TGS Sells Demcor Building In Calgary

Press Release
September 7, 2001
CALGARY, AB -- TGS Properties Ltd. (``TGS'') announced yesterday that it has contracted to sell the historic Demcor Building, a commercial office building in Calgary, Alberta, for $3.46 million.

``The disposition of the Demcor Building represents another step toward our objective of realigning the TGS building portfolio,'' commented Blair Richardson, TGS Chief Executive Officer. He added, ``We are continuing to seek out further growth opportunities in Western Canada, and will re-deploy proceeds from all building sales into new property opportunities that meet our investment criteria.''

TGS is a Calgary-based commercial real estate and land development company with over $220 million in assets located primarily throughout Western Canada. The company specializes in the acquisition, development and management of office buildings, community malls and industrial warehouse/storage facilities. In addition, TGS holds one of the most strategic and valuable land developments in North America, the Three Sisters Resorts development located in the Banff/Canmore area of Alberta.

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Contact:
TGS Properties Ltd.
Lloyd Wiggins
CFO and Executive Vice President
Phone: (403) 264-9944
or
TGS Properties Ltd.
Sheryl Fox
Vice President Investor Relations
Phone: (306) 933-9933