Sizeler to be Acquired by Revenue Properties Company Limited

Sizeler Property Investors, Inc., Morguard Corporation and Revenue Properties Company Limited announced that Sizeler and Revenue Properties have signed a definitive merger agreement pursuant to which Revenue Properties will acquire all issued and outstanding shares of common stock of Sizeler.

Under the merger agreement, each share of Sizeler common stock outstanding at the time of the merger will be exchanged for U.S.$15.10 in cash. The transaction is valued at approximately U.S.$324 million. Revenue Properties will also assume debt of approximately U.S.$85 million. As of August 21, 2006, Sizeler had approximately 21.47 million shares of common stock outstanding. The acquisition is subject to approval by Sizeler stockholders and is expected to close in the fourth quarter of 2006. Acquisition financing for the transaction is being provided by RBC Capital Markets.

The merger agreement is the result of a seven month process during which Sizeler considered its strategic alternatives and canvassed a large number of potential bidders. The proposed transaction represents the best alternative available to Sizeler and its stockholders as a result of that process. Wachovia Securities, who has acted as financial advisor to Sizeler as it considered its strategic alternatives, and Cohen & Steers, have each rendered an opinion to the Sizeler board that the transaction is fair, from a financial point of view, to Sizeler's stockholders.