Latest news with #AlexAvery
Business Wire
26-05-2025
- Business
- Business Wire
Primaris REIT Reiterates Guidance; Gains Control and Commences Repurposing of Five HBC Locations; Four Leases Subject to Bids
TORONTO--(BUSINESS WIRE)--Primaris Real Estate Investment Trust ('Primaris', the 'REIT' or the 'Trust') (TSX: announced today that it has received notice from the court-appointed monitor overseeing Hudson's Bay Company ('HBC') proceedings under the Companies' Creditor Arrangement Act ('CCAA') that 5 of the 9 HBC leases within the Primaris portfolio did not received any bids and have been disclaimed. As a result, Primaris will assume full control of these sites effective June 16, 2025. The leases disclaimed by HBC include: The disclaimer of the above 5 locations will result in: 532,100 square feet of vacancy, reducing Q1 2025 pro forma in-place portfolio occupancy by 3.7 percentage points from 93.2% to 89.5%; $5.5 million of lower annualized revenue; and $3.9 million of lower annualized net operating income** ('NOI'). 'Regaining control of five of our valuable anchor locations allows Primaris to commence repurposing a significant amount of low productivity space, and marks the beginning of our value surfacing exercise,' commented Alex Avery, Chief Executive Officer. 'While HBC has been the focus of a lot of discussion and attention, the real story is just beginning, as the disclaiming of leases has finally removed obstructionist barriers enabling us to enhance our properties. We are confident that the quantitative and qualitative benefits of regaining control of these spaces will be materially positive for our properties and our unitholders.' Anticipated HBC Site Repurposing Primaris is now able to proceed with certainty. With significant planning and preparation work already complete, management is now focused on rapidly executing on its longstanding re-tenanting, redevelopment, and repurposing plans in relation to each of the five disclaimed locations. Discussions and negotiations are ongoing, and management expects to be able to announce definitive agreements, leases and plans for most of these locations over the remainder of 2025. Primaris' ultimate goal is to provide clarity for stakeholders and minimize disruption at the properties while delivering new rental income as soon as possible. 'There is strong tenant demand for our HBC boxes, and we are in discussions with strong covenant, high-quality national retailers, including large format tenants,' said Patrick Sullivan, President and Chief Operating Officer. 'There are opportunities where tenants are considering the entire box, others will be subdivided, and others are likely to be demolished to accommodate development of new outparcel and higher density opportunities.' For the 5 disclaimed leases, Primaris estimates it will cost approximately $50 million to $60 million to complete its repurposing and redevelopment plans, which are expected to result in a reduction of GLA from 532,100 square feet to approximately 475,000 square feet. Management anticipates associated annual NOI** of approximately $4 million to $5 million, with initial tenant occupancy expected in Q2 2026, and cash rent commencing as soon as early 2027. The expected overall NOI** yield on invested capital across these five properties is between 8% and 9%. The financial benefits of HBC's departure are not limited to the replacement rents of the remaining space. Across these five properties comprising 252 acres of land, Primaris will be relieved of the following obligations as a result of the disclaimed HBC leases: 1,866 parking space requirements (13 acres of land at approximately 144 spaces per acre); and 'No-build' restrictions across approximately 71 acres of land which precluded construction of any buildings on large portions of the shopping centre sites, including the 9 acres occupied by HBC stores. All of these properties now offer significant intensification opportunities spanning retail outparcels, the potential sale of excess lands for multi-residential, hotel, or other high density uses, and the future expansion of the malls themselves. In addition to the above noted financial benefits and removed restrictions, regained control of these leases offers further indirect financial and qualitative benefits to the shopping centres, such as the halo effect on sales and rents from adjacent tenants following re-tenanting, or the positive impact on capitalization rates and valuations for properties that replace underperforming tenancies with new, stronger retailers. Primaris' ongoing redevelopment of the former Sears store at Devonshire Mall in Windsor, Ontario illustrates the significant benefits that come with replacing low productivity tenants with new and high productivity tenants, along with revitalizing capital investment. Four HBC Leases Subject To CCAA Bids Primaris has 4 remaining HBC locations that are subject to bids from qualified bidders. While limited information is available about these bids, including any