Smartcentres Real Estate Investment Trust · TSX:SRU.UN
Smartcentres Real Estate Investment Trust — Q4 2020 Earnings Presentation
72 slides from Smartcentres Real Estate Investment Trust's earnings presentation, March 2021
Slide 1: Q4 Presentation March 2021
Q4 PRESENTATION MARCH 2021 SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION
Slide 2: Notice to Reader
NOTICE TO READER Readers are cautioned that certain terms used in this Investor Presentation (“Presentation”) such as Funds from Operations ("FFO"), Adjusted Cashflow from Operations ("ACFO"), "Gross Book Value", "Payout Ratio", "Interest Coverage", "Total Debt to Adjusted EBITDA" and any related pe
Slide 3: Table of contents
COVID-19 UPDATE 4 PARTNERSHIP UPDATES 30 SUPPORTING CANADIAN 5 REVERA 30 RENT COLLECTION 6 SMARTSTOP 31 SUPPORTING SMALLER RETAILERS 7 GREENWIN 32 DEVELOPMENT ACTIVITY 8 FEATURED PROPERTIES 33 CONSTRUCTION MOMENTUM 9 SMARTVMC, TORONTO 34 TENANT BASE 10 ALLISTON 42 CENTRAL MARKETPLACE 11 CAMBRIDGE 44
Slide 4: COVID-19 Update
STAY APART. PRACTICE SOCIAL DISTANCING SMARTCENTRES SMARTCENTRES - Walmart>.< i {é. : BUFFALO WILD WINGS DF GRILL BAR HE
Slide 5: Supporting Canadians
COVID RESPONSE: SUPPORTING CANADIANS MARCH 2020 | SmartCentres offered Canadian governments and health care institutions the use of 1 million SF of rent-free built space, land and parking lots, to help support COVID-19 testing and PPE storage efforts. Several institutions accepted the offer. January
Slide 6: Improving Rent Collections
COVID RESPONSE: IMPROVING RENT COLLECTIONS 96.1% 95.6% 87.3% 92.5% 84.0% 83.5% 76.9% 77.5% 80.8% 86.0% 89.4% 89.5% 95.1% 94.9% 93.4% APRIL MAY JUNE JULY AUG SEPT OCT NOV DEC Rent collected including CECRA (Program ended on Sept 30, 2020) Rent collected excluding CECRA SMARTCENTRES REIT | Q4 2020 INV
Slide 7: Supporting Smaller Retailers
COVID RESPONSE: SUPPORTING SMALLER RETAILERS CECRA PROGRAM (CANADA EMERGENCY COMMERCIAL RENT ASSISTANCE) 6-month Government assistance program from APRIL – SEPTEMBER 2020 Tenant pays Landlord pays Government pays 25% 25% 50% of rent of rent of rent 9 months ending December 31, 2020 Recovery from Fed
Slide 8: Accelerated Development Activity
COVID RESPONSE: ACCELERATED DEVELOPMENT ACTIVITY OF ADDITIONAL DENSITY ADVANCED DURING COVID-19 SUPPORTED BY A STRONG FINANCIAL POSITION: INCOME-PRODUCING UNENCUMBERED LIQUIDITY: CASH PORTFOLIO ASSET POOL RESOURCES + OPERATING LINE ACCORDION AVAILABLE SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATIO
Slide 9: Continued Construction Momentum
COVID RESPONSE: CONTINUED CONSTRUCTION MOMENTUM WALMART SMARTSTOP TRANSIT CITY 1 & 2 EQUINOXE DANIEL-JOHNSON VAUGHAN, ONTARIO VAUGHAN, ONTARIO VAUGHAN, ONTARIO LAVAL, QUEBEC FROM THEN TO NOW Opened a new state-of-the-art Opened 3 SmartStop self- Closed 1,100 Transit City 1 & 2 Opened an Equinoxe Dan
Slide 10: Solid Tenant Base
BUILT FOR HEAVY WEATHER: SOLID TENANT BASE 167 +50% properties at key of rent from strong, intersections across creditworthy and open essential service tenants Canada: 97.3% 73% +25% industry-leading anchored by of revenue from occupancy rate Walmart Walmart 60%-70% 98% $3.5B of tenants are of reven
Slide 11: Central Community Marketplace
BUILT FOR HEAVY WEATHER: CENTRAL COMMUNITY MARKETPLACE INCOME NET PRODUCING OPERATING OCCUPANCY GROCERY/ PROPERTIES INCOME RATE PHARMACY # % % % GREATER- VECTOM 98 73 97.0 100 PRIMARY 32 16 97.0 100 SECONDARY 27 11 98.8 100 TOTAL 157 100% 97.3% 100% SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION
