IGW REIT DISTRIBUTIONS TO RISE

Wednesday, January 19, 2011

Dear Member-Partners and Friends,

It gives me great pleasure to inform you, that as of the next distribution occurring on February 21, 2011, the IGW REIT’s distribution will rise by 0.25 cents from 7.25 to 7.50 cents per unit per annum.

You may recall that in response to global economic shifts, LEAGUE’s management enacted protocols established to protect the value within the IGW REIT, and we therefore temporarily reduced the distributions to a prudent level.

Looking back on our comparative results and recent progress, the IGW REIT is trending upward:

• the unit value has increased by 4% in the past year (December ’09 to December ’10);
• distributions are increasing for unitholders of traditional (Class A, AA, AAA and BB) units; and,
• the REIT’s borrowing costs are steadily decreasing as it pays down its highest rate debt (more below).

We certainly have come a long way.

Maximizing Returns in 2011
Last August, I wrote to tell you that the IGW REIT was “back in buying mode” and indeed we still are. At that time four properties were being considered for purchase, and since then a few others have been too. But while we continue the search for investment properties that meet the IGW REIT’s acquisition criteria, thus far none have shown the potential for generating immediate revenue to the IGW REIT that can be achieved by paying down the remainder debt in the short term.

You will recall how last year, through a $22.9 million mortgage with Kingsett Capital, we reduced the IGW REIT's borrowing costs significantly, and thereby increased the REIT’s net revenues. Including the proceeds from the recent sale of Kensington Shopping Centre in Edmonton, AB, this mortgage has been paid down to a mere $8 million. (When factoring in our capital upgrades, this sale represented a 280% return on the IGW REIT’s investment.)

So, in keeping with our goals for the IGW REIT, along with continually seeking suitable high-yield investment properties, we will also continue to avail ourselves of lower-rate debt capital whenever available, with the aim of increasing its net revenues and your return on investment. After all, as Member-Partners with you in the IGW REIT, what we do for you we do for ourselves too.

In closing let me just say that although we're pleased with the IGW REIT’s recent progress, we are never satisfied. Our focus remains squarely on delivering extraordinary results, and we look forward to sharing more good news with you soon.

Warmest Regards,

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