Whiterock REIT Announces $44 Million Acquisition of Office Property in
Downtown Ottawa

TORONTO, Aug. 26 /CNW/ - Whiterock Real Estate Investment Trust (TSX:WRK.UN), a growth oriented REIT with a significant presence in major markets, announced today that it has acquired a high quality office tower located at 219 Laurier Avenue West, a government-leased primary market asset in downtown Ottawa. In keeping with its active acquisition program, Whiterock and a co-owner acquired the building for $43.5 million before closing costs, at a cap rate of 7.5%.

219 Laurier Avenue West is a 14-storey building centrally located in downtown Ottawa, minutes away from Parliament Hill and is in close proximity to Highway 417, one of the three major highways located in Greater Ottawa.

The office tower is 100% occupied, has an average remaining lease term of approximately 5.8 years and is comprised of approximately 188,750 square feet of rentable space. Its primary tenants are agencies of the federal government of Canada, occupying approximately 97% of the leased space. Through this acquisition, 44.3% of Whiterock's portfolio revenue now consists of government and investment grade tenants.

Whiterock's 40% equity investment in the property, net of the first mortgage debt, totals approximately $6.1 million. Whiterock used funds available under its credit facility to finance its investment. The first mortgage debt on 219 Laurier Avenue West totals $30,450,000, representing a 70% loan-to-value ratio, and has a seven year term with a 5% fixed-term interest rate.

Whiterock's partner on this acquisition is Return on Innovation Capital Ltd., an investment firm based in Toronto that specializes in private placement investments, including a focus on high quality properties with visible growing cash flow streams backed by solid covenants and long term leases. With over $900 million in assets, ROI Capital Ltd is one of the fastest growing investment firms in Canada.

Whiterock owns, co-owns and/or manages a portfolio that now totals approximately 7 million square feet across 70 properties. Whiterock's owned and co-owned properties now have a weighted average lease term of approximately 6.4 years.

Forward-Looking Statements

This news release contains "forward-looking statements" within the meaning of applicable securities legislation. These forward-looking statements generally can be identified by the use of forward-looking terminology such as "may", "will", "expect", "estimate", "anticipate", "intend", "believe" or "continue", the negative forms thereof and similar expressions suggesting future outcomes or events. Such forward-looking statements reflect management's current beliefs and are based on information currently available to management. These statements are not guarantees of future events or performance and, by their nature, are based on Whiterock's estimates and assumptions, which are subject to known and unknown risks, uncertainties and other factors that may cause the actual events, results or prospects to be materially different from those expressed or implied herein. Readers are cautioned that a number of risks, uncertainties and other factors, including but not limited to the risk that the transactions described herein may not be completed in a timely way or at all, and the risks discussed in Whiterock's various securities filings, including the section entitled "Risk Factors" in Whiterock's Annual Information Form, which can be obtained at www.sedar.com, could cause actual events, results or prospects to differ materially from those stated or implied. These risks, uncertainties and other factors should be considered carefully, and a reader should not place undue reliance on forward-looking statements, as there can be no assurance that actual events, results or prospects will be consistent with such statements. Except as required by law, Whiterock does not undertake, and specifically disclaims, any obligation to update or revise any forward-looking statements, whether as a result of new information, future developments or otherwise.

The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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For further information: www.whiterockreit.ca; Jason Underwood, 416-907-4861; Frank Bucys, CFO, 416-907-4864