Kingsway Arms Retirement Residences Inc. Closes Clarington Sale

TORONTO, ONTARIO--(Marketwired - June 3, 2014) - Kingsway Arms Retirement Residences Inc. (TSX VENTURE:KWA) (the "Company" or "Kingsway") is pleased to announce that it completed the sale of the Clarington Retirement Residence ("Clarington") to Seasons Retirement Communities on Friday, May 30, 2014.

The sale was unanimously approved by the Company's shareholders at its annual and special meeting of shareholders held on May 14, 2014 (the "Meeting"), and the TSX Venture Exchange has provided final acceptance of the transaction.

The details of the transaction are further described in the Company's press releases of May 12, 2014 and May 27, 2014, as well as the management information circular that was circulated in connection with the Meeting. The material agreements with respect to the transaction, namely, the Agreement of Purchase and Sale dated March 25, 2014 and the Amendment to the Agreement of Purchase and Sale dated May 6, 2014, are being filed on SEDAR.

About Kingsway Arms Retirement Residences Inc.:

Kingsway is the owner of a senior housing facility located in Aurora, Ontario. The Corporation continues to evaluate its mid- to long-term growth options and opportunities with a view toward building shareholder value.

Safe Harbor Statement:

This press release contains forward-looking statements. Such forward-looking statements are subject to a number of risks, assumptions and uncertainties that could cause the Company's actual results to differ materially from those projected in such forward-looking statements. In particular, factors that could cause actual results to differ materially from those in forward-looking statements include: our inability to obtain additional financing on acceptable terms; risk that our facilities will not gain widespread market acceptance; inability to compete with others who provide comparable facilities. Forward-looking statements speak only as of the date made and are not guarantees of future performance. We undertake no obligation to publicly update or revise any forward-looking statements. When used in this document, the words "believe," "expect," "anticipate," "estimate," "project," "plan," "should," "intend," "may," "will," "would," "potential," and similar expressions may be used to identify forward-looking statements.

This press release is not an offer of securities for sale in the United States. The securities of the Corporation referred to herein have not been and will not be registered under the United States Securities Act of 1933, as amended. Securities of the Corporation may not be offered or sold in the United States absent registration or an exemption from registration.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this press release.