retailer plans or requested lease modifications, Primaris believes that it will have significant influence over the outcomes of the bids. This is due to the significant deferred maintenance in the stores, and the time and cost required to restore the spaces to satisfactory operating condition for a retailer. Primaris is not yet able to comment on the viability of the operating strategies or financial strength of the retailers bidding on these locations, but it will provide further details in the ordinary course once they are known. The REIT's remaining exposure to the 4 HBC leases currently subject to retailer bids is as follows: The above locations represent the following metrics within Primaris' portfolio: 4 HBC locations totaling 498,770 square feet of GLA, or approximately 3.5% of portfolio occupancy; 34th largest tenant by annualized minimum rent; Approximately $5.4 million of gross rental revenue, per annum; $10.84 weighted average gross rent per occupied square foot; Approximately $2.0 million net rental revenue per annum, or 0.6% of total annualized minimum rent; and $3.92 weighted average net rent per occupied square foot. New HBC Co-Tenancy Estimate The Primaris portfolio includes over 2,800 leases, of which there are only 27 with co-tenancy clauses that pertain to HBC. Co-tenancy clauses are provisions commonly found in commercial real estate leases that stipulate certain conditions under which a tenant's rent or other obligations may be reduced or modified. These clauses typically come into effect when specific anchor tenants, such as HBC, or a certain percentage of tenants within a shopping centre or retail complex cease operations or vacate their premises. In most cases, additional triggers must also be met, such as a prescribed rate of decline in tenant sales, or sales falling below a certain threshold. Of the 27 co-tenancy clauses tied to HBC, 13 are associated with the 5 disclaimed HBC leases and 14 relate to the 4 HBC locations currently subject to retailer bid. As a result of the trigger requirements contained in the co-tenancy clause, as well as certain mitigation strategies available to Primaris due to its scale and relationships with certain tenants, management estimates that the total impact on 2025 rental revenue from these co-tenancy provisions will be less than $2 million. Primaris is working to reduce this impact to zero. 2025 Financial Outlook Maintained Disciplined capital allocation is a key pillar to Primaris' strategy. Providing financial and operating guidance is not only helpful for investors and analysts, as they evaluate the performance and prospects of an investment in Primaris REIT, but it also creates a rigorous discipline for management, including detailed forecasting, as well as a comprehensive framework with which to evaluate outcomes. Primaris reaffirms its financial and operating guidance for the fiscal year 2025 set out in its management's discussion and analysis for the three months ended March 31, 2025 and 2024 (the 'MD&A'), which guidance has been reproduced below. Primaris is committed to clear, timely and transparent disclosure. The REIT first provided 2025 Financial Guidance on February 13, 2025 with the release of its 2024 financial results; Following the March 7th CCAA filing of HBC, Primaris provided a detailed update of its HBC exposure on March 10, 2025; On April 30, along with its Q1 2025 financial and operating results, Primaris confirmed its original 2025 Financial guidance first provided on February 13, 2025, maintaining all metrics other than occupancy guidance; and Today, Primaris reaffirms that financial and operating guidance. 2025 Guidance (unaudited) Previously Published Updated Additional Notes MD&A Section Reference Occupancy Decrease of 6.0% to 7.0% No change in guidance Assumes HBC disclaims all their leases, comprising 1,030.6 thousand square feet Section 8.1, "Occupancy" and Section 8.6 "Top 30 Tenants" Contractual rent steps in rental revenue $3.4 to $3.8 million No change in guidance Section 9.1, "Components of Net Income (Loss)" Straight-line rent adjustment in rental revenue $6.8 to $7.2 million No change in guidance Section 9.1, "Components of Net Income (Loss)" Same Properties Cash NOI** growth 3.0% to 4.0% No change in guidance Same Properties excludes Northland (under redevelopment) and the acquisitions of Les Galeries de la Capitale, Oshawa Centre and Southgate Centre Section 9.1, "Components of Net Income (Loss)" Cash NOI** $318 - $323 million No change in guidance Includes the impact of the January 31, 2025 acquisitions and approximately $300 million of dispositions throughout the year Section 9.1, "Components of Net Income (Loss)" General and administrative expenses $36 to $38 million No change in guidance Section 9.1, "Components of Net Income (Loss)" Operating capital expenditures Recoverable Capital $18 to $20 million Leasing Capital $20 to $24 million No change in guidance Section 8.7, "Operating Capital Expenditures" Redevelopment capital expenditures $48 to $50 million No change in guidance Primarily attributable to Devonshire Mall and Northland Section 7.4, "Redevelopment and Development" FFO** per unit 1 $1.70 to $1.75 per unit fully diluted No change in guidance Includes the impact of the January 31, 2025 acquisitions and approximately $300 million of dispositions throughout the year Section 9.2, "FFO** and AFFO**" ** Denotes a non-GAAP measure. See Section 1, "Basis of Presentation" – "Use of Non-GAAP Measures' and Section 12, "Non-GAAP Measures". 