RioCan Real Estate Investment Trust Announces $68 Million Development in Vaughan

TORONTO, ONTARIO -- (MARKET WIRE) -- 05/26/08 -- RioCan Real Estate Investment Trust ("RioCan") (TSX: REI.UN) today announced that it has commenced development of its greenfield development in Vaughan, Ontario. Strategically located in the Greater Toronto Area ("GTA"), Vaughan is easily accessible from Highways 400 and 27.

The development, a joint venture project with Trinity Development Group Inc. ("Trinity") and Strathallen Capital Corp., is located at the southwest corner of Highway 27 and Langstaff Road at Highway 427 Extension. Upon full completion, this new format retail centre will total approximately 504,000 square feet of leasable area. Phase one of the project features approximately 262,000 square feet. A Wal-Mart Supercentre (land lease) will occupy approximately 213,000 square feet and the remainder of the phase one retail space has been pre-leased to a number of national tenants. Construction of the Wal-Mart Supercentre is underway with an anticipated opening of January 2009.

Edward Sonshine, Q.C., President and CEO of RioCan, said, "We are pleased to be adding another prominent GTA location featuring a Wal-Mart Supercentre to our existing portfolio. Development of this greenfield site by our partner Trinity is an excellent example of RioCan's ongoing strategy of creating new income flows while at the same time enhancing the quality of our portfolio."

About RioCan

RioCan is Canada's largest real estate investment trust with a total capitalization of approximately $7.7 billion. It owns and manages Canada's largest portfolio of shopping centres with ownership interests in a portfolio of 216 retail properties, including 14 under development, containing an aggregate of over 57 million square feet. For further information, please refer to RioCan's website at www.riocan.com.

Contacts: RioCan Real Estate Investment Trust Rags Davloor Senior Vice President & CFO (416) 642-3554 Website: www.riocan.com

2008-05-26 10:45:03 0370080 MARKETWIRE