Latest news with #investmenttrust
Yahoo
4 days ago
- Business
- Yahoo
I've just bought this 7.5%-yielding REIT to give me a second income
In my opinion, investing in the stock market is a great way to generate a second income. The majority of UK-listed companies and investment trusts regularly return cash to shareholders by way of dividends. With this in mind, I recently took a position in Supermarket Income REIT (LSE:SUPR). I was particularly attracted by its yield of 7.5%. But as well as its potential to provide a decent income stream, it also has defensive qualities that could make it an ideal stock for the uncertain times in which we live. The investment trust buys large grocery stores and then leases them to retailers. It currently has 82 premises on its books and can boast Tesco, J Sainsbury and Carrefour among its tenants. The quality of its customer base meant it had no bad debts during the year ended 30 June 2024 (FY24). Also, it reported a 100% occupancy rate. To maintain certain tax advantages, a real estate investment trust must return at least 90% of its annual profit to shareholders. In FY24, it reported adjusted earnings per share of 6.1p and paid all of this as dividends. Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice. With large amounts of cash being distributed, the trust's acquisitions are usually funded by borrowings. This makes it vulnerable to interest rate rises on its variable-rate loans. However, it appears to have its debt under control. Following a recent re-financing of some of its borrowings, it claims to have a loan-to-value (LTV) of 31%. This is based on a portfolio valuation of £1.8bn. I'm wary of commercial property valuations as the market can be volatile and, given the size of these stores, there are relatively few retailers that are large enough to occupy them. But the £1.8bn estimate would have to be massively over-stated — which I think is unlikely — for the LTV to be a concern to me. Encouragingly, the group's borrowings are due to be repaid over a shorter period than the length of its customer contracts. All things being equal, this means the cash flows from each lease should improve over time. The weighted-average term of its unexpired leases is 12 years. The trust's currently trading at a 9.3% discount to its net asset value. This implies its shares are a bit of a bargain. But a discount is common among REITs. However, the gap has closed over the past six months or so, suggesting that more and more investors are attracted to the trust's defensive qualities and its dividend. The average discount over the past 12 months has been 18.1%. Of course, defensive stocks generally don't experience rapid increases (or falls) in their share prices. However, the commercial property market in the UK and France is unlikely to be affected by Trump's tariffs or a global trade war. Supermarkets will always need premises, even if their earnings fall. This makes them ideal tenants. And they're tied in via long-term contracts, some of which have provisions for inflation-linked rent increases. These reasons — along with its above-average dividend — are why I recently added Supermarket Income REIT to my portfolio. Other income investors could consider doing the same. The post I've just bought this 7.5%-yielding REIT to give me a second income appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool James Beard has positions in Supermarket Income REIT Plc and Tesco Plc. The Motley Fool UK has recommended J Sainsbury Plc and Tesco Plc. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Motley Fool UK 2025 Sign in to access your portfolio
Trade Arabia
6 days ago
- Business
- Trade Arabia
ENBD REIT net asset value rises 12.3% Y-o-Y
ENBD REIT, the Shari'a compliant real estate investment trust managed by Emirates NBD Asset Management Limited, has announced its Net Asset Value (NAV) stood at $218.6 million or $0.87 per share, compared to $216 million for the previous quarter and $195 million the previous year, a respective 1.4% quarter-on-quarter (Q-o-Q) and 12.3% year-on-year (Y-o-Y) increase. The value of ENBD REIT's property portfolio grew to $395 million, up 0.4% Q-o-Q and 6.9% Y-o-Y, supported by proactive asset management and an agile leasing strategy across the portfolio. Occupancy was maintained at 95%, the highest level recorded by the REIT, up from 93% the previous year, reinforcing the strength of the leasing strategy and market demand for high-quality spaces. Strong performance was led by the office segment, with rental growth in line with market trends. On the residential side, near full occupancy was maintained, supported by ongoing lease optimization following agreements made in the immediate post-pandemic period. Funds From Operations (FFO), which supports dividend distributions and excludes non-cash valuation movements, increased to $11.2 million from $7.8 million a year earlier, a 45% Y-o-Y increase. Gross income rose to $37.5 million from $34.6 million in the prior year, while net income, including non-cash valuation gains, increased significantly to $33.7 million, up 61% Y-o-Y. This strong performance was driven by process efficiencies, resilient tenant demand, successful lease renewals, and strategic enhancements across the portfolio. Operating expenses rose moderately by 3% Y-o-Y to $7 million, largely due to higher utilities and maintenance costs associated with increased occupancy. Fund expenses increased by 8%, in line with NAV-linked management fees. Finance costs declined by 8.1% Y-o-Y to $13.2 million, further supporting overall earnings growth. Samir Kazi, Head of Real Estate at Emirates NBD Asset Management, commented: 'We are delighted with this year's results. The improvement in FFO, dividends and NAV, portrays the effectiveness of our strategic and asset management initiatives, supported by a favourable market environment. "Tangible results have been realized, and our focus remains on delivering consistent, risk-adjusted returns to shareholders through proactive portfolio management and operational efficiency. As market conditions continue to evolve, we are well positioned to sustain this momentum and drive further value creation.' ENBD REIT continues to focus on maintaining high occupancy levels, strengthening asset performance, and improving operational efficiency, all while leveraging favourable market conditions to deliver sustainable long-term value to shareholders.
