Brookfield Office Properties to Acquire Portfolio of Office

Brookfield Office Properties to Acquire Portfolio of Office Buildings
in City of London 
LONDON -- (Marketwire) -- 06/19/12 --   Brookfield Office Properties
Inc. (NYSE: BPO) (TSX: BPO) today announced that it has agreed to
acquire a portfolio of premier office buildings and a development
site in the London financial district from Hammerson plc for $829
million (GBP 518 million). The portfolio consists of four operating
assets totaling 884,000 square feet (720,000 square feet at
ownership) which is being acquired at an initial yield of 6%. In
addition, the acquisition includes a development site with in-place
planning consent for an office and residential tower comprising
857,000 square feet.  
Brookfield is funding the acquisition through the assumption of $106
million (GBP 66 million) of debt, additional property-level debt
expected to be put in place prior to close, and from available cash
"This transaction is a unique opportunity for Brookfield Office
Properties to acquire a portfolio of top-quality office assets and a
well-located development site in the London market," said Dennis
Friedrich, president and global chief investment officer of
Brookfield Office Properties. "This acquisition aligns with our
strategy of providing front-office accommodations to the world's most
prestigious tenants by owning and operating premier properties that
are well-located within the most dynamic global markets." 
The major operating assets Brookfield has agreed to acquire are:  
125 Old Broad Street - This 328,000-square-foot class A 26-story
office tower at the site of the former London Stock Exchange was
completely redeveloped in 2008. The building is 98% leased to various
tenants. Brookfield will own a 50% stake in this building along with
the two existing joint venture partners.  
99 Bishopsgate - A 26-story, 339,000-square-foot office building that
was extensively redeveloped in 1995. The building is 62% occupied
(40% to lead tenant through 2021); the refurbishment of the balance
of the space was completed a couple of weeks ago. The property is two
blocks from Liverpool Street Station and adjacent to the 100
Bishopsgate development, which Brookfield Office Properties owns in a
50/50 joint venture with Great Portland Estates. 
Leadenhall Court - A 109
,000-square-foot office building located on
the corner of Gracechurch Street and Leadenhall Street within steps
of the Lloyd's of London building. The building is fully leased until
March 2014 to a single tenant.  
Brookfield has also agreed to acquire the Principal Place development
site for which planning consent has been granted for a
599,000-square-foot office tower, a 51-story, 237,000-square-foot
residential tower, and ancillary retail. The property is located
between the Liverpool Street and Shoreditch High Street rail
Additional smaller assets included in the acquisition are 1 Puddle
Dock and buildings on Shoreditch High Street adjoining Principal
The expected closing date of 99 Bishopsgate, Principal Place and the
smaller assets is September 30, 2012; 125 Old Broad Street and
Leadenhall Court are expected to close in June 2013. 
Please refer to the "London Acquisition Summary" on the Brookfield
Office Properties website for additional details.  
About Brookfield Office Properties
 Brookfield Office Properties
owns, develops and manages premier office properties in the United
States, Canada and Australia. Its portfolio is comprised of interests
in 110 properties totaling 78 million square feet in the downtown
cores of New York, Washington, D.C., Houston, Los Angeles, Denver,
Seattle, Toronto, Calgary, Ottawa, Sydney, Melbourne and Perth,
making it the global leader in the ownership and management of office
assets. Landmark properties include the World Financial Center in
Manhattan, Brookfield Place in Toronto, Bank of America Plaza in Los
Angeles, Bankers Hall in Calgary, and Darling Park in Sydney. The
company's common shares trade on the NYSE and TSX under the symbol
BPO. For more information, visit 
Forward-Looking Statements
 This press release contains
forward-looking statements and information within the meaning of
applicable securities legislation. Although Brookfield Office
Properties believes that the anticipated future results, performance
or achievements expressed or implied by the forward-looking
statements and information are based upon reasonable assumptions and
expectations, the reader should not place undue reliance on
forward-looking statements and information because they involve
assumptions, known and unknown risks, uncertainties and other factors
which may cause the actual results, performance or achievements of
the company to differ materially from anticipated future results,
performance or achievement expressed or implied by such
forward-looking statements and information. Accordingly, the company
cannot give any assurance that its expectations will in fact occur
and cautions that actual results may differ materially from those in
the forward-looking statements. Factors that could cause actual
results to differ materially from those set forth in the
forward-looking statements and information include, but are not
limited to, general economic conditions; local real estate
conditions, including the development of properties in close
proximity to the company's properties; timely leasing of
newly-developed properties and re-leasing of occupied square footage
upon expiration; dependence on tenants' financial condition; the
uncertainties of real estate development and acquisition activity;
the ability to effectively integrate acquisitions; interest rates;
availability of equity and debt financing; the impact of
newly-adopted accounting principles on the company's accounting
policies and on period-to-period comparisons of financial results;
and other risks and factors described from time to time in the
documents filed by the company with the securities regulators in
Canada and the United States, including in the Annual Information
Form under the heading "Business of Brookfield Office Properties -
Company and Real Estate Industry Risks," and in the company's most
recent interim report under the heading "Management's Discussion and
Analysis." The company undertakes no obligation to publicly update or
revise any forward-looking statements or information, whether as a
result of new information, future events or otherwise, except as
required by law. 
US & Canada
Brookfield Office Properties
Melissa Coley
VP, Investor Relations and Communications
(212) 417-7215 
John Kiely
Managing Director
+44 (0) 20 7903 0667 
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