Morley Greene, Founder of Trez Capital and Industry Leader, Passes the Torch to New Firm Leadership

VANCOUVER, British Columbia & DALLAS–(BUSINESS WIRE)–Trez Capital, a leading provider of private commercial real estate debt and equity financing solutions in Canada and the United States, announced today that after almost 26 years as Chairman and Chief Executive Officer, firm founder Morley Greene will transition into the role of Executive Chairman. Executive leaders John D. Hutchinson and Dean Kirkham, will serve as Co-Chief Executive Officers, taking over day-to-day leadership of the firm.

“Building Trez Capital has been the greatest, most fulfilling and transformational professional experience of my life,” said Greene. “It has been an incredible 26-year journey for me, but the story does not stop here – the new chapter for Trez Capital is about to begin.”

Trez Capital’s partnership continues to undergo changes that bring new perspectives, skills and varied expertise. After 13 years with the firm holding progressively senior positions and 20 years of experience in the home building business, Hutchinson joined the partnership in fall 2021. More recently, in early 2023, Kirkham and John Maragliano were welcomed as partners. Kirkham joined Trez Capital in 2016 as Chief Credit Officer and has since taken on increasingly senior roles, culminating in his most recent position as President and Chief Operating Officer. Maragliano joined Trez Capital in 2021 as Chief Financial Officer, bringing 25 years of experience in the financial services industry. With this executive team’s diversified capabilities, Trez Capital has the right leaders in place to ensure its future success.

“My confidence to transition leadership at this time is a testament to the strength and vision of the firm, creating space for our leaders to emerge, fostering innovation and paving the way for Trez Capital to spread its wings and soar higher in the next chapter of growth and success,” added Greene.

In his new role as Co-Chief Executive Officer and Global Head of Origination, Hutchinson will continue focusing on the firm’s debt and equity origination business. As Co-Chief Executive Officer and President, Kirkham will continue focusing on the key pillars of risk and capital raising for the firm. Together, they will set the mission, vision, values and strategic direction of the firm. Additionally, Maragliano will become Chief Operating Officer, paired with his current role as Chief Financial Officer.

“We are focused on growing the firm which will continue to come from our core financing business and the new offerings we have recently brought to the market under our joint leadership,” stated Hutchinson.

In his role as Founder and Executive Chairman, Greene will continue providing valuable mentorship to the executive team, while also actively contributing to key strategic initiatives. Furthermore, he will prioritize fostering strong relationships with borrowers and investors, which have been an essential component of the organization’s success over time.

Kirkham said, “For several years now Trez Capital has strategically expanded our team of talented leaders who will uphold and build upon the legacy established by Morley, driving our organization forward with purpose and vision. Most importantly, we will continue to put our investors first in everything we do.”

“Trez Capital’s future has never been clearer, and this sound executive leadership team will continue building upon our reputation of providing innovative financing for commercial properties in major centers throughout Canada and the U.S. while providing exceptional returns for our investors,” concluded Greene.

About Trez Capital:

Founded in 1997, Trez Capital is a diversified real estate investment firm and preeminent provider of commercial real estate debt and equity financing solutions in Canada and the United States. Trez Capital offers private and institutional investors strategies to invest in a variety of opportunistic, fully secured mortgage investment funds, syndication offerings and real estate joint-venture investments; and provides property developers with quick approvals on flexible short- to mid-term financing.

With offices across North America, Trez Corporate Group has over $5.4* billion CAD in assets under management and has funded over 1,700 transactions totalling more than $17 billion CAD since inception. For more information, visit www.trezcapital.com. (*Trez Corporate Group AUM includes assets held by all Trez-related entities as well as $3.0 billion Manager AUM (Trez Capital Fund Management Limited Partnership)).

