CALGARY, ALBERTA--(Marketwire - May 27, 2011) -

NOT FOR DISTRIBUTION IN THE UNITED STATES OR DISSEMINATION TO U.S.WIRE SERVICES.

Northern Property Real Estate Investment Trust (the "REIT") and NorSerCo Inc. ("NorSerCo") (together, "NPR") (TSX:NPR.UN), announced today that they have closed their previously announced public offering of 1,955,000 NPR stapled trust units (the "Stapled Units"), including 255,000 Stapled Units sold pursuant to the exercise of the underwriters' over-allotment option, at a price of $29.85 per Stapled Unit for gross proceeds of $58,356,750. The offering was completed on a "bought deal" basis by a syndicate of underwriters led by CIBC, and including BMO Capital Markets Inc., RBC Capital Markets Inc., Scotia Capital Inc., Dundee Securities Ltd., GMP Securities LP, Macquarie Capital Markets Canada Ltd. and TD Securities Inc.

The net proceeds to NPR of the Offering will be $55.5 million, after deducting expenses of the Offering, and will be allocated as to $54.9 million to the REIT and $0.6 million to NorSerCo. NPR intends to use the net proceeds from the sale of the Stapled Units principally to fund several acquisitions which NPR completed in the first quarter of 2011, including 151 apartment units in Nanaimo and 230 apartment units in Jasper. As well, NPR has entered into an agreement to acquire a portfolio of properties located in Iqaluit, Nunavut.

CAUTIONARY STATEMENTS REGARDING FORWARD‐LOOKING STATEMENTS.

This news release contains forward‐looking statements relating to our distributions and the closing of the proposed offering of Stapled Units which are based on our expectations, estimates, forecasts or projections. These statements are not future guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. Therefore, actual outcomes and results may differ materially from those expressed in these forward‐looking statements. Readers, therefore, should not place undue reliance on any such forward‐looking statements. Further, a forward‐looking statement speaks only as of the date on which such statement is made.