Retirement News : Seniors : Sunrise REIT acquires assisted living community in Erin Mills ...

Sunrise REIT acquires assisted living community in Erin Mills ...

Date Added: 21-06-2005

Sunrise Senior Living REIT (TSX:SZR.UN)
today announced it has acquired an 80% controlling interest (the "Interest")
in an assisted living community located in Erin Mills, Ontario for      
$16.2 million.
    The community features 70 suites with a capacity of 86 residents and is
opening slightly ahead of its scheduled opening in mid-July 2005. The
community was developed by and acquired from Sunrise Senior Living, Inc.
("Sunrise") (NYSE:SRZ). Sunrise owns the remaining 20% ownership interest and
will manage the property pursuant to a long-term agreement.
    The Interest was acquired pursuant to a fixed price acquisition agreement
executed at the time of the REIT's initial public offering in December 2004.
Under the agreement, the REIT may acquire at a future date the 20% interest
retained by Sunrise. Concurrent with the acquisition, Sunrise repaid a   
$4.8 million mezzanine loan incurred to finance the community's development.
Proceeds received from the loan repayment, together with cash drawn on the
REIT's operating line, were used to fund the $5.4 million cash portion of the
acquisition.
    "The acquisition of the Erin Mills community is the first property
generated from the REIT's loan-to-own program with Sunrise," noted    
Douglas J. MacLatchy, President and CEO of the REIT. "We are very pleased to
be adding to the portfolio of communities in the Greater Toronto Area, a very
strong market for us."

    About Sunrise Senior Living REIT
    Sunrise REIT is committed to delivering to unitholders reliable
distributions per unit that will increase over the long term and to maximizing
unitholder value by enhancing the long-term value of the REIT's assets. The
REIT intends to achieve this objective by pursuing a core investment strategy
focused on acquiring existing and newly-developed senior living communities in
major metropolitan markets and their surrounding suburban areas in Canada and
the United States.

    Certain statements contained in this news release may include    
forward-looking information with respect to the REIT's operations and future
financial results. Such statements are based on current expectations, are
subject to a number of uncertainties and risks, and actual results may differ
materially from those contained in such statements. These uncertainties and
risks include, but are not limited to, availability of resources, competitive
pressures, changes in market activity and regulatory requirements. Further
information can be found in disclosure documents filed by the REIT with
regulatory authorities, available at www.sedar.com.

For More Information: http://www.newswire.ca/en/releases/archive/June2005/20/c3648.html