1 Units outstanding and weighted average diluted units outstanding assumes the exchange of exchangeable preferred units in subsidiary limited partnerships of the Trust that are exchangeable into Trust Units ("Exchangeable Preferred LP Units"). See Section 10.6, "Unit Equity and Distributions". Expand Management discloses financial outlook statements for the purpose of providing further information about the Trust's prospective results of operations. These statements are based on factors and assumptions, such as historical trends, current conditions, and expected developments. Management believes that such financial outlook statements have been prepared on a reasonable basis, reflecting management's best estimates and judgements. However, because these financial outlook statements are subjective and subject to numerous risks, they should not be relied on as necessarily indicative of future results. In the press release dated September 24, 2024, Primaris released targets for the period ending December 31, 2027. These targets are not guidance, but are an outlook based on the execution of Primaris' strategic pillars. Primaris reaffirms its three year targets last published in its MD&A, which targets have been reproduced below. See Section 2, "Forward-Looking Statements and Financial Outlook" of the MD&A for a description of the material factors, assumptions, risks and uncertainties that could impact the financial outlook statements. About Primaris Real Estate Investment Trust Primaris is Canada's only enclosed shopping centre focused REIT, with ownership interests in leading enclosed shopping centres located in growing Canadian markets. The current portfolio totals 14.2 million square feet, valued at approximately $4.5 billion at Primaris' share. Economies of scale are achieved through its fully internal, vertically integrated, full-service national management platform. Primaris is very well-capitalized and is exceptionally well positioned to take advantage of market opportunities at an extraordinary moment in the evolution of the Canadian retail property landscape. Forward-Looking Statements and Financial Outlook Certain statements included in this news release constitute ''forward-looking information'' or 'forward-looking statements' within the meaning of applicable securities laws. The words 'will', 'expects', 'plans', "estimates", 'intends' and similar expressions are often intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Specific forward-looking statements made or implied in this news release include but are not limited to statements regarding: HBC's proceedings under the CCAA and the impact thereof on the REIT; expectations regarding HBC's leases and the REIT's plans in respect of the spaces, including the anticipated timing for executing such plans; the benefits of the five disclaimed HBC leases; management's expectations regarding future leasing activity and tenant demand; management's belief that it will have influence over the outcome of the four HBC leases currently subject to CCAA bids; the Trust's ability to mitigate the impact to revenue of co-tenancy clauses pertaining to HBC; and disclosures under the heading '2025 Financial Outlook Maintained'.. Forward-looking statements are provided for the purpose of presenting information about management's current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes. These statements are not guarantees of future performance and are based on estimates and assumptions that are inherently subject to risks and uncertainties. Primaris cautions that although it is believed that the assumptions are reasonable in the circumstances, actual results, performance or achievements of Primaris may differ materially from the expectations set out in the forward-looking statements. Material risk factors and assumptions include those set out in the Trust's MD&A and its management's discussion and analysis for the year ended December 31, 2024 and 2023 (the 'Annual MD&A'), which are available on SEDAR+, and in Primaris' other materials filed with the Canadian securities regulatory authorities from time to time. Certain forward-looking information included in this news release may also be considered 'financial outlook' for purposes of applicable securities law, including statements under the heading "2025 Financial Outlook Maintained". Financial outlook about the Trust's prospective results of operations including, without limitation, anticipated FFO** per unit, anticipated Cash NOI** and Same Properties Cash NOI** growth, impact