Zawya
7 days ago
- Business
- Zawya
ENBD REIT announces full year results for 31st March 2025
Portfolio value increases to USD 395 million, up 0.4% Q-o-Q and 6.9% Y-o-Y Record-high occupancy sustained at 95%, supporting income stability Funds From Operations up 45% Y-o-Y to USD 11.2 million Proposed final dividend of USD 5.0 million bringing the total dividend for the financial year to USD 10.0m, reflecting a 33.3% increase from the previous year Dubai, United Arab Emirates: ENBD REIT (CEIC) PLC ('ENBD REIT'), the Shari'a compliant real estate investment trust managed by Emirates NBD Asset Management Limited, has announced its full year results for the financial year ended 31 March 2025. ENBD REIT's Net Asset Value ('NAV') stood at USD 218.6 million or USD 0.87 per share, compared to USD 216 million for the previous quarter and USD 195 million the previous year, a respective 1.4% Quarter-on-Quarter (Q-o-Q) and 12.3% Year-on-Year (Y-o-Y) increase. The value of ENBD REIT's property portfolio grew to USD 395 million, up 0.4% Q-o-Q and 6.9% Y-o-Y, supported by proactive asset management and an agile leasing strategy across the portfolio. Occupancy was maintained at 95%, the highest level recorded by the REIT, up from 93% the previous year, reinforcing the strength of the leasing strategy and market demand for high-quality spaces. Strong performance was led by the office segment, with rental growth in line with market trends. On the residential side, near full occupancy was maintained, supported by ongoing lease optimization following agreements made in the immediate post-pandemic period. Funds From Operations (FFO), which supports dividend distributions and excludes non-cash valuation movements, increased to USD 11.2 million from USD 7.8 million a year earlier, a 45% Y-o-Y increase. Gross income rose to USD 37.5 million from USD 34.6 million in the prior year, while net income, including non-cash valuation gains, increased significantly to USD 33.7 million, up 61% Y-o-Y. This strong performance was driven by process efficiencies, resilient tenant demand, successful lease renewals, and strategic enhancements across the portfolio. Operating expenses rose moderately by 3% Y-o-Y to USD 7 million, largely due to higher utilities and maintenance costs associated with increased occupancy. Fund expenses increased by 8%, in line with NAV-linked management fees. Finance costs declined by 8.1% Y-o-Y to USD 13.2 million, further supporting overall earnings growth. Samir Kazi, Head of Real Estate at Emirates NBD Asset Management, commented: 'We are delighted with this year's results. The improvement in FFO, dividends and NAV, portrays the effectiveness of our strategic and asset management initiatives, supported by a favourable market environment. Tangible results have been realized, and our focus remains on delivering consistent, risk-adjusted returns to shareholders through proactive portfolio management and operational efficiency. As market conditions continue to evolve, we are well positioned to sustain this momentum and drive further value creation.' ENBD REIT continues to focus on maintaining high occupancy levels, strengthening asset performance, and improving operational efficiency, all while leveraging favourable market conditions to deliver sustainable long-term value to shareholders. ENBD REIT's Board has proposed a final dividend of USD 5.0 million or USD 0.02 per share for the 6-month period ending 31st March 2025. This brings the total dividend payable to shareholders for the financial year to USD 10.0 million, reflecting a 33.3% increase compared to the previous year. Subject to shareholder approval of the dividend at the Annual General Meeting on 25th June 2025, the shares will trade ex-dividend on 7th July 2025, with the record date set as 8th July 2025 and the payment date on 22nd July 2025.
