Ms. Nicole French of Brookfield Residential reports

ISS RECOMMENDS BROOKFIELD RESIDENTIAL SHAREHOLDERS VOTE FOR THE ARRANGEMENT

Institutional Shareholders Services, a leading independent proxy firm, has recommended that shareholders vote for the special resolution to approve the plan of arrangement pursuant to which 1927726 Ontario Inc., a wholly owned subsidiary of Brookfield Asset Management Inc., will acquire all of the common shares of Brookfield Residential Properties Inc. that are not already owned by Brookfield Asset Management and its affiliates for consideration of $24.25 (U.S.) per share.

ISS summarized its recommendation as follows: "The transaction process may be deemed adequate in general as the offer consideration was increased from $23 (U.S.) to $24.25 (U.S.) as a result of the negotiations. Given that the acquirer is the controlling shareholder of the company, the probability of a superior proposal in this case may be limited. In light of the adequate cash premium and no significantly noted governance concerns, a vote for this resolution is warranted."

The board of directors of Brookfield Residential unanimously (with Alan Norris and Timothy Price abstaining) recommends that shareholders vote for the plan of arrangement.

Your vote is important. Please submit your proxy before 10 a.m. EST on March 6, 2015.

You may vote via the Internet or following the instructions provided on the form of proxy or voting instruction form. If you have any questions or require assistance voting your shares, please contact Laurel Hill Advisory Group by e-mail or by telephone at 1-877-452-7184 (1-416-304-0211 collect).

In addition, the company, the purchaser and Brookfield Asset Management have entered into an amending agreement amending the plan of arrangement. Such amendment to the plan of arrangement provides that the ability to exercise the repurchase election has been extended to non-resident shareholders, as further described in the press release issued by the company on Feb. 9, 2015, and in the amendment to the company's rule 13e-3 transaction statement on Schedule 13E-3 dated Feb. 9, 2015, filed with the U.S. Securities and Exchange Commission. Shareholders wishing to make such election should consult their own advisers to determine if making such election is appropriate in the particular circumstances. No other changes have been made to the terms or conditions of the arrangement and the consideration and the date of the shareholders' meeting are unchanged. At the meeting, shareholders will vote on the plan of arrangement, as amended. The amending agreement, which includes the amended plan of arrangement, is available on the company's website, as well as under its profile on SEDAR and EDGAR.

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