George MyhalDirector & Chairman

Board of DirectorsBoard of Directors

George Myhal

Lorraine Bell

Simon Dean

Allen Karp

Gail Kilgour

Forward-Looking StatementForward-Looking Statement

This presentation contains “forward-looking statements” The words “plan”, “believe,” “expect,” “anticipate,” “intend,” “estimate” and other expressions which are predictions of or indicate future events and trends and which do not relate to historical matters identify forward-looking statements. Reliance should not be placed on forward-looking statements because they involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the Fund to differ materially from anticipated future results, performance or achievement expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from those set forward in the forward-looking statements include general economic conditions, interest rates, availability of equity and debt financing and other risks detailed in the Fund’s annual information form filed with Securities Commissions. The Fund undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Phil SoperPresident & CEO

Topics for DiscussionTopics for Discussion

LeadershipOperating achievementsFinancial performance

Housing Market DynamicsInterest ratesConsumer confidenceModerating house prices

Industry DevelopmentsNew entrants in low end of marketIDX update: debate on access and sharing of dataQuebec market: new regulations

2011 Highlights & AchievementsShelter Foundation: new fundraising record reachedVia Capitale: launch of new toolsRoyal LePage: Mobile, Commercial and 100-year anniversary

Q&A

PERFORMANCE Financial Results

2011 Financial Results2011 Financial Results

COMPANY GROWTH(number of REALTORS®)

ROYALTIES($ millions)

* As of Jan 1st 2012. Prior years also as of Jan 1st.

2011 Financial Results2011 Financial Results

SHAREHOLDER DIVIDEND($ per Share)

* Defined as net income prior to fair value changes, amortization, impairment, interest on exchangeable units, interest on Trust units, income taxes, items related to other income and interests of exchangeable shareholders.

* After conversion from an income trust capital structure to a taxable corporation

CASH FLOW FROM OPERATIONS($ millions)

National Network of National Network of REALTORSREALTORS®® From Coast to CoastFrom Coast to Coast

OVER 15,000 AGENTS AND 665 LOCATIONS

HOUSING MARKETActivity

Dynamics

Update on Market ActivityUpdate on Market Activity

Three months endedQuarter

% Change

12-mth rolling

% ChangeCanada    Transaction dollar volume 5% 16%Average selling price 1% 2%Number of units sold 4% 14%     Greater Toronto Area    Transaction dollar volume 18% 15%Average selling price 10% 5%Number of units sold 7% 9%     Twelve months ended (2011)    Canada    Transaction dollar volume 11% 1%Average selling price 5% 0%Number of units sold 5% 1%     Greater Toronto Area    Transaction dollar volume 19% 4%Average selling price 9% 2%Number of units sold 9% 2%

On a rolling twelve-month basis, Market transactional dollar volume of $168.0 billion, closed up 11% from March 31, 2011, driven by a 6% increase in selling price and an increase in home sale activity of 5%.

For the three months ended March 31, 2012, transactional dollar volume was up 5% over the same period in 2011, driven by a 1% and 4% increase in selling price and home sale activity, respectively.

Housing Market DynamicsHousing Market Dynamics

Interest ratesHousing values continued to climb in 2011Growth stimulated by ongoing ultra low interest ratesConcerns over debt levels

Consumer confidenceStrengthening U.S. economy is impacting Canadian consumer confidence positivelyConference Board index improving each month in 2012

Moderating house price appreciationSigns exist of over-shooting values and strained affordability in our largest cities Likely more modest price appreciation as the year unfolds

Interest RatesInterest Rates

While interest rates are bound to rise, we believe any 2012 changes will be moderate

Fragile recovery with modest economic growthLow risk of significant inflation increaseUnsettled global economic environment, especially EuropeWith high household debt levels, the impact of a significant interest rate increase could be damaging Bank of Canada generally prefers rates to be only modestly above those set by the U.S. Federal ReserveRising Canadian interest rates place upward pressure on the dollar, which is already seen as too high

forecast

Source: CREA, Scotia Economics.

Canada’s Housing Market SteadiesCanada’s Housing Market Steadies

EXISTING HOME SALES000s of units, annualized

EXISTING HOME SALES$000s, national average

forecast

Canada

10-year average

Canada

LT Average = 0.38

Affordability Still Good but has Probably Affordability Still Good but has Probably PeakedPeaked

HOUSING AFFORDABILITYratio of mortgage payments to disposable income per worker

Based on average MLS price, 5% downpayment, 25-year amortization, and average of prime & 5-year posted rate.

Canada

U.S.

Source: MBA, CBA, Bloomberg, Scotia Economics.

MORTGAGE DELINQUENCIES% of total loans past due three or more months

Rising High-Rise DemandRising High-Rise Demand

Apartment

Single-detached

Source: CMHC, Scotia Economics.

HOUSING STARTS% share of total

DemographicsAffordableLifestyle choicesSelectionUrban intensificationTight rental vacancyInvestor factor

WHY IS CONDO LIVING SO POPULAR?