on rental revenue of contractual rent-steps, anticipated general and administrative expenses, anticipated operating capital expenditures, anticipated redevelopment capital expenditures, anticipated straight-line rent adjustment to revenue, anticipated growth in occupancy, and the Trust's December 2027 targets for a number of key metrics including in-place occupancy, annual Same Properties Cash NOI** growth, acquisition and disposition activity, annual FFO** per unit growth and annual distribution growth, is subject to the same assumptions, risk factors, limitations and qualifications as set forth in the Annual MD&A, as updated by the MD&A, and the Trust's annual information form. The Trust and management believe that such financial outlook has been prepared on a reasonable basis, reflecting management's best estimates and judgments. However, this information is subjective and subject to numerous risks. Financial outlook contained in this news release was provided for the purpose of providing further information about the Trust's prospective financial performance and readers are cautioned that it should not be used for other purposes. Readers are also urged to examine the Trust's materials filed with the Canadian securities regulatory authorities from time to time as they may contain discussions on risks and uncertainties which could cause the actual results and performance of Primaris to differ materially from the forward-looking statements and financial outlook contained in this news release. All forward-looking statements and financial outlook in this news release are qualified by these cautionary statements. These forward-looking statements and financial outlook are made as of May 26, 2025, and Primaris, except as required by applicable securities laws, assumes no obligation to update or revise them to reflect new information or the occurrence of future events or circumstances. Non-GAAP Measures Primaris' unaudited interim condensed consolidated financial statements and the accompanying notes for three months ended March 31, 2025 and 2024 (together the 'Financial Statements') were prepared in accordance with International Financial Reporting Standards ('IFRS'), however, in this news release, a number of measures are presented which do not have a standardized meaning prescribed under generally accepted accounting principles ('GAAP') in accordance with IFRS. These non-GAAP measures include non-GAAP financial measures and non-GAAP ratios, each as defined in National Instrument 52-112 - Non-GAAP and Other Financial Measures Disclosure ('NI 52-112'). Non-GAAP measures in this news release are denoted by the suffix '**'. Management believes these non-GAAP measures are useful measures to assessing Primaris' performance period over period and its ability to meet its financial obligations. However, none of the non-GAAP measures should be construed as an alternative to financial measures calculated in accordance with GAAP. Furthermore, these non-GAAP measures may not be comparable to similar measures presented by other real estate entities and should not be construed as an alternative to financial measures determined in accordance with IFRS. Additional information regarding these non-GAAP measures, including definitions and reconciliations to the most directly comparable GAAP figure, where applicable, can be found in the MD&A, which is available on the Primaris website at and on the SEDAR+ website at See Section 12, "Non-GAAP Measures" of the MD&A for the descriptions of each non-GAAP measure used in this news release, Section 9.1, "Components of Net Income (Loss)" of the MD&A for the quantitative reconciliation to the most directly comparable GAAP figures for Cash NOI**, Same Properties Cash NOI** and Section 9.2, "FFO** and AFFO**" of the MD&A for the quantitative reconciliations to the most directly comparable GAAP figure for FFO**. These sections are incorporated by reference herein. Use of Operating Metrics Primaris uses certain operating metrics to monitor and measure the operational performance of its portfolio. Operating metrics in this news release include weighted average net rent per occupied square foot and weighted average gross rent per occupied square foot. These operating metrics, which may constitute supplementary financial measures as defined in NI 52-112, are not derived from directly comparable measures contained in the Financial Statements but may be used by management and disclosed on a periodic basis to depict the historical or future expected operating performance of the Trust's portfolio. For an explanation of the composition of weighted average net rent per occupied square foot, see Section 8.2, "Weighted Average Net Rent" of the MD&A. Weighted average gross rent per occupied square foot is defined as total annual gross rent divided by occupied GLA. Non-financial operating metrics in this news release include GLA and in-place occupancy. For a description of in-place occupancy, see Section 8.1, "Occupancy" of the MD&A.
