TGS North American Real Estate Investment Trust Announced December

Release Date: December 20, 2004

CALGARY, Dec. 20 /CNW/ – TGS North American Real Estate Investment Trust (NAR.UN:TSX and NAR.U:TSX) (“TGS NA REIT”), announced today that a distribution of U.S. 6.325 cents per unit has been declared, payable on January 17, 2005 to the Unitholders of record as at December 31, 2004.

Unitholders entitled to receive the distribution in Canadian dollars will be paid in Canadian dollars based on the noon rate of exchange quoted by the Bank of Canada on January 17, 2005 in the case of registered Unitholders and on the exchange rate obtained on the day by their nominee (i.e. stock broker, bank or trustee) in the case of beneficial Unitholders. Registered Unitholders may elect to change the currency in which they receive their distribution by providing TGS NA REIT with at least 30 days notice prior to the Distribution Record Date. Beneficial Unitholders may elect to change the currency in which they receive their distribution by contacting their nominee at least 30 days prior to the Distribution Record Date. Unitholders who wish to minimize currency related fluctuations in monthly distributions are encouraged to consider the election of U.S. currency for their monthly distributions.

TGS NA REIT is an unincorporated, open-end real estate investment trust governed by the laws of the Province of Alberta. TGS NA REIT provides an opportunity to invest, through a tax efficient Canadian real estate investment trust structure, in a diversified portfolio of commercial income producing properties located in high growth markets of western North America. TGS NA REIT owns retail, industrial and office properties in Alberta, British Columbia, Colorado and Texas, having approximately 3.9 million square feet of rentable area. For further information, please visit our web site at tgsreit.com.

/For further information: PLEASE CONTACT: Jeffrey D. Kohn, Chief Executive Officer, (403) 264-4310, ext. 7207, jkohn(at)tgsreit.com; Todd R. Cook, C.A., Chief Financial Officer, (403) 264-4310, ext. 7204, tcook(at)tgsreit.com; Investor Relations, 1400, 530 – 8th Avenue SW, Calgary, AB T2P 3S8, Tel: (403) 264-4310, investorrelations(at)tgsreit.com/

‘ Canada Newswire Ltd.