Alexis Nihon REIT Announces a Proposal by Homburg Invest Inc. to Increase Its All Cash Offer to $18.60 Constitutes a Superior Proposal

MONTREAL, QUEBEC--(CCNMatthews - Feb. 16, 2007) - Alexis Nihon Real Estate Investment Trust ("Alexis Nihon") (TSX: AN-UN.TO) announces it received earlier today from Homburg Invest Inc. ("Homburg") a proposal to increase its previously announced all cash offer to acquire all the issued and outstanding units of Alexis Nihon that it does not already own from $18.50 to $18.60 per unit, subject to execution of a support agreement by Alexis Nihon and Homburg (the "Homburg Offer").

The Homburg Offer is open for acceptance until the expiry of the period during which Cominar Real Estate Investment Trust ("Cominar") may exercise its right to match under the Combination Agreement dated December 3, 2006 between Alexis Nihon and Cominar, as amended on December 20, 2006 and on January 24, 2007 (the "Combination Agreement").

The proposed support agreement would be substantially on the same terms as those contained in the Combination Agreement, and include a break fee of $12.5 million payable in similar circumstances to those contained in the Combination Agreement.

The board of trustees of Alexis Nihon, after having received a verbal report and a favourable recommendation from its Transaction Committee, has determined that the Homburg Offer constitutes a Superior Proposal within the meaning of the Combination Agreement. In making its recommendation, the Transaction Committee received presentations from its financial and legal advisors. Robert A. Nihon, being a party to a lock-up agreement with Cominar, abstained from voting on this determination. Alexis Nihon has properly notified Cominar of its determination that the Homburg Offer is a Superior Proposal within the meaning of the Combination Agreement, allowing it to exercise its right to match.

Pursuant to the Combination Agreement, Cominar has until the end of the day on February 21, 2007 to revise its current offer such that this revised offer results in a transaction equal to or more favourable from a financial point of view than the Homburg Offer to the unitholders of Alexis Nihon. In the event Cominar does not exercise its right to match, Alexis Nihon will be entitled to terminate the Combination Agreement upon payment of a $12.5 million termination fee to Cominar and then execute a support agreement with Homburg.

Forward-looking Statements

This document may contain forward-looking statements, relating to Alexis Nihon REIT's operations or to the environment in which it operates, which are based on Alexis Nihon REIT's operations, estimates, forecasts and projections. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict, and/or are beyond Alexis Nihon REIT's control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in these forward-looking statements. These factors include those set forth in other public filings. In addition, these forward-looking statements relate to the date on which they are made. Alexis Nihon REIT disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

About Alexis Nihon REIT

The REIT currently owns interests in 65 office, retail, and industrial properties, including a 426-unit multi-family residential property, located in the greater Montreal area and the National Capital Region. The REIT's portfolio has an aggregate of 9.1 million square feet of leasable area, of which 0.4 million square feet is co-owned.

Contacts

Guy Charron, CA
Alexis Nihon Real Estate Investment Trust
Executive Vice President and Chief Operating Officer
(514) 931-2591 extension 308
Email: guy.charron@alexisnihon.com
Website: www.alexisnihon.com