INDUSTRY DEVELOPMENTSNew Entrants: Discount BrokeragesIDX: Sharing Data

Québec’s New Regulations

New Entrants: Discount BrokeragesNew Entrants: Discount Brokerages

Discount brokerage & For-Sale-by-Owner (FSBO) firms operate within the low-fee, narrow service segment of the Canadian real estate market Limited impact on Company’s performance to-date Market share changes appear to be between existing and new low-fee providers; full service firms holding steadyWithout significant market share gains, new entrants questionable as going-concerns, particularly in soft marketsAnticipate consumers will continue to look to professional guidance during the home-buying and -selling process

IDX: Sharing DataIDX: Sharing Data

The Company a proponent of the Internet Data Exchange (“IDX”) movement Shared property listings among Multiple Listing Service (“MLS”) participants

National/regional firms display each other’s website listings Consumers will be able to see many more listings on www.royallepage.caBrokers need to opt-inAlready well established in some regions of the country and U.S.

IDX: Lead GenerationIDX: Lead Generation

Canadian Real Estate Association (“CREA”) investing in the initiative

Developing the platform to establish permissions and facilitate data sharingWith more listings, real estate companies will enjoy similar consumer viewership as www.realtor.ca    

BRESI Web Properties AdaptingVia Capitale IDX enabled todayRe-designing Royal LePage’s website to capture leadsUser-friendly with valuable new information, unique data and features

Québec: New RegulationsQuébec: New Regulations

Introduction of stringent new real estate educational requirements and higher licensing costsMany fewer new agents entering industry Modifying our training programsWorking with government to encourage support for new entrants

2011 HIGHLIGHTS AND ACHIEVEMENTS

New Tools at Via CapitaleNew Tools at Via Capitale

Via Capitale services the Québec market Celebrated 20 years in business with an extensive rebranding, including a name change from La CapitaleLate 2011, new marketing tools were launched to further simplify the process of buying and selling including:

Via Mag Via Visite

Via MagVia Mag

Via Mag is a program that creates a custom eight page real estate magazine devoted exclusively to marketing a single property

Via VisiteVia Visite

Via Visite lets clients view listings live via their agent’s smart phone camera

Johnson & Daniel DivisionJohnson & Daniel Division

2011 was another year of significant market share gainAchieved #1 in Central Toronto for unit sales and sales volumeEnhanced social media presence for division and agentsContinued enhancement of professional development activitiesExpanded presence in West Toronto, King and Caledon, and Lake Simcoe recreational property market

Royal LePage Goes MobileRoyal LePage Goes Mobile

2011 saw mobile media use accelerate across markets

Popularity of smartphonesThe growing availability of WiFi hotspotsShift towards a constantly connected consumer lifestyle

Royal LePage Goes MobileRoyal LePage Goes Mobile

Royal LePage launched an innovative mobile site for Smartphones

Cross-Canada listing information including schools, restaurants and neighbourhoods Includes seller and agent comments with neighbourhood “walkability scores” consumer rankings of nearby businesses invaluable to usersAbility to search nationwide listings or connect with an agent

Royal LePage Shelter FoundationRoyal LePage Shelter Foundation

A record-setting $2 million was raised in 2011Superb brand awareness & regional team building toolSince its founding in 1999, more than $14 million raisedPast five years, fundraising results doubled and recognition through national awards for excellence100% of the funds go to violence prevention in schools, and direct annual support of over 30,000 women & children

POTENTIAL FUTURE GROWTH OPPORTUNITY Manager Activity

Prudential AcquisitionPrudential Acquisition

Beyond Canada, the Manager made headlines in December 2011 with the acquisition of Prudential Residential Real Estate and Relocation ServicesEstablishes Brookfield as #3 in the N.A. residential real estate brokerage market with ~80,000 real estate agents and 2,800 locationsCreates the clear #2 player in global relocation, managing ~85,000 relocations per year

Prudential AcquisitionPrudential Acquisition

Prudential joined Real Living in the Manager’s U.S. real estate portfolioBRESI is working with Brookfield to monitor the slowly recovering U.S. real estate industry as a source of potential growth

The Rebirth of Royal LePage The Rebirth of Royal LePage CommercialCommercial

The Manager re-launched Royal LePage Commercial on April 3, 2012Target market: the under-serviced commercial real estate needs of small and medium-sized businesses and investors in Canada

Royal LePage CommercialRoyal LePage Commercial

Provides a complete set of tools and resources for commercial practitionersA new Commercial logo, and dedicated website were launched Clients will also benefit from working with an accredited Royal LePage agent who has met specific entrance criteriaTrending ahead of plan in early adoption

FOR A CENTURY, CANADA’S REAL ESTATE COMPANY

100 Years of Real Estate Innovation100 Years of Real Estate Innovation

In 2013 Royal LePage will reach an impressive corporate milestone with its 100th anniversary Plans are underway to celebrate nationallyFocus on innovation showcasing a century of Canadian real estate and housing, including the company’s contributions to the housing industry and communities across Canada; and invite us to imagine the world of real estate 100 years into the future

100 Years of Real Estate Innovation100 Years of Real Estate Innovation

Consumer and network targeted initiatives such as posters, videos, contests, swag, decals, Facebook game, local office celebrations, fundraising challenges for the Shelter Foundation, public relations initiatives, and moreWe hope to increase credibility, consumer awareness and visibility for our brand

THANK YOU!