposes.

It is a condition of closing that DBRS Limited ("DBRS") assign a rating of BBB(high) with a stable trend and Standard & Poor's, a division of the McGraw Hill Companies, Inc. ("S&P") assign a rating of BBB- for the Debentures.

The offering is being made under RioCan's base shelf short form prospectus dated June 11, 2012. The terms of the offering will be described in a prospectus supplement to be filed with Canadian securities regulators. The offering is expected to close on or about April 18, 2013.

The press release shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities in any jurisdiction. The Debentures being offered have not been and will not be registered under the U.S. Securities Act of 1933 and state securities laws. Accordingly, the Debentures may not be offered or sold to U.S. persons except pursuant to applicable exemptions from registration.

About RioCan:

RioCan is Canada's largest real estate investment trust with a total capitalization of approximately $14.3 billion as at December 31, 2012. It owns and manages Canada's largest portfolio of shopping centres with ownership interests in a portfolio of 346 retail properties containing more than 82 million square feet, including 52 grocery anchored and new format retail centres containing 13.6 million square feet in the United States through various joint venture arrangements as at December 31, 2012. RioCan's portfolio also includes 11 properties under development in Canada. For further information, please refer to RioCan's website at www.riocan.com.