Bloomberg
09-05-2025
- Business
- Bloomberg
A $1.7 Billion Bet on Old Malls Is Pushing This Firm Past Rivals
The best returning real estate investment trust in Canada has made its money by offering the country's pension funds a way out of a type of property they don't want. And it's only getting started. Primaris Real Estate Investment Trust has hoovered up old malls since its creation in 2022, striking more than C$2.4 billion ($1.7 billion) in deals. It's in talks for properties worth about C$4 billion, according to Chief Executive Officer Alex Avery, betting that by buying even more malls it can achieve a scale that helps it revive the buildings and generate cash to snap up more.
National Post
07-05-2025
- Business
- National Post
Primaris REIT Announces Distribution for May 2025
Article content TORONTO — Primaris Real Estate Investment Trust (' Primaris ' or the ' Trust ') (TSX: announced today that its Board of Trustees has declared a distribution of $0.0717 per unit for the month of May 2025, representing $0.86 per unit on an annualized basis. The distribution will be payable on June 16, 2025 to unitholders of record on May 31, 2025. Article content Article content Primaris is Canada's only enclosed shopping centre focused REIT, with ownership interests in leading enclosed shopping centres located in growing Canadian markets. The current portfolio totals 14.2 million square feet, valued at approximately $4.5 billion at Primaris' share. Economies of scale are achieved through its fully internal, vertically integrated, full-service national management platform. Primaris is very well-capitalized and is exceptionally well positioned to take advantage of market opportunities at an extraordinary moment in the evolution of the Canadian retail property landscape. Article content Article content Article content Article content Article content Contacts Article content Alex Avery Chief Executive Officer 416-642-7837 aavery@ Article content Rags Davloor Chief Financial Officer 416-645-3716 rdavloor@ Article content Article content
Yahoo
01-04-2025
- Business
- Yahoo
Primaris REIT Announces $60 Million Disposition; HBC, NCIB, & Financing Updates
TORONTO, April 01, 2025--(BUSINESS WIRE)--Primaris Real Estate Investment Trust ("Primaris" or the "REIT") (TSX: announced today significant progress on its disposition program that supports its capital recycling objectives, and provided additional commentary on its Hudson's Bay Company ("HBC") tenancy. Disposition On March 31, 2025, Primaris closed on the sale of St. Albert Centre in St. Albert, Alberta, for $60.0 million to a private real estate operator. The sale price includes a $10 million vendor-take-back loan maturing in one year bearing interest at a rate of 6.0% per annum. St. Albert Centre is anchored by a 93,300 square foot HBC. The REIT also closed on the previously announced sale of Sherwood Park Mall, Sherwood Park Professional Centre, and excess land ("Sherwood Park Mall"), in Sherwood Park, Alberta for $107.0 million to a private retail operator and developer on February 28, 2025. "These strategic dispositions further demonstrate our track record of executing on our well-defined growth strategy focused on market leading shopping centres in growing Canadian markets," said Alex Avery, Chief Executive Officer. "Considering property transactions year to date, we have enhanced the appeal of our enclosed shopping centre portfolio, to our retailer tenants and shoppers, driving the portfolio's annual same store sales productivity from $705 per square foot as at December 31, 2024, to approximately $752 per square foot on a pro forma basis." The dispositions were sold at IFRS fair value, with the use of proceeds allocated to future acquisitions, repurchase, and cancellation of units under the REIT's Normal Course Issuer Bid ("NCIB"), and general trust purposes. Sherwood Park Mall and St. Albert Centre were both unencumbered. The below table summarizes the REIT's dispositions year to date: PropertyName Location Type GrossLeasableArea ("GLA") In-placeOccupancy Total CRUSalesVolume1($'000) Same StoresSalesProductivity1($'000) DispositionPrice(millions) Closing Date Sherwood Park Mall SherwoodPark, AB Enclosedshoppingcentre 415,237 94.7 % $ 38,799 $ 575 $ 107.0 February 28,2025 St. AlbertCentre St. Albert,AB Enclosedshoppingcentre 352,812 97.3 % $ 35,396 $ 556 $ 60.0 March 31,2025 768,049 $ 74,195 $ 167.0 1 Commercial retail unit ("CRU") tenants that lease units up to 15,000 square feet and include food court and kiosk tenants. As at or for the year ended December 31, 2024. Supplementary financial measure, see "Use of Operating