Ms. Teresa Neto reports

GRANITE REIT COMPLETES C$400 MILLION GREEN BOND OFFERING

Granite Real Estate Investment Trust's wholly owned subsidiary, Granite REIT Holdings LP, has completed its previously announced offering of $400-million aggregate principal amount of 6.074 per cent Series 7 senior unsecured debentures due April 12, 2029. The Debentures are guaranteed by Granite and Granite REIT Inc. The Debentures are Granite's third green bond issuance pursuant to its Green Bond Framework.

The Debentures were offered in Canada on an agency basis by a syndicate of agents co-led by Scotia Capital Inc. and TD Securities Inc. DBRS Morningstar and Moody's Investor Service, Inc. have provided Granite with credit ratings of "BBB (high)" with a stable trend, and "Baa2", respectively, relating to the Debentures. The Debentures were sold pursuant to a prospectus supplement dated October 10, 2023 under Granite's base shelf prospectus dated October 1, 2021, and filed with applicable Canadian securities regulatory authorities.

The Debentures were issued as Green Bonds under Granite's Green Bond Framework (the "Framework") which is available on Granite's website at https://granitereit.com/sustainability. Granite LP intends to finance or refinance, in whole or in part, expenditures associated with Eligible Green Projects as described in the Framework. Initially and prior to the full allocation, the net proceeds from the Offering will be used to refinance existing debt, including its Series 3 senior unsecured debentures due November 30, 2023 on maturity, and for general corporate purposes. The failure to allocate funds to Eligible Green Projects will not constitute a default under the terms of the Debentures.

Through a cross currency interest rate swap, Granite LP has exchanged the Canadian dollar denominated principal and interest payments for Euro denominated principal and interest payments, resulting in an effective fixed interest rate of 4.9285% for the five and a half-year term of the Debentures.

ABOUT GRANITE

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 143 investment properties representing approximately 62.9 million square feet of leasable area.

OTHER INFORMATION

Copies of financial data and other publicly filed documents about Granite are available through the internet on the Canadian Securities Administrators' System for Electronic Data Analysis and Retrieval + (SEDAR+) which can be accessed at www.sedarplus.ca and on the United States Securities and Exchange Commission's Electronic Data Gathering, Analysis and Retrieval System (EDGAR) which can be accessed at www.sec.gov.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, and securities may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the United States Securities Act of 1933, as amended.

We seek Safe Harbor.