Slide 12: Fulfilling Our Transformation: Shopping Centres to City Centres
FULFILLING OUR TRANSFORMATION: SHOPPING CENTRES CITY CENTRES
Slide 13: Unlocking Potential
A LAND DEVELOPMENT COMPANY UNLOCKING POTENTIAL 1989-1994 2003 2015 2018 2021 MITCHELL GOLDHAR HELPED FIRST TRANSACTION CALLOWAY REIT & SMARTCENTRES FORMS “PROJECT 512”: BRING WALMART TO CANADA WITH CALLOWAY REIT SMARTCENTRES MERGE DIVERSIFIED JV PARTNERSHIPS THE $13.5B TRANSORMATION OF EXISTING PROP
Slide 14: Mitchell Goldhar
EXECUTIVE CHAIRMAN MITCHELL GOLDHAR ROLES & RESPONSIBILITIES Mitchell Goldhar provides development services to the REIT through his 100% owned company, Penguin: • His real estate development and operations business acumen give the REIT a competitive edge • He is personally leading Project 512; The R
Slide 15: $13.5B Project 512 transformation plan
$10.7B IN TOTAL ASSETS + $13.5B “PROJECT 512”: REIT SHARE $7.9B TRANSFORMATION PLAN -FOCUSED INITIATIVES APARTMENTS | CONDOS | TOWNS | SENIORS’ RESIDENCES SMARTCENTRES REIT | Q2 2020 INVESTOR PRESENTATION SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 15
Slide 16: Best Portfolio in the Country
167 PROPERTIES BEST EASY ACCESS MAJOR INTERSECTIONS PORTFOLIO TRANSIT CONNECTIVITY 3,500 ACRES COUNTRY FLEXIBLE STRUCTURES <24% LAND UTILIZATION 2,775 UNBUILT ACRES STRONG TENANCIES SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 16
Slide 17: Core Competency in Land Development
CORE-COMPETENCY IN LAND DEVELOPMENT DEVELOPMENT DEVELOPMENT THIS TEAM IN OUR DNA TEAM OF DEVELOPED SF DEVELOPED IN-HOUSE RESOURCES OF OUR CURRENT SINCE 1989 FOCUSED ON INTENSIFICATION RETAIL AREA PLANNERS / DEVELOPERS • ENGINEERS • GOVERNMENT RELATIONS • LEASING • ENVIRONMENTAL / GEOTECH SPECIALISTS
Slide 18: Innovation
DIGITAL SIGNAGE EV CHARGING STATIONS INNOVATION PENGUIN PICKUP 5G CELL TOWERS GENERATING NEW REVENUE SOURCES 18
Slide 19: 95 Properties Identified for Intensification
95 PROPERTIES IDENTIFIED FOR INTENSIFICATION… BRITISH ALBERTA SASKATCHEWAN MANITOBA ONTARIO QUEBEC ATLANTIC TOTAL COLUMBIA MARKED FOR INTENSIFICATION 5 3 2 2 63 20 0 95 UNDER REVIEW FOR INTENSIFICATION 10 4 3 1 38 6 10 72 TOTAL PROPERTIES 15 7 5 3 101 26 10 167 REVENUE MIX 8.2 3.2 3.9 3.3 62.6 14.1
Slide 20: Development Status
DEVELOPMENT STATUS 284 INDIVIDUAL DEVELOPMENT PROJECTS ACROSS 95 PROPERTIES SELF-STORAGE (50) OFFICE BUILDINGS (7) RECURRING DEVELOPMENT TOTAL INCOME INCOME PROJECT INITIATIVES INITIATIVES COUNT 197 + 87 = 284 (31%) (100%) APARTMENTS (96) SENIORS (40) (69%) CONDOS (72) TOWNHOUSES (15) HOTELS (4) SMA
Slide 21: Development Income Initiatives
DEVELOPMENT INCOME INITIATIVES OUR STEADY PIPELINE OF CONDO AND TOWNHOUSE PROFITS WILL: STRENGTHEN LIQUIDITY + STRENGTHEN EARNINGS LEVELS + FUND RECURRING INCOME INITIATIVES 2020 (Q3) 2020 (Q4) 2021 (Q2/Q3) 2022 2023 TRANSIT CITY 1 & 2 TRANSIT CITY 1 & 2 TRANSIT CITY 3 VAUGHAN NORTHWEST TRANSIT CITY
Slide 22: Value Creation
VALUE CREATION 57 82 145 284 UNDERWAY ACTIVE FUTURE TOTAL CONSTRUCTION INITIATION (Years) 1 2 3 4 5 6+ PLANNING ENTITLEMENTS (#) 38 52 74 164 PROJECT SF (SF Millions) 12.5 15.2 27.7 55.4 REIT SHARE 6.7 9.5 16.3 32.5 POTENTIAL VALUE CREATION $1,072.0 $925.2 $1,404.6 $3,401.8 ($ Millions) $530.6 $514.
