TMX group

WINNIPEG, July 24 /CNW/ - Westfield Real Estate Investment Trust (TSX:
WFD.UN) ("Westfield REIT") is pleased to advise that it has closed on the
previously announced acquisition of Horizon Heights, a well-located retail
development in north-east Calgary, and two industrial properties (Franklin
Showcase Warehouse and McCall Lake Industrial) in north-east Calgary.
Horizon Heights is a four building development, shadow anchored by an
adjacent Safeway grocery store and in close proximity to the Peter Lougheed
Regional Hospital, London Drugs, Sobeys and the regional Sunridge Mall. The
centre is comprised of 73,514 square feet of rentable area and is 100%
occupied. Over 66% of tenancies are considered "high credit rated" national
tenancies, such as Dollarama, the Bank of Nova Scotia and Blockbuster Video.
The Horizon Heights site also comes with a PAD expansion opportunity, which is
currently under development for a prospective tenant.
The Horizon Heights acquisition closed on July 17, 2006, for a purchase
price of $18.0 million, which represents a going-in capitalization rate of
7.4%. The $18.0 million purchase price was satisfied with cash and by assuming
an existing $9.7 million mortgage bearing interest at 5.76% per annum.
The Franklin Showcase Warehouse is a two-building complex with
approximately 69,000 square feet of leasable area, 100% occupied. Anchor
tenants are Windsor Building Supplies and Eastside Dodge. This industrial
property is located in the Franklin Industrial Park, which attracts higher
rents due to its proximity to Calgary's Northgate Village Mall power centre
and the Sunridge and Marlborough Malls. McCall Lake Industrial is an
attractive two-storey two-building light-industrial/commercial complex
comprised of approximately 91,000 square feet of leasable space. The buildings
accommodate both office and warehouse space and are 100% occupied by a
combination of local and national tenants. McCall Lake Industrial is located
in close proximity to Deerfoot Trail and the 32nd Avenue commercial corridor,
ten minutes from downtown Calgary.
The Franklin Showcase Warehouse acquisition closed on July 14, 2006, for
a purchase price of $7.79 million, which represents a going-in capitalization
rate of 7.5%. The purchase price was satisfied with cash and a mortgage
financing package aggregating $5.1 million. The blended mortgage rate bears
interest at a rate of 5.38% per annum. The McCall Lake Industrial acquisition
closed on June 29, 2006, for a purchase price of $8.25 million, which
represents a going-in capitalization rate of 7.7%. The acquisition was
financed from the proceeds of a new $5.3 million mortgage bearing interest at
a rate of 5.60% per annum.
Including the two industrial acquisitions, Westfield REIT's commercial
property acquisitions to date represent approximately 2.9 million square feet
of leasable area, 65% of which is in Alberta.

Westfield REIT's units trade on the TSX under the symbol WFD.UN.
Westfield REIT's objective is to acquire and maintain a growing portfolio of
properties and provide stable cash distributions to its unitholders. Westfield
REIT focuses exclusively on high-quality commercial properties in Western
Canada, primarily in the Province of Alberta.

This press release contains forward-looking statements. Westfield REIT is
subject to significant risks and uncertainties which may cause the actual
results, performance or achievements of Westfield REIT to be materially
different from any future results, performance or achievements expressed or
implied in these forward-looking statements. Such risk factors include, but
are not limited to, risks associated with real property ownership,
availability of cash flow, general uninsured losses, future property
acquisitions, environmental matters, tax related matters, debt financing,
unitholder liability, potential conflicts of interest, potential dilution,
reliance on key personnel, changes in legislation and potential changes in the
tax treatment of trusts. Westfield REIT cannot assure investors that actual
results will be consistent with any forward-looking statement and Westfield
REIT assumes no obligation to update or revise such forward-looking statements
to reflect actual events or new circumstances.

The TSX does not accept responsibility for the adequacy or accuracy of
this press release.