Globe and Mail
27-05-2025
- Business
- Globe and Mail
Northwest Healthcare Properties Real Estate Investment Trust Announces Election of Trustees, a New Chair of the Board, and the Formation of an Investment Committee
Toronto, Ontario--(Newsfile Corp. - May 27, 2025) - Northwest Healthcare Properties Real Estate Investment Trust (TSX: (the " REIT" or " Northwest") today announced the results of its 2025 annual meeting of unitholders (the " Meeting"). The REIT also announced the appointment of Robert Julien as Chair of the Board of Trustees (the " Board") and the formation of an Investment Committee. Voting Results All of the nominees listed in the Management Information Circular, dated April 1, 2025, prepared in connection with the Meeting were elected as Trustees. Detailed results of the vote for the election of the Board held at the Meeting are set out below: The REIT's report of voting results on other matters presented at the Meeting can be found at The Board and Management team of the REIT would like to thank Dale Klein, the departing Chair of the Board, for his commitment and valuable contributions to the REIT and wish him the best in his future endeavours. 'On behalf of the Board, we extend our thanks to Dale Klein for his leadership and dedication over the past few years,' said Robert Julien, incoming Chair of the Board of Northwest. 'His guidance during a pivotal period-shaping strategy, enhancing governance, and refocusing leadership-has been instrumental. His efforts in transforming Northwest's capital structure have laid the foundation for long-term success. We wish him all the best in his future endeavours.' Chair of the Board and Investment Committee Following the Meeting, the REIT's Board appointed Robert Julien as Chair of Board. Maureen O'Connell and Laura King will continue as Chair of the Audit Committee and Chair of the Compensation, Governance & Nominating Committee, respectively. The Board also formed an Investment Committee and appointed Graham Garner as Chair of the Investment Committee. About Northwest Healthcare Properties Real Estate Investment Trust Northwest provides investors with access to a portfolio of high-quality international healthcare real estate infrastructure comprised as at May 14, 2025, of interests in a diversified portfolio of 169 income-producing properties and 15.8 million square feet of gross leasable area located throughout major markets in North America, Brazil, Europe, and Australasia. The REIT's portfolio of medical outpatient buildings, clinics, and hospitals is characterized by long-term indexed leases and stable occupancies. Northwest leverages its global workforce in eight countries to serve as a long-term real estate partner to leading healthcare operators. For additional information please visit:
Yahoo
26-05-2025
- Business
- Yahoo
Primaris REIT Reiterates Guidance; Gains Control and Commences Repurposing of Five HBC Locations; Four Leases Subject to Bids
TORONTO, May 26, 2025--(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: As at May 26, 2025 '000s square feet, unless otherwise indicated) (unaudited) Property Ownership HBC Lease Status Property GLA1 at Share HBC GLA at Share Cataraqui Town Centre Kingston, ON 50 % Disclaimed 286.2 56.5 Les Galeries de la Capitale Québec, QC 100 % Disclaimed 987.5 163.3 Medicine Hat Mall Medicine Hat, AB 100 % Disclaimed 467.5 93.2 Place d'Orleans Shopping Centre Orleans, ON 50 % Disclaimed 350.1 57.8 Sunridge Mall Calgary, AB 100 % Disclaimed 803.7 161.3 5 locations 2,895.0 532.1 1 Gross leasable area. 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: As at May 26, 2025 '000s square feet, unless otherwise indicated) (unaudited) Property Ownership HBC Lease Status Property GLA at Share HBC GLA at Share Conestoga Mall Waterloo, ON 100 % Bid 666.1 130.6 Orchard Park Shopping Centre Kelowna, BC 100 % Bid 651.1 127.3 Oshawa Centre Oshawa, ON 100 % Bid 1,215.2 122.6 Southgate Centre Edmonton, AB 50 % Bid 425.4 118.3 4 locations 2,957.8 498.8 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 unit1 $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". 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. (unaudited) 3 Year Targets Progress to Date Additional Notes MD&A Section Reference In-place Occupancy 96.0% In-place occupancy was 92.4% at December 31, 2023 In-place occupancy was 94.5% at December 31, 2024 Section 8.1, "Occupancy" Annual Same Properties Cash NOI** growth 3% - 4% Growth for the year ended December 31, 2023 was 5.4% Growth for the year ended December 31, 2024 was 4.5% Section 9.1, "Components of Net Income (Loss)" Acquisitions > $1 billion $910 million October 1, 2024 - Les Galeries de la Capitale January 31, 2025 - Oshawa Centre and Southgate Centre Section 7.3, "Transactions" Dispositions > $500 million $200.5 million December 13, 2024 - Edinburgh Market Place February 21, 2025 - excess land February 28, 2025 - Sherwood Park Mall and Professional Centre March 31, 2025 - St. Albert Centre Section 7.3, "Transactions" Annual FFO** per unit1 growth (fully diluted) 4% to 6% Section 9.2, "FFO** and AFFO**" Annual Distribution Growth 2% - 4% In November 2022 announced a 2.5% increase In November 2023 announced a 2.4% increase In November 2024 announced a 2.4% increase Section 10.6, "Unit Equity and Distributions" ** Denotes a non-GAAP measure. See Section 1, "Basis of Presentation" – "Use of Non-GAAP Measures" and Section 12, "Non-GAAP Measures" of the MD&A. 1 Per weighted average diluted units outstanding calculated on a diluted basis, assuming the exchange of Exchangeable Preferred LP Units for Trust Units. See Section 10.6, "Unit Equity and Distributions" of the MD&A. See Section 2, "Forward-Looking Statements and Financial Outlook" for a description of the material factors, assumptions, risks and uncertainties that could impact the financial outlook statements. 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. 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@