Contacts

Trez Capital Media Contact, Sarah Haney, 647.460.2029, sarahh@trezcapital.com

Dala Communications for Trez Capital: Leah Williams, 214.302.9699, leah@dalacommunications.com

DALLAS–(BUSINESS WIRE)–AECOM (NYSE: ACM), the world’s trusted infrastructure consulting firm, announced today that its joint venture was awarded a contract from the U.S. Army Corps of Engineers (USACE) to deliver per-and polyfluoroalkyl substances (PFAS) remedial investigations, feasibility studies, removal actions, and associated work at Army National Guard (ARNG) facilities nationwide. This work builds on AECOM’s prior experience executing extensive preliminary PFAS investigations at ARNG facilities for USACE.

“PFAS present a social and environmental challenge, one we’re tackling aggressively through our Sustainable Legacies strategy,” said Lara Poloni, AECOM’s president. “Our track record in PFAS extends over two decades, and our teams bring deep technical excellence and a drive to continuously innovate solutions as we partner with new and long-term clients to address the impact of PFAS on communities.”

Using the latest in analytics and treatment technologies, the joint venture will work with USACE to define nature and extent for regulated PFAS at ARNG facilities nationwide, take quick action where necessary, and design and implement long-term treatment solutions.

“The ARNG and all of the Department of Defense continue to take proactive measures against PFAS in the environment, and we’re proud to support them as a leader in PFAS remediation,” said Frank Sweet, chief executive of AECOM’s global Environment business. “Our suite of PFAS services, spanning characterization, evaluation, mitigation and destruction, and our ever-growing team of global experts enable us to provide clients with powerful PFAS capabilities, which we expect to be especially valuable as countries around the world take further action to address and limit PFAS.”

PFAS are a diverse group of synthetic chemicals used for over 50 years in industrial applications that, due to distinct properties, can prove difficult to break down and are subject to increasingly stringent federal regulations. AECOM brings an unrivalled depth and breadth of experience, having helped clients address the impact of PFAS since 2001 and on approximately 500 sites globally.

About AECOM

AECOM (NYSE: ACM) is the world’s trusted infrastructure consulting firm, delivering professional services throughout the project lifecycle – from advisory, planning, design and engineering to program and construction management. On projects spanning transportation, buildings, water, new energy and the environment, our public- and private-sector clients trust us to solve their most complex challenges. Our teams are driven by a common purpose to deliver a better world through our unrivaled technical and digital expertise, a culture of equity, diversity and inclusion, and a commitment to environmental, social and governance priorities. AECOM is a Fortune 500 firm and its Professional Services business had revenue of $13.1 billion in fiscal year 2022. See how we are delivering sustainable legacies for generations to come at aecom.com and @AECOM.

Forward-Looking Statements

All statements in this communication other than statements of historical fact are “forward-looking statements” for purposes of federal and state securities laws, including any statements of the plans, strategies and objectives for future operations, profitability, strategic value creation, risk profile and investment strategies, and any statements regarding future economic conditions or performance, and the expected financial and operational results of AECOM. Although we believe that the expectations reflected in our forward-looking statements are reasonable, actual results could differ materially from those projected or assumed in any of our forward-looking statements. Important factors that could cause our actual results, performance and achievements, or industry results to differ materially from estimates or projections contained in our forward-looking statements include, but are not limited to, the following: our business is cyclical and vulnerable to economic downturns and client spending reductions; limited control over operations that run through our joint venture entities; liability for misconduct by our employees or consultants; failure to comply with laws or regulations applicable to our business; maintaining adequate surety and financial capacity; potential high leverage and inability to service our debt and guarantees; ability to continue payment of dividends; exposure to political and economic risks in different countries, including tariffs; currency exchange rate and interest fluctuations; retaining and recruiting key technical and management personnel; legal claims; inadequate insurance coverage; environmental law compliance and adequate nuclear indemnification; unexpected adjustments and cancellations related to our backlog; partners and third parties who may fail to satisfy their legal obligations; AECOM Capital real estate development projects; managing pension cost; cybersecurity issues, IT outages and data privacy; risks associated with the expected benefits and costs of the sale of our Management Services and self-perform at-risk civil infrastructure, power construction and oil and gas construction businesses, including the risk that any contingent purchase price adjustments from those transactions could be unfavorable and result in lower aggregate cash proceeds and any future proceeds owed to us under those transactions could be lower than we expect; as well as other additional risks and factors that could cause actual results to differ materially from our forward-looking statements set forth in our reports filed with the Securities and Exchange Commission. Any forward-looking statements are made as of the date hereof. We do not intend, and undertake no obligation, to update any forward-looking statement.

