Summary of Selected IFRS Financial Results

Three Months
Ended

March 31, 2024

$  Change

% Change

Revenues

$31,137

$29,571

$1,566

5.3 %

Net operating income (NOI)⁽¹⁾

$18,344

$18,052

$292

1.6 %

Net change in fair value of investment properties

$2,136

($1,312)

$3,448

-

Profit and total comprehensive income

$9,319

$9,456

($137)

(1.4 %)

(1)

This is a non-GAAP financial measure.  Refer to the Non-GAAP Financial Measures defined here and in Part I and VII of the Management's Discussion and Analysis ("MD&A") ending March 31, 2025 for more information on each non-GAAP financial measure.

Summary of Selected Non-IFRS Financial Results

Three Months

Ended

March 31, 2025

Three Months

Ended

March 31, 2024

$ Change

% Change

FFO⁽¹⁾

$9,763

$9,916

($153)

(1.5 %)

FFO per unit⁽¹⁾

$0.088

$0.089

($0.001)

(1.1 %)

FFO payout ratio⁽¹⁾

80.0 %

78.7 %

n/a

1.7 %

AFFO⁽¹⁾

$8,289

$7,309

$980

13.4 %

AFFO per unit⁽¹⁾

$0.074

$0.066

$0.008

12.1 %

AFFO payout ratio⁽¹⁾

94.2 %

106.8 %

n/a

(11.8 %)

Same-asset NOI⁽¹⁾

$18,369

$18,090

$279

1.5 %

Normal course issuer bid – units repurchased

-

4,920

n/a

n/a

Committed occupancy – including non-consolidated investments⁽²⁾

97.6 %

97.1 %

n/a

0.5 %

Same-asset committed occupancy⁽³⁾

97.1 %

96.6 %

n/a

0.5 %

⁽¹⁾ This is a non-GAAP financial measure.  Refer to the Non-GAAP Financial Measures defined here and in Part I and VII of the MD&A ending March 31, 2025 for more information on each non-GAAP financial measure.

⁽²⁾ Excludes properties under development. 

⁽³⁾ Same-asset committed occupancy excludes properties under development and non-consolidated investments.

(000s – except per unit amounts and percentage data, unaudited)

3 Months Ended

March 31, 2025

3 Months Ended

March 31, 2024

Change over
Prior Period

Profit and total comprehensive income for the period attributable to unitholders

$    9,301

$    9,404

Incremental leasing costs included in administrative expenses⁽⁷⁾

280

326

Amortization of debenture issuance costs⁽⁸⁾

(18)

(18)

Distributions on Class B exchangeable LP units included in finance costs – operations

81

81

Deferred income taxes

(66)

100

Right-of-use land lease principal repayments

(217)

(203)

Fair value adjustment to restricted and deferred units

139

(30)

Fair value adjustment to investment properties

(2,136)

1,312

Fair value adjustment to investments⁽⁹⁾

786

(197)

Fair value adjustment to Class B exchangeable LP units

266

(69)

Fair value adjustment to convertible debentures

169

(75)

Fair value adjustment to interest rate swaps

856

(974)

Fair value adjustment to right-of-use land lease assets

217

203

Equity accounting adjustment⁽¹⁰⁾

139

56

Non-controlling interest adjustment⁽⁶⁾

-

FFO⁽¹⁾

$    9,763

$    9,916

$     (153)

FFO change over prior period - %

(1.5 %)

FFO⁽¹⁾

$    9,763

$    9,916

Non-cash revenue – straight-line rent⁽⁵⁾

(94)

(43)

Leasing costs – existing properties^{(2) (5) (11)}

(1,266)

(1,623)

Maintenance capital expenditures – existing properties⁽¹²⁾

(167)

(946)

Non-controlling interest adjustment⁽⁶⁾

53

5

AFFO⁽¹⁾

$    8,289

$   7,309

$       980

AFFO change over prior period - %

13.4 %

Weighted average units outstanding – basic⁽¹⁾⁽³⁾

111,575

111,521

FFO per unit – basic⁽¹⁾

$    0.088

$    0.089

(1.1 %)

