Kingsway Arms Retirement Residences Inc. Closes Clarington Sale

Kingsway Arms Retirement Residences Inc. (TSX VENTURE:KWA) (the "Company" or
"Kingsway") is pleased to announce that it completed the sale of the Clarington
Retirement Residence ("Clarington") to Seasons Retirement Communities on Friday,
May 30, 2014. 


The sale was unanimously approved by the Company's shareholders at its annual
and special meeting of shareholders held on May 14, 2014 (the "Meeting"), and
the TSX Venture Exchange has provided final acceptance of the transaction.


The details of the transaction are further described in the Company's press
releases of May 12, 2014 and May 27, 2014, as well as the management information
circular that was circulated in connection with the Meeting. The material
agreements with respect to the transaction, namely, the Agreement of Purchase
and Sale dated March 25, 2014 and the Amendment to the Agreement of Purchase and
Sale dated May 6, 2014, are being filed on SEDAR.


About Kingsway Arms Retirement Residences Inc.:

Kingsway is the owner of a senior housing facility located in Aurora, Ontario.
The Corporation continues to evaluate its mid- to long-term growth options and
opportunities with a view toward building shareholder value.


Safe Harbor Statement:

This press release contains forward-looking statements. Such forward-looking
statements are subject to a number of risks, assumptions and uncertainties that
could cause the Company's actual results to differ materially from those
projected in such forward-looking statements. In particular, factors that could
cause actual results to differ materially from those in forward-looking
statements include: our inability to obtain additional financing on acceptable
terms; risk that our facilities will not gain widespread market acceptance;
inability to compete with others who provide comparable facilities.
Forward-looking statements speak only as of the date made and are not guarantees
of future performance. We undertake no obligation to publicly update or revise
any forward-looking statements. When used in this document, the words "believe,"
"expect," "anticipate," "estimate," "project," "plan," "should," "intend,"
"may," "will," "would," "potential," and similar expressions may be used to
identify forward-looking statements.


This press release is not an offer of securities for sale in the United States.
The securities of the Corporation referred to herein have not been and will not
be registered under the United States Securities Act of 1933, as amended.
Securities of the Corporation may not be offered or sold in the United States
absent registration or an exemption from registration.


Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accept
responsibility for the adequacy or accuracy of this press release.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Kingsway Arms Retirement Residences Inc.
Mr. Dan Amadori
Chair, Board of Directors
416-644-4361