Urbanfund Corp. Announces Mortgage Refinancing

TORONTO, ONTARIO--(CCNMatthews - Dec. 28, 2005) - Mitchell Cohen, President of Urbanfund Corp. (TSX VENTURE:UFC) ("Urbanfund" or, the "Company"), is pleased to confirm today that Urbanfund, along with it's joint venture partner, Westdale Construction Co. Limited, has received a commitment to refinance their 554 unit twin-tower residential complex located on Richmond Street, West of Bathurst Street in Toronto. Urbanfund holds a 10% undivided interest in the complex.

The refinancing, to be provided by a large Canadian mortgage lending institution, is in the amount of $42,000,000 and shall be for a term of 10 years with a fixed interest rate equal to the lending institution's Cost of Funds plus 0.85%. The actual rate will be determined immediately prior to the date of the disbursement of funds.

The refinancing is scheduled to close sometime in March 2006 and is subject, among other things, to board approval, satisfaction by the Company of closing conditions customary for transactions of this nature, and receipt of all necessary approvals. It is anticipated that the refinancing will provide the Company with additional capital which will be used to evaluate and pursue further property acquisitions.

Urbanfund Corp. is a TSX Venture exchange listed real estate company based in Toronto. The Company's common shares trade on the TSX Venture Exchange under the symbol UFC.

This press release contains forward-looking statements based on assumptions, uncertainties and management's best estimates of future events. When used herein, words such as "intend" and similar expressions are intended to identify forward-looking statements. Forward-looking statements are based on assumptions by and information available to the Company. Investors are cautioned that such forward-looking statements involve risks and uncertainties. Important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements include such risks and factors as are detailed from time to time in the Company's periodic reports filed with the Ontario Securities Commission and other regulatory authorities. Actual results may differ materially from those currently anticipated. The Company has no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor any other regulatory body has reviewed and therefore does not accept responsibility for the adequacy or accuracy of this release.