MRT.UN Morguard Real Estate Investment Trust

TSX: MRT.UN

MISSISSAUGA, ON, Aug. 2, 2012 /CNW/ - Morguard Real Estate Investment Trust ("the Trust") (TSX: MRT.UN) today announced its financial results for the three and six months ended June 30, 2012 ("Q2").

Net income for the three and six months ended June 30, 2012 was $46.9 million and $90.9 million, respectively, as compared to $41.3 million and $64.7 million, respectively, for the same periods in 2011.

Net income per unit for the three and six months ended June 30, 2012 was $0.81 per unit ($0.76 per unit fully diluted) and $1.57 per unit ($1.48 per unit fully diluted), respectively, as compared to $0.73 per unit ($0.68 per unit fully diluted) and $1.14 per unit ($1.08 per unit fully diluted), respectively, for the same periods in 2011.

Funds from operations ("FFO") for the three and six months ended June 30, 2012 was $20.3 million and $40.0 million, respectively, as compared to $19.1 million and $38.7 million, respectively, for the same periods in 2011.

Funds from operations per unit for the three and six months ended June 30, 2012 was $0.35 per unit ($0.34 per unit fully diluted) and $0.69 per unit ($0.67 per unit fully diluted), as compared to $0.34 per unit ($0.33 per unit fully diluted) and $0.69 per unit ($0.66 per unit fully diluted), respectively, for the same periods in 2011.

Net operating income for the three and six months ended June 30, 2012 was $34.3 million and $68.1 million, respectively, as compared to $32.8 million and $ 66.0 million, respectively, for the same periods in 2011.

NET OPERATING INCOME, FFO

This press release and accompanying financial information make reference to net operating income and funds from operations ("FFO") on a total and per unit basis.  Net operating income is defined as income from property operations after operating expenses have been deducted, but prior to deducting interest expense, general and administrative expenses and fair value gains (losses).  FFO is defined as net income prior to extraordinary items, valuation adjustments, and certain other non-cash items, if any.

Readers are cautioned that although the terms "Net Operating Income" and "Funds from Operations" are commonly used to measure, compare and explain the operating and financial performance of Canadian real estate investment trusts and such terms are defined in the Management's Discussion and Analysis, such terms are not recognized terms under IFRS.  Such terms do not necessarily have a standardized meaning and may not be comparable to similarly titled measures presented by the other publicly traded entities.

FINANCIAL STATEMENTS AND MORGUARD'S DISCUSSION AND ANALYSIS

Morguard REIT's Q2 2012 Consolidated Financial Statement and Management's Discussion and Analysis along with its 2011 Annual Report are available on Morguard REIT's website at www.morguardreit.com and have been filed with SEDAR at www.sedar.com

ABOUT MORGUARD REAL ESTATE INVESTMENT TRUST

Morguard REIT is a closed-end real estate investment trust, which owns a diversified portfolio of 53 retail, office and mixed-use properties in Canada with a book value of $2.2 billion and approximately 8.5 million square feet of leaseable space.

Consolidated Balance Sheet

Consolidated Statements of Income and Comprehensive Income

Reconciliation of Net Income to Funds from Operations

SOURCE Morguard Real Estate Investment Trust