Metrics" below. HBC Tenancy Update As at March 31, 2025, the REIT's exposure to HBC is as follows: 9 HBC locations totaling 1,031,000 square feet of GLA; 14th largest tenant by annualized minimum rent; Approximately $10.8 million of gross rental revenue, per annum; $9.94 weighted average gross rent per occupied square foot; Approximately $4.5 million net rental revenue per annum, or 1.4% of total annualized minimum rent; $4.33 weighted average net rent per occupied square foot; and In addition to the 9 owned HBC locations, the shadow-anchor HBC located at Devonshire Mall in Windsor, Ontario is owned by an unrelated HBC joint venture. "Primaris REIT has been preparing for the departure of HBC, as its department store peers downsized and ceased operations over the past 15 years, including Zellers, Target and Sears," said Patrick Sullivan, President and Chief Operating Officer. "The departure of Canada's final conventional department store will enable future value creation for our stakeholders, paving the way for optimal use of space that better reflects the evolving needs and desires of the growing communities." Primaris continues to closely monitor HBC's Companies Creditor Arrangement Act ("CCAA") process. As has been publicly reported, all HBC locations in Primaris' portfolio have commenced liquidation, and are not expected to continue operations beyond June 30, 2025. As a result of declining operating performance, significant deferred capital maintenance, and very limited consumer foot traffic draw, Primaris believes that the departure of HBC's tenancy will be beneficial to the REIT over the medium term, and sees significant upside in the longer term. Primaris has updated its longstanding re-tenanting, redevelopment, and repurposing plans in relation to each of the locations with significant analysis and evaluation of alternatives. As a result, Primaris is ready to act, at first opportunity. Financing Activity On March 26, 2025, Primaris entered into and borrowed on a $100.0 million bilateral non-revolving term facility maturing January 4, 2028, with a one-year extension at Primaris' option. The bilateral non-revolving term facility bears interest at variable rates of either: (i) Prime plus 0.25% per annum, or (ii) Adjusted Canadian Overnight Repo Rate Average plus 1.25% per annum. The proceeds of the drawdown were used to repay debt on the syndicated revolving term facility and for general trust purposes. Concurrently, Primaris entered into an interest rate swap for $50.0 million at an effective rate of 3.960%. This bilateral non-revolving term facility was arranged by Desjardins Capital Markets. On March 28, 2025, Primaris repaid $133.1 million aggregate principal of the maturing Series B senior unsecured debentures, which paid a 4.267% interest rate. $100.0 million of this repayment was prefunded by a maturing term deposit which was placed in August 2024 with a portion of the proceeds from the issuance of $500 million Series E and F senior unsecured debentures. Proforma these financings and the disposition of St. Albert Centre, Primaris has full availability on its undrawn $600.0 million unsecured revolving credit facility, and has a cash balance of $35.0 million at March 31, 2025. Normal Course Issuer Bid Activity Due to Primaris' strong differentiated financial model, recent dispositions and the continued deep approximate 30% discount to the REIT's most recently published Net Asset Value ("NAV**") per Unit at which Primaris REIT units trade, management continues to allocate significant available funds to buy back units for cancellation under the REIT's NCIB. In 2025 the REIT has repurchased 1,755,309 units for approximately $26.8 million through March 31, 2025 at an average price of $15.24 per unit. Repurchases under the NCIB in 2025 have already exceeded all repurchases completed in 2024, which totaled 1,534,500 for a total of approximately $23.4 million at an average price per unit of approximately $14.26, representing a discount to NAV** of approximately 34.0%. Management continues to view repurchasing units under its NCIB as highly attractive and expects to continue to deploy capital for further repurchases for the foreseeable future. About Primaris Real Estate Investment Trust Primaris is Canada's only enclosed shopping centre focused REIT, with ownership interests in leading enclosed shopping centres located in growing Canadian markets. The current portfolio totals 15.0 million square feet, valued at approximately $4.6 billion at Primaris' share. Economies of scale are achieved through its fully internal, vertically integrated, full-service national management