Contacts

Media Contact:

Brendan Ranson-Walsh

Senior Vice President, Global Communications

1.213.996.2367

Brendan.Ranson-Walsh@aecom.com

Investor Contact:

Will Gabrielski

Senior Vice President, Finance, Treasurer

1.213.593.8208

William.Gabrielski@aecom.com

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

OTTAWA, Ontario–(BUSINESS WIRE)–InterRent Real Estate Investment Trust (TSX-IIP.UN) (“InterRent” or the “REIT”) today reported financial results for the first quarter ended March 31, 2023. This press release has been amended and restated to correct the commentary regarding same-property NOI growth in the previous press release issued at 7:30 am ET on Tuesday, May 9, 2023.

AMR growth and occupancy gains drive robust NOI margin expansion of 90bps over Q1 2022

• Same property occupancy for March 2023 was 96.9%, an increase of 140 basis points when compared to March 2022, inline with December 2022, helped drive same property NOI for the quarter to $35.8 million, an increase of $3.7 million, or 11.4%, over Q1 2022.
• Total occupancy for March 2023 was 96.8%, an increase of 130 basis points when compared to March 2022, which helped push proportionate NOI for the quarter to $36.3 million, an increase of $4.2 million, or 12.9%, over Q1 2022.
• Total portfolio and same property NOI margin of 62.9% for the quarter is a 90bps expansion over Q1 2022.
• Strong demand continued through the quarter, resulting in Average Monthly Rent (AMR) growth in March 2023 of 7.1% for the total portfolio and 6.7% for the same property portfolio, as compared to March 2022.
• Funds from Operations (FFO) of $18.9 million ($0.130 per Unit – diluted) in Q1 2023 is down 0.8% overall and 2.3% on a per Unit basis compared to Q1 2022 as a result of interest rate increases through 2022 and into the first quarter of 2023.
• Reported on 2022 sustainability objectives and goals with the concurrent release of the 3^rd annual InterRent sustainability report, sharing the progress made as the REIT continues to execute on its sustainability strategy.

Strong revenue and NOI growth helps offset new norm of higher financing costs

As of March 31, 2023, InterRent had proportionate ownership in 12,689 suites, up 2.0% from 12,445 as of March 2022. Including properties that the REIT owns in its joint ventures, InterRent owned or managed 13,840 suites at March 31, 2023. At 96.8%, the March 2023 occupancy rate in InterRent’s portfolio improved 130bps over March 2022 and is flat from December 2022. Within the same property portfolio, March 2023 occupancy was 96.9%, an increase of 140bps from March 2022 and a 10bps decrease from December 2022. AMR growth across the total portfolio was 7.1% for March 2023 as compared to March 2022, while same property AMR increased by an impressive 6.7% for the same period.

With record setting immigration in 2022 and continuing ambitious federal targets for 2023, strong leasing demand continues to drive AMR growth and strong occupancy numbers, resulting in total portfolio operating revenue growth of 11.3% over Q1 2022. Within the same property portfolio, these same factors have grown operating revenues by 9.8% compared to Q1 2022. NOI margin for the overall and same property portfolios were 62.9% for the quarter, a 90-basis points expansion over the same period last year.

