Retirement Residences Real Estate Investment Trust Responds To Trading Activity.

MISSISSAUGA, Ontario -- At the request of Market Regulation Services Inc. on behalf of the Toronto Stock Exchange ("TSX"), Retirement Residences Real Estate Investment Trust ("Retirement REIT") (TSX:RRR.UN)(TSX:RRR.DB.B)(TSX:RRR.DB.C) today confirmed that it has received an unsolicited approach from a third party proposing an acquisition transaction. Retirement REIT has formed a Special Committee of its Board of Trustees to deal with this matter.

The Board of Trustees of Retirement REIT will carefully consider this development and will determine the appropriate response in the circumstances. There can be no assurance that any transaction will be pursued or consummated. No further comment or announcement will be made unless the circumstances so warrant.

Retirement REIT is the largest provider of accommodation and care for seniors in Canada. Retirement REIT owns 216 retirement and long term care facilities, including 32 facilities in select United States markets, and provides management services to 10 homes for other parties, with an aggregate resident capacity in excess of 25,000. Retirement REIT also provides nursing placement and in-home health care through its Central Health Services unit. For further information, see the Retirement REIT website at www.retirementreit.com.

Retirement Residences Real Estate Investment Trust (TSX:RRR.UN) (TSX:RRR.DB.B) (TSX:RRR.DB.C)