C2C Industrial Properties Inc. Announces $17.5 Million Bought Deal Financing

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED
STATES.


C2C Industrial Properties Inc. (TSX VENTURE:CCH) (the "Company") is pleased to
announce that it has entered into an agreement with a syndicate of underwriters
co-led by GMP Securities L.P. and Desjardins Securities Inc. and including
National Bank Financial Inc., Macquarie Capital Markets Canada Ltd. and Dundee
Securities Corp. (collectively, the "Underwriters"), which have agreed to
purchase, on a bought deal basis $17.5 million principal amount of convertible
unsecured subordinated debentures (the "Convertible Debentures") at a price of
$1,000 per debenture. The Underwriters will also have the option, exercisable in
whole or in part at any time up to 30 days after the closing of the offering, to
purchase up to an additional $2.625 million aggregate principal amount of
Convertible Debentures. In the event that the over-allotment option is exercised
in its entirety, the aggregate gross proceeds of the offering will be $20.125
million.


The Convertible Debentures will mature on November 30, 2017 and will accrue
interest at the rate of 6.75% per annum payable on a semi-annual basis. At the
holder's option, the convertible debentures may be converted into common shares
in the capital of the Company at any time up to the maturity date. The
conversion price, subject to adjustment in certain circumstances, will be $5.55
for each common share, being the conversion rate of approximately 180.2 common
shares for each $1,000 principal amount of Convertible Debentures.


The Convertible Debentures will be direct, unsecured obligations of the Company,
subordinated to other indebtedness of the Company for borrowed money and ranking
equally with all other unsecured subordinated indebtedness.


The Convertible Debentures will not be redeemable before November 30, 2015. From
November 30, 2015 through to the maturity date, the Company may, at its option,
redeem the Convertible Debentures, in whole or in part, at par plus accrued and
unpaid interest provided that the weighted average trading price of the common
shares on the TSX Venture Exchange during a specified period prior to redemption
is not less than 125% of the conversion price. 


The Company plans to use the net proceeds from the offering to fund potential
future acquisitions and for general corporate and working capital purposes. 


The offering is scheduled to close on or about October 24, 2012 and is subject
to certain conditions including, but not limited to, the receipt of all
necessary approvals including the approval of the TSX Venture Exchange and the
securities regulatory authorities. 


The Convertible Debentures will be offered by way of a short form prospectus to
be filed in all of the provinces of Canada other than the Province of Quebec
pursuant to National Instrument 44-101-Short Form Prospectus Distributions. 


This press release is not an offer or a solicitation of an offer of securities
for sale in the United States. The Convertible Debentures have not been and will
not be registered under the U.S. Securities Act of 1933, as amended, and may not
be offered or sold in the United States absent registration or an applicable
exemption from registration.


About C2C Industrial Properties Inc.

C2C is a real estate investment corporation specializing in the acquisition,
ownership and operation of industrial properties across Canada. C2C currently
owns twenty-one light industrial properties totaling approximately 2.0 million
square feet. More information about C2C (TSX VENTURE:CCH) is available at
www.c2cip.com.


Forward-looking statements

This document contains forward-looking statements relating to C2C and the
industry in which it operates and its strategy, action plans and investments,
which may involve estimates, forecasts and projections. These statements are not
guarantees of future performance and involve risks and uncertainties that are
difficult to predict and/or are beyond C2C's control. Consequently, readers
should not place any undue reliance on such forward-looking statements. These
forward-looking statements are made as of the date of this press release. C2C is
under no obligation to update any forward-looking statements contained herein
should material facts change due to new information, future events or other
factors, unless otherwise required to do so by applicable law. All
forward-looking statements attributable to C2C are expressly qualified by these
cautionary statements.


The TSX Venture Exchange has neither approved nor disapproved the contents of
this press release.

C2C Industrial Properties (TSXV:CCH)
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