In the quarter, the REIT increased its share of CMHC insured mortgages to 83%, from 82% at December 2022 and 71% at March 2022, providing added protection against any liquidity risks in the market. The average term to maturity for the mortgages sits at 5.1 years, a marginal decrease from 5.2 years at December 2022 and up from 4.5 years at March 2022. Despite a large rate swap maturing during the quarter, the REIT’s variable rate exposure ended the quarter at 4%, a decrease from the 16% exposure at the end of Q1 2022. Financing activities during the quarter and changes to variable rates have resulted in the weighted average cost of mortgage debt increasing to 3.38% (+16bps from December 2022). Financing costs in Q1 2023 were consistent with Q4 2022 and came in at $13.9 million relative to $9.7 million in Q1 2022. The REIT has the majority of its remaining 2023 maturing mortgages at various stages of the review/approval process with CMHC. With the changes CMHC’s recently announced to their insurance programs (including MLI Select), the proactive management of renewals and up-financings will minimize the impact of the change in premiums for 2023.

Net income for the quarter was $82.8 million, a decrease of $11.9 million compared to Q1 2022. This difference was due primarily to a $16.0 million difference in the unrealized gain/(loss) on the revaluation of financial liabilities (moving from a $10.0 million gain to a $6.0 million loss) and a $4.2 million increase in financing costs, offset by the increase in NOI and a $4.3 million increase in fair value gain on investment properties.

As a result of seasonality, FFO and AFFO typically decrease from Q4 to Q1 but both are up from $0.129 and $0.110 per Unit (diluted) recorded for Q4 2022. FFO on a per Unit (diluted) basis for the three months ended March 31, 2023 shrunk by 2.3% to $0.130 per Unit (diluted) compared to Q1 2022. Similarly, AFFO for the three months ended March 31, 2023 decreased by 5.8% to $0.113 per Unit (diluted) compared to 2022.

The Slayte

The Slayte development in Ottawa, the REIT’s first office conversion project, is nearing completion with occupancy quickly approaching the 50% mark despite lease-up having mainly occurred during the weaker winter rental months. There continues to be strong momentum post quarter and demand is anticipated to continue and strengthen during the summer months. Takeout financing is underway with CMHC under its MLI Select program, where the community achieved the highest level in the program by scoring on all three criteria: energy efficiency, accessibility, and affordability.

2022 sustainability report highlights the REIT’s significant progress

InterRent is concurrently publishing its 2022 sustainability report alongside its Q1 2023 results. The intent with this report is to provide a status update on the social and environment goals initially established in its inaugural 2020 report and subsequent updates in its 2021 report. The report is available for download in the sustainability section of InterRent’s website (https://www.interrentreit.com/sustainability).

Commenting on the results published today, Brad Cutsey, President & CEO of InterRent, said: “We are pleased to have returned to double-digit same-property NOI growth during the quarter with our core markets stronger than ever. The Slayte is off to a promising start, already reaching 50% occupancy and with the strong summer leasing months yet to come.

Despite facing headwinds from higher financing costs, we have taken incremental steps to improve the resiliency of our debt portfolio. We are pleased to see further signs of market improvement with the Bank of Canada pausing rate hikes, and a modest pick-up in transaction activity.

We are also delighted to have published our third annual sustainability report, which highlights the significant progress we’ve made toward our goals. We will continue to enhance and execute on our sustainability strategy that will not only benefit our communities and the environment, but also drive returns for our stakeholders.”

