Ms. Teresa Neto reports

GRANITE ANNOUNCES RENEWAL OF NORMAL COURSE ISSUER BID

Granite Real Estate Investment Trust (Granite REIT) and Granite REIT Inc. (Granite GP) have received acceptance by the Toronto Stock Exchange of Granite GP's notice of intention to make a normal course issuer bid (NCIB). Pursuant to the NCIB, Granite GP proposes to purchase through the facilities of the TSX and any alternative trading system in Canada, from time to time over the next 12 months, if considered advisable, up to an aggregate of 6,349,296 of Granite's issued and outstanding stapled units (each stapled unit consisting of one trust unit of Granite REIT and one common share of Granite GP), being approximately 10 per cent of Granite's public float of stapled units as of May 12, 2023. Pursuant to a previous notice of intention to conduct an NCIB, under which Granite sought and received approval from the TSX to purchase up to 6,566,292 stapled units for the period of May 24, 2022, to May 23, 2023, Granite has purchased, as of May 12, 2023, 2,165,600 stapled units on the open market at a weighted average purchase price of $71.81 per stapled unit. As of May 12, 2023, Granite had 63,743,762 stapled units issued and outstanding and a public float of 63,492,968 stapled units.

The NCIB will commence on May 24, 2023, and will conclude on the earlier of the date on which purchases under the bid have been completed and May 23, 2024. Daily purchases made by Granite GP through the TSX may not exceed 30,468 stapled units, being 25 per cent of the average daily trading volume of 121,872 stapled units on the TSX for the six-month period ended April 28, 2023. These daily maximums are subject to certain exceptions prescribed by the TSX, including the block purchase exemption.

Granite GP intends to enter into an automatic securities purchase plan with a broker as of the date on which the NCIB commences in order to facilitate repurchases of the stapled units under the NCIB during Granite's scheduled blackout periods. Under the automatic securities purchase plan, Granite GP's broker may repurchase stapled units under the NCIB in accordance with any advance instructions that Granite GP may elect to deliver, including without limitation repurchases made at times when Granite GP would ordinarily not be permitted to repurchase stapled units due to regulatory restrictions or self-imposed blackout periods. Purchases will be made by Granite GP's broker based upon the parameters under the NCIB and the terms of the parties' written agreement.

The board of trustees of Granite REIT and the board of directors of Granite GP believe that the potential purchases at prices below Granite's view of intrinsic value are in the best interests of Granite and are a desirable use of Granite's funds. All stapled units that are purchased under the NCIB will be cancelled.

About Granite Real Estate Investment Trust

Granite is a Canadian-based REIT engaged in the acquisition, development, ownership and management of logistics, warehouse and industrial properties in North America and Europe. Granite owns 142 investment properties representing approximately 62.8 million square feet of leasable area.

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