H&R Profile  Primary Objectives  Stability Through Discipline  Front and back cover images  H&R Real Estate Investment Trust (“H&R REIT”) is an open-ended real estate investment trust, which  owns and manages a North American portfolio of 282 office, industrial and retail properties comprising  over 39 million square feet and three development projects, with an aggregate total net book value of  $5.3 billion as at December 31, 2010. H&R Finance Trust is an unincorporated investment trust, which primarily invests in notes issued by a  subsidiary of H&R REIT. The units of H&R REIT trade together with the units of H&R Finance Trust as  “stapled units” (HR.UN) on the Toronto Stock Exchange. In this annual report, we refer to the combination  of these two trusts as “H&R” or “the Trusts”. Additional information regarding H&R REIT and H&R Finance Trust is available at www.hr-reit.com and  on www.sedar.com.  H&R strives to achieve two primary objectives: to provide unitholders with stable and growing cash  distributions generated by revenues derived from a diversified portfolio of income properties, and to  maximize the value of units through active management of H&R’s assets, acquisition of additional  properties, and development of new projects. We are committed to maximizing returns to unitholders  while maintaining prudent risk management and conservative use of financial leverage.  Since inception in 1996, H&R has executed a disciplined and proven strategy that has provided stable  cash flow and adjusted funds from operations. We achieve our primary objectives and mitigate risks  through long-term property leasing and financing, combined with conservative management of assets and  liabilities.  Photos on the front and back covers are of  The Bow , a two-million-square-foot office complex that H&R is developing  in Calgary .  Ontario, 43% United  States, 26% Alberta, 14% Quebec,  6% Other,  11% Net Book Value of Income  Properties by Geographic Region Office, 39% Industrial, 32% Retail, 29% Net Book Value of Income  Properties by Property Type