Slide 23: Value Creation Example: 1900 Eglinton
VALUE CREATION EXAMPLE 1900 EGLINTON AVE E | 28 ACRES • Current Size: 380,000 SF of retail • Anchor: Walmart Supercentre • Transit: New Eglinton Crosstown LRT line will have 2 stations along the site • Full Build-Out: 5.3 million SF of density (incl. 14 towers up to 40 storeys) SMARTCENTRES REIT | Q
Slide 24: Value Creation Example: 1900 Eglinton
VALUE CREATION EXAMPLE 1900 EGLINTON AVE E | 28 ACRES • Full Build-Out: $250M in potential value beyond the current IFRS value • Phase 1: 2 condo towers with potential value creation of $40 million • Only Phase 1 is included in the total project count (284) & value creation calculations PHASE 1 2 CO
Slide 25: Retail Opportunity Example: Pickering
RETAIL OPPORTUNITY EXAMPLE PICKERING | 48 AC • Current Size: 546,000 SF of retail • Anchors: Walmart and Lowe’s • Location: 5 minutes from the Pickering GO station, next to Highway 401 and minutes from Durham Live SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 25
Slide 26: Retail Opportunity Example: Pickering
RETAIL OPPORTUNITY EXAMPLE PICKERING | 48 AC • Full Build-Out: 5 million SF of density • Preliminary plan: Condos, towns, seniors’ and apartments • Phase 1: 2 residential towers (33/34 storeys, 737 units) • Official Plan, Zoning and Phase 1 Site Plan Applications submitted PHASE 1 2 RESIDENTIAL TOWE
Slide 27: Redevelopment Sequencing Example: Hwy 400/7
REDEVELOPMENT SEQUENCING EXAMPLE HWY 400 & 7 | 20 AC • Location: Highly visible site along Highway 7 at Highway 7 in Vaughan • Transit: Serviced by VIVA Rapid Transit, with direct connection to the TTC • Retail closure altered the sequencing of existing residential redevelopment plans SMARTCENTRES R
Slide 28: Redevelopment Sequencing Example: Hwy 400/7
REDEVELOPMENT SEQUENCING EXAMPLE HWY 400 & 7 • Full Build-Out: 5.1 million SF, 14 buildings and 3,900 residential units • Phase 1: 4 residential towers, 1,742 units • Official Plan, Zoning and Phase 1 Site Plan Applications submitted PHASE 1 4 RESIDENTIAL TOWERS SMARTCENTRES REIT | Q4 2020 INVESTOR
Slide 29: Major Mixed-Use Development Initiatives
MAJOR MIXED-USE DEVELOPMENT INITIATIVES GLA Estimated Costs ($M) Estimated Gain on Final Sale SITE PROJECT TYPE ('000sf) Completion Year SRU Yield % Share /Units 100% SRU Share Profit % SRU Share Timing KPMG (T#1) PwC-YMCA (T#2)(2) 360sf 2016 50% $174 $86.9 6.1% 1. VMC (Office Towers) Office (T#3) O
Slide 30: Partnership Update: Revera
PARTNERSHIP UPDATE 7 REVERA JV PROJECTS Approximately 1,300 units across all 6 properties • 6% - 8% yield expected once stabilized • Seniors’ apartments & retirement residences (NO LONG-TERM CARE) PROJECTS: • Oakville - Downtown • Markham – Main Street • Richmond Hill – Baymac • Toronto - Bathurst &
Slide 31: Partnership Update: SmartStop
PARTNERSHIP UPDATE 10 SMARTSTOP JV PROJECTS Approximately 9,000 units and nearly 1 million SF of new development OPEN AND IN LEASE-UP: • Dupont St: Opened fall 2019 • Leaside: Opened June 2020 • Brampton: Opened Nov 2020 • Vaughan: Opened Jan 2021 UNDER CONSTRUCTION: • Oshawa • Scarborough OTHER: •
Slide 32: Partnership Update: Greenwin
PARTNERSHIP UPDATE 2 GREENWIN JV PROJECTS 2,150 units across the 2 properties BARRIE WATERFRONT: • 7.8 acres on the waterfront • Zoning approved for 4 mixed-use towers including residential, retail and hotel • SmartCentres interest: 50% TORONTO - BALLIOL STREET: • 1.15 acres at Yonge & Davisville •
Slide 33: Featured Properties
FEATURED PROPERTIES ONTARIO 1. SMARTVMC (VAUGHAN METROPOLITAN CENTRE) TORONTO | 100 ACRES – Page 34 2. ALLISTON | 36 ACRES – Page 42 3. CAMBRIDGE | 73 ACRES – Page 44 4. OAKVILLE NORTH, TORONTO | 52 ACRES – Page 46 5. OAKVILLE SOUTH, TORONTO | 21 ACRES – Page 48 6. OTTAWA SW | 15 ACRES – Page 50 7.