Financial Highlights

Selected Consolidated Information In $000’s, except per Unit amounts and other non-financial data	3 Months Ended March 31, 2023			3 Months Ended March 31, 2022			Change
Total suites		12,689(1	)		12,445(1	)	+2.0%
Average rent per suite (March)	$	1,504		$	1,404		+7.1%
Occupancy rate (March)		96.8	%		95.5	%	+130 bps
Proportionate operating revenues	$	57,740		$	51,877		+11.3%
Proportionate net operating income (NOI)	$	36,321		$	32,169		+12.9%
NOI %		62.9	%		62.0	%	+90 bps
Same Property average rent per suite (March)	$	1,498		$	1,404		+6.7%
Same Property occupancy rate (March)		96.9	%		95.5	%	+140 bps
Same Property proportionate operating revenues	$	56,915		$	51,814		+9.8%
Same Property proportionate NOI	$	35,781		$	32,129		+11.4%
Same Property NOI %		62.9	%		62.0	%	+90 bps
Net Income	$	82,761		$	94,632		-12.5	%
Funds from Operations (FFO)	$	18,910		$	19,067		-0.8	%
FFO per weighted average unit – diluted	$	0.130		$	0.133		-2.3	%
Adjusted Funds from Operations (AFFO)	$	16,430		$	17,267		-4.8	%
AFFO per weighted average unit – diluted	$	0.113		$	0.120		-5.8	%
Distributions per unit	$	0.0900		$	0.0855		+5.3%
Adjusted Cash Flow from Operations (ACFO)	$	8,194		$	13,170		-37.8	%
Debt-to-GBV		38.0	%		36.4	%	+160 bps
Interest coverage (rolling 12 months)	2.52x			3.31x			-0.79x
Debt service coverage (rolling 12 months)	1.59x			1.84x			-0.25x

(1)

Represents 12,021 (2022 – 11,965) suites fully owned by the REIT, 1,214 (2022 – 960) suites owned 50% by the REIT, and 605 (2022 – nil) suites owned 10% by the REIT.

Conference Call

Management will host a webcast and conference call to discuss these results and current business initiatives on Tuesday, May 9, 2023 at 10:00 AM EST. The webcast will be accessible at: https://www.interrentreit.com/2023-q1-results. A replay will be available for 7 days after the webcast at the same link. The telephone numbers for the conference call are 1-888-886-7786 (toll free) and 416-764-8687 (international). No access code required.

About InterRent

InterRent REIT is a growth-oriented real estate investment trust engaged in increasing Unitholder value and creating a growing and sustainable distribution through the acquisition and ownership of multi-residential properties.

InterRent’s strategy is to expand its portfolio primarily within markets that have exhibited stable market vacancies, sufficient suites available to attain the critical mass necessary to implement an efficient portfolio management structure, and offer opportunities for accretive acquisitions.

InterRent’s primary objectives are to use the proven industry experience of the Trustees, Management and Operational Team to: (i) grow both funds from operations per Unit and net asset value per Unit through investments in a diversified portfolio of multi-residential properties; (ii) provide Unitholders with sustainable and growing cash distributions, payable monthly; and (iii) maintain a conservative payout ratio and balance sheet.

*Non-GAAP Measures

InterRent prepares and releases unaudited quarterly and audited consolidated annual financial statements prepared in accordance with IFRS (GAAP). In this and other earnings releases, as a complement to results provided in accordance with GAAP, InterRent also discloses and discusses certain non-GAAP financial measures, including Proportionate Results, Gross Rental Revenue, NOI, Same Property results, Repositioned Property results, FFO, AFFO, ACFO and EBITDA. These non-GAAP measures are further defined and discussed in the MD&A dated May 9, 2023, which should be read in conjunction with this press release. Since Proportionate Results, Gross Rental Revenue, NOI, Same Property results, Repositioned Property results, FFO, AFFO, ACFO and EBITDA are not determined by GAAP, they may not be comparable to similar measures reported by other issuers. InterRent has presented such non-GAAP measures as Management believes these measures are relevant measures of the ability of InterRent to earn and distribute cash returns to Unitholders and to evaluate InterRent’s performance. These non-GAAP measures should not be construed as alternatives to net income (loss) or cash flow from operating activities determined in accordance with GAAP as an indicator of InterRent’s performance.

Cautionary Statements

The comments and highlights herein should be read in conjunction with the most recently filed annual information form as well as our consolidated financial statements and management’s discussion and analysis for the same period. InterRent’s publicly filed information is located at www.sedar.com.

