Brookfield Completes US$432 Million Financing At One Liberty Plaza in Downtown Manhattan.

Business Editors

NEW YORK--(BUSINESS WIRE)--Jan. 31, 2001

Brookfield Properties Corporation (NYSE:BPO)(TSE:BPO.) today announced that it completed a US$432 million refinancing of its 2.2 million square foot One Liberty Plaza property in downtown Manhattan.

The investment grade financing, recourse only to the property, has a term of 10 years and a fixed rate coupon of 6.75%. The financing was underwritten by Goldman Sachs and will be placed with investors in the single asset CMBS securitization market.

The financing follows the signing mid-2000 of approximately 750,000 square feet of new leases with Goldman Sachs, and NASDAQ Stock Markets, who are relocating their world headquarters from Washington to Brookfield's One Liberty Plaza property.

A portion of the funds were utilized by Brookfield to extinguish debt currently on the property, and the balance will be utilized for general corporate purposes.

Brookfield Properties Corporation, with over US$8 billion in assets, owns and manages a portfolio of premier North American office properties, operates real estate service businesses and develops master planned communities. The Brookfield portfolio includes 50 commercial properties and development sites totaling over 45 million square feet, including landmark properties such as The World Financial Center in New York and BCE Place in Toronto. Brookfield is inter-listed on the New York and Toronto Stock Exchanges under the symbol BPO. For more information, visit the Brookfield Properties website at www.brookfieldproperties.com.