AFFO per unit – basic⁽¹⁾

$    0.074

$    0.066

12.1 %

Gross distribution to unitholders⁽¹⁾⁽⁴⁾

$    7,809

$    7,805

FFO payout ratio – basic⁽¹⁾

80.0 %

78.7 %

AFFO payout ratio – basic⁽¹⁾

94.2 %

106.8 %

FFO⁽¹⁾

$    9,763

$    9,916

Interest on dilutive convertible debentures

176

178

FFO – diluted⁽¹⁾

$   9,939

$  10,094

$     (155)

Diluted weighted average units outstanding⁽¹⁾⁽³⁾

114,105

114,052

AFFO⁽¹⁾

$    8,289

$    7,309

Interest on dilutive convertible debentures

176

-

AFFO – diluted⁽¹⁾

$    8,465

$    7,309

$    1,156

Diluted weighted average units outstanding⁽¹⁾⁽³⁾

114,105

111,521

FFO per unit – diluted⁽¹⁾

$    0.087

$    0.089

(2.2 %)

AFFO per unit – diluted⁽¹⁾

$    0.074

$    0.066

12.1 %

⁽¹⁾

This is a non-GAAP financial measure.  Refer to "Non-GAAP Financial Measures" in Part I and "Explanation of Non-GAAP Financial Measures" in Part VII of the MD&A for more information.

⁽²⁾

Based on actuals.

⁽³⁾

Includes Class B exchangeable LP units.

⁽⁴⁾

Includes distributions on Class B exchangeable LP units.

⁽⁵⁾

Includes proportionate share of revenue and expenditures at equity-accounted investments.

⁽⁶⁾

The non-controlling interest ("NCI") adjustment includes adjustments required to translate the profit and total comprehensive income attributable to NCI of $18 thousand for the three months ending March 31, 2025 (March 31, 2024 –$52 thousand) to FFO and AFFO for the NCI.

⁽⁷⁾

Incremental leasing costs included in administrative expenses include leasing costs of salaried leasing staff directly attributed to signed leases that would otherwise be capitalized if incurred from external sources.  These costs are excluded from FFO in accordance with REALPAC's definition of FFO.

⁽⁸⁾

Amortization of debenture issuance costs is deducted on a straight-line basis over the remaining term of the related convertible debentures, in accordance with REALPAC.

⁽⁹⁾

Fair value adjustment to investments relate to the unrealized change in fair value of equity accounted entities which are excluded from FFO in accordance with REALPAC's definition of FFO.

⁽¹⁰⁾

Equity accounting adjustment for interest rate swaps includes the change in non-cash fair value adjustments relating to interest rate swaps held by equity accounted entities, which are excluded from FFO in accordance with REALPAC's definition of FFO.

⁽¹¹⁾

Leasing costs – existing properties include internal and external leasing costs except to the extent that leasing costs relate to development projects, in accordance with REALPAC's definition of AFFO.  See the Gross Capital Additions Including Leasing Fees note on page 26 of the MD&A.

⁽¹²⁾

Maintenance capital expenditures – existing properties include expenditures related to sustaining and maintaining existing space, in accordance with REALPAC's definition of AFFO.  See the Gross Capital Additions Including Leasing Fees note on page 26 of the MD&A.

(000s)

3 Months

Ended

March 31,

 2025

(unaudited)

3 Months

Ended

March 31,

 2024

(unaudited)

Same-asset NOI⁽¹⁾

$    18,369

$    18,090

Acquisitions, developments and redevelopments transferred to income producing in 2024 & 2025 ($3.6 million annual stabilized NOI)

1,044

239

NOI from properties currently under development and redevelopment ($435 thousand annual stabilized NOI)

-

56

Straight-line rent

94

43

Administrative expenses charged to NOI

(1,096)

(960)

Lease termination revenue

4

30

Properties disposed

1

435

Other

(72)

119

Total NOI⁽¹⁾

$    18,344

$    18,052

Percentage increase over prior period

1.6 %

(1)

This is a non-GAAP financial measure.  Refer to "Non-GAAP Financial Measures" in Part I and "Explanation of Non-GAAP Financial Measures" in Part VII of the MD&A for more information.