This news release contains “forward-looking statements” within the meaning applicable to Canadian securities legislation. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as “plans”, “anticipated”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. InterRent is subject to significant risks and uncertainties which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward looking statements contained in this release. A full description of these risk factors can be found in InterRent’s most recently publicly filed information located at www.sedar.com. InterRent cannot assure investors that actual results will be consistent with these forward looking statements and InterRent assumes no obligation to update or revise the forward looking statements contained in this release to reflect actual events or new circumstances.

The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contacts

Investor Relations

investorinfo@interrentreit.com
www.interrentreit.com

Waterview Retirement Resort will be the first senior living facility in Canada to receive the designation

KELOWNA, British Columbia–(BUSINESS WIRE)–Sustainability and wellness design consulting firm Matthews Design Group (MDG) today announces one of its consulting properties, Vendure Retirement Communities, has been awarded WELL Precertification™ for its Waterview project. The development, located in Nelson, B.C., is the first Senior Living Facility in the country to receive this distinction.

The WELL Precertification distinction was awarded by the International WELL Building Institute (IWBI), the leading authority for transforming health and well-being with its people-first approach to buildings, organizations, and communities, under WELL v2, the latest version of the WELL Building Standard (WELL). It is grounded in a body of evidence-based research that links the connection between the spaces where we spend approximately 90 percent of our time, and the health and well-being impact on the people inside buildings.

“Achieving the WELL Precertification for the Waterview project speaks volumes to the focus on wellness that went into designing this property, and it is our great pleasure to be a part of creating a space that will have a long-lasting positive impact on the health of all occupants,” said Trish Matthews, Principal and CEO of Matthews Design Group. “Matthews Design Group is proud to have worked alongside Vendure properties on this transformative project, which, once complete, will provide a wellness-oriented space that will ensure the well-being of residents and families, and reduce employee stress and burnout. We’d like to congratulate the entire Vendure team on this incredible achievement.”

The population of Canadians aged 85 and older is one of the country’s fastest-growing age groups. As this demographic continues to increase, the demand for safer, accessible living spaces where seniors can age in place will increase exponentially. Under the consultation and guidance of MDG, Vendure has incorporated WELL Building Standards into the design philosophy of the Waterview Retirement Resort to create a sustainable and accessible community where residents can feel safe, healthy and happy for years to come.

WELL Precertification is an optional step in the certification process for WELL projects, which allows registered projects to review the work already completed and confirm that they are on the correct path toward achieving full WELL Certification. Provided the project maintains the standards and directives it has proposed, the Waterview Retirement Resort is on track towards achieving full WELL Certification following its completion.

“At Vendure, creating healthy spaces for our residents is paramount, and this achievement of WELL Precertification for our Waterview project demonstrates our commitment to global leadership in building health,” said Cindy Shaw, Marketing Director of Vendure. “We are deeply appreciative to have Matthews Design Group’s guidance on sustainability and wellness-oriented design throughout this process and we look forward to achieving full WELL Certification. The Waterview development will be a first-class senior facility that fosters the health and well-being of our grandparents, parents, and loved ones, as well as those who work in this space to care for them, and we look forward to welcoming the community.”

The Waterview Retirement Resort consists of five commercial, residential-style development care facilities, offering 125 spacious, well-appointed suites, in one-bedroom, two-bedroom, and studio layouts. It is expected to be completed in 2024.

For more information, visit matthewsdesigngroup.ca.

About Matthews Design Group

Matthews Design Group is driven by the belief that the spaces in which we live, work and play have a profound effect on our health and well-being. By partnering with visionary designers, builders, and developers we craft sustainable, high-performance environments that prioritize occupant wellness. We work closely with green building rating systems to evaluate and certify buildings that meet the highest standards of sustainability and occupant health. For more information, visit www.matthewsdesigngroup.ca.

Contacts

Media
Logan Findlay

Talk Shop Media

logan@talkshopmedia.com
604-440-8999