platform. Primaris is very well-capitalized and is exceptionally well positioned to take advantage of market opportunities at an extraordinary moment in the evolution of the Canadian retail property landscape. Forward-Looking Statements and Future Oriented Financial Information Certain statements included in this news release constitute ''forward-looking information'' or "forward-looking statements" within the meaning of applicable securities laws. The words "will", "expects", "plans", "estimates", "intends" and similar expressions are often intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Specific forward-looking statements made or implied in this news release include but are not limited to statements regarding: HBC's CCAA process and the impact thereof on the REIT; expectations regarding HBC's leases and the REIT's plans in respect of this space covered thereby and timing for such plans to be realized; and the REIT's growth strategy, including future acquisitions of market leading shopping centres in growing Canadian markets. Forward-looking statements are provided for the purpose of presenting information about management's current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes. These statements are not guarantees of future performance and are based on estimates and assumptions that are inherently subject to risks and uncertainties. Primaris cautions that although it is believed that the assumptions are reasonable in the circumstances, actual results, performance or achievements of Primaris may differ materially from the expectations set out in the forward-looking statements. Material risk factors and assumptions include those set out in the Trust's Annual MD&A which is available on SEDAR+, and in Primaris' other materials filed with the Canadian securities regulatory authorities from time to time. Given these risks, undue reliance should not be placed on these forward-looking statements, which apply only as of their dates. Readers are also urged to examine the Trust's materials filed with the Canadian securities regulatory authorities from time to time as they may contain discussions on risks and uncertainties which could cause the actual results and performance of Primaris to differ materially from the forward-looking statements contained in this news release. All forward-looking statements in this news release are qualified by these cautionary statements. These forward-looking statements are made as the date of this news release and Primaris, except as required by applicable securities laws, assumes no obligation to update or revise them to reflect new information or the occurrence of future events or circumstances. Use of Operating Metrics Primaris uses certain financial metrics to monitor and measure the operational performance of its portfolio. Such operating metrics in this news release include CRU sales volume, same stores sales productivity, weighted average gross rent per occupied square foot and weighted average gross rent per occupied square foot. These operating metrics may constitute supplementary financial measures as defined in National Instrument 52-112, Non-GAAP and Other Financial Measures Disclosure. These supplementary measures are not disclosed in the Trust's financial statements but may be used by management and disclosed on a periodic basis to depict historical or future expected financial performance, financial position or cash flow. For an explanation of the composition of CRU sales volume and same stores sales productivity, see "Section 8, "Operational Performance" – "Tenant Sales" in the Trust's annual 2024 MD&A, which explanations are incorporated by reference herein. For an explanation of the composition of weighted average net rent per occupied square foot see Section 8.2, "Weighted Average Net Rent" in the Trust's annual 2024 MD&A, which explanation is incorporated by reference herein. The Trust's annual 2024 MD&A is available on SEDAR+ at Weighted average gross rent per occupied square foot is defined as total annual gross rent divided by occupied GLA. Primaris also uses certain non-financial metrics to describe its portfolio and portfolio operation performance. Such non-financial operating metrics in this news release include, among others, in-place occupancy, which is calculated by dividing occupied square feet by total GLA. For more information: TSX: View source version on Contacts Alex AveryChief Executive Officer416-642-7837aavery@ Rags DavloorChief Financial Officer416-645-3716rdavloor@ Claire MahaneyVP, Investor Relations & ESG647-949-3093cmahaney@ Timothy PireChair of the Boardchair@ Sign in to access your portfolio
