Brookfield Acquires Quality Portfolio of Apartment Communities

Mon Feb 11, 2013 7:30am EST

* Reuters is not responsible for the content in this press release.

Brookfield Asset Management Inc. (TSX:BAM.A)(NYSE:BAM)(EURONEXT:BAMA)
today announced the acquisition of portfolio of 19 apartment communities
with 4,892 units located in North Carolina, South Carolina and Virginia
for a total of $414 million from Babcock & Brown Residential.

    This high quality portfolio is concentrated in the Charlotte and
Raleigh-Durham sub-markets where strong economic and population growth is
expected to yield superior occupancy rates and rental increases. The
average occupancy of the portfolio is 92%. The portfolio is currently
financed with individual non-recourse first mortgage loans which have
been assumed as part of the transaction. 

    Fairfield Residential, an affiliate of Brookfield, has an existing
geographic footprint in these same markets and will manage the assets in
the portfolio. Brookfield intends to invest an additional $30 million to
maximize value in the portfolio by selectively upgrading and
repositioning assets to increase rents and return on investment. This
transaction will bring Brookfield's growing multifamily portfolio to
approximately 20,000 units throughout the United States. 

    "The acquisition of this attractive portfolio adds to Brookfield's
significant multi-family platform and positions us for continued growth
in this property sector," said David Arthur, managing partner at
Brookfield Asset Management.

    Babcock & Brown was advised by Robert W. Baird & Co.

    Brookfield Asset Management Inc. is a global alternative asset manager
with approximately $150 billion in assets under management. The company
has over a 100-year history of owning and operating assets with a focus
on property, renewable power, infrastructure and private equity.
Brookfield has a range of public and private investment products and
services, which leverage our expertise and experience and provide us with
a competitive advantage in the markets where we operate. Brookfield is
co-listed on the New York and Toronto Stock Exchanges under the symbol
BAM and BAM.A, respectively, and on NYSE Euronext under the symbol BAMA.
For more information, please visit our website at

    Fairfield Residential is among the most experienced multifamily real
estate operating companies in the United States and provides
acquisitions, entitlement, development, construction, redevelopment,
property and asset management, and disposition services to its joint
venture partners and affiliates, and to third parties. Fairfield is
active in 40 geographically diverse markets and currently manages
approximately 50,000 apartment homes across the U.S. Fairfield has
developed and acquired $20 billion of real estate assets and has sold
more than $13.0 billion in multifamily investments. 

    For more information, please visit our web site at

    Forward Looking Statements and Information 

    This press release contains "forward-looking information" within the
meaning of Canadian provincial securities laws and "forward-looking
statements" within the meaning of Section 27A of the U.S. Securities Act
of 1933, as amended, Section 21E of the U.S. Securities Exchange Act of
1934, as amended, "safe harbor" provisions of the United States Private
Securities Litigation Reform Act of 1995 and in any applicable Canadian
securities regulations. Forward-looking statements include statements
that are predictive in nature, depend upon or refer to future events or
conditions, include statements regarding the operations, business,
financial condition, expected financial results, performance, prospects,
opportunities, priorities, targets, goals, ongoing objectives, strategies
and outlook of Brookfield and Verde, as well as the outlook for North
American and international economies for the current fiscal year and
subsequent periods, and include words such as "expects", "intends" or
negative versions thereof and other similar expressions, or future or
conditional verbs such as "may," "will," "should," "would" and "could". 

    Although we believe that our 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 known and unknown risks, uncertainties
and other factors, many of which are beyond our control, which may cause
the actual results, performance or achievements of Brookfield and Verde
to differ materially from anticipated future results, performance or
achievement expressed or implied by such forward-looking statements and

    Factors that could cause actual results to differ materially from those
contemplated or implied by forward-looking statements include, but are
not limited to: the impact or unanticipated impact of general economic,
political and market factors in the countries in which we do business;
the behavior of financial markets, including fluctuations in interest and
foreign exchanges rate; global equity and capital markets and the
availability of equity and debt financing and refinancing within these
markets; the risk that Verde will not be integrated successfully with and
into Brookfield's organization; the risk that cost savings and any other
synergies from the transaction may not be fully realized or may take
longer to realize than expected; disruption from the transaction making
it more difficult to maintain relationships with customers or employees;
business competition; operational and reputational risks; technological
change; changes in government regulation and legislation within the
countries in which we operate, catastrophic events, such as earthquakes
and hurricanes; the possible impact of international conflicts and other
developments including terrorist acts; and other risks and factors
detailed from time to time in Brookfield's documents filed with the
securities regulators in Canada and the United States. 

    We caution that the foregoing list of important factors that may affect
future results is not exhaustive. When relying on our forward-looking
statements, investors and others should carefully consider the foregoing
factors and other uncertainties and potential events. Except as required
by law, Brookfield and Verde undertake no obligation to publicly update
or revise any forward-looking statements or information, whether written
or oral, that may be as a result of new information, future events or

Brookfield Asset Management Inc.
Andrew Willis
SVP, Communications & Media
(416) 369-8236
(416) 363-2856 (FAX)

Brookfield Asset Management Inc.
Katherine Vyse
SVP, Investor Relations
(416) 369-8246
(416) 363-2856 (FAX)

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