Slide 34: Vaughan: The New City Centre
VAUGHAN THE NEW CITY CENTRE 34 SMARTCENTRES | CONFIDENTIAL | FEBRUARY 16, 2021 34
Slide 35: The New City Centre
THE NEW CITY CENTRE | 100 AC • Transit: TTC subway station, regional bus terminal, VIVA rapid transit station • New 140,000 SF Walmart: Opened October 2020, freeing up 15.5 acres of prime real estate for development SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 35
Slide 36: Full Build-Out Potential: 20 Million SF
FULL BUILD-OUT POTENTIAL: 20 MILLION SF • 3.5 million SF built or under construction SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 36
Slide 37: Residential: Transit City 1, 2 & 3
RESIDENTIAL | TRANSIT CITY 1, 2 & 3 1,741 UNITS ACROSS 3 TOWERS $710 AVERAGE PRICE PER SQUARE FOOT $35M 3-TOWER PROFIT IN EXCESS OF PLAN • $45 million in profit from Transit City 1 & 2 in 2020 • $20 million in profit anticipated from Transit City 3 • TC Towns: 22 townhouses | 100% presold | late 202
Slide 38: Residential: TC4, TC5 & Purpose-Built Rentals
RESIDENTIAL | TC4, TC5 & PURPOSE BUILT-RENTALS TC4 TC5 PURPOSE-BUILT RENTALS TC4 & TC5: 1,025 units | $838 & $865 per sf. | 20% deposits in place PURPOSE-BUILT RENTAL APARTMENTS: 450 units 2023 DELIVERY SmartVMC’s first 6 residential towers will bring +6,000 residents to Vaughan SMARTCENTRES REIT |
Slide 39: Offices: 100% Leased
OFFICES | 100% LEASED PWC/YMCA TOWER | 220,000 SF PWC/YMCA TOWER | 220,000 SF KPMG TOWER | 365,000 SF KPMG TOWER | 365,000 SF SMARTCENTRES SMARTCENTRES REIT REIT || Q4 Q4 2020 2020 INVESTOR INVESTOR PRESENTATION PRESENTATION 39
Slide 40: Moving Forward: Zoning & Site Plan Applications Submitted
MOVING FORWARD | ZONING & SITE PLAN APPLICATIONS SUBMITTED 2.2 4 acres acres 3 RESIDENTIAL TOWERS 550,000 SF 1.7 acres SmartCentres-led planning and development on 2 RESIDENTIAL TOWERS behalf of RESIDENTIAL, OFFICE, First Vaughan 900,000 SF HOTEL & RETAIL 1,400,000 SF SMARTCENTRES SMARTCENTRES REIT
Slide 41: The New City Centre and Beyond
THE NEW CITY CENTRE…& BEYOND 170+ ACRES 30+ MILLION SF OF POTENTIAL SRU: SMARTCENTRES REIT PPI: PENGUIN PROPERTIES INC. SMARTCENTRES-LED PLANNING AND DEVELOPMENT 1 SMARTCENTRES WESTRIDGE – 50% SRU + 50% CHOICE REIT 2 SMARTCENTRES 400 & 7 – 100% SRU 3 APPLEWOOD – 50% SRU + 50% PPI 4 SMARTVMC – 33.3%
Slide 42: Alliston | Existing
36 ACRES ALLISTON | EXISTING 171,000 SF RETAIL • Anchor: Walmart • Location: Hwy 89 just east of Alliston, close to Honda Manufacturing Plant 42
Slide 43: Alliston | Vision
ALLISTON | VISION FULL BUILD-OUT POTENTIAL: 334,000 SF PHASE 1 1 RESIDENTIAL BUILDING • Rezoning approved for residential (350 units), self-storage and hotel • Phase 1: 3-storey, 42-unit, purpose-built rental. Site Plan Application submitted 43
Slide 44: Cambridge | Existing
73 ACRES CAMBRIDGE | EXISTING 744,000 SF RETAIL • Anchor: Walmart • Minister’s Zoning Order (MZO) issued November 2020, permitting residential, retail, office, institutional and other commercial uses SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 44
Slide 45: Cambridge | Vision
CAMBRIDGE | VISION FULL BUILD-OUT POTENTIAL: 11 MILLION SF • Potential for up to 10,000 new residential units, including rental apartments, condos, towns and seniors • Phase 1: Residential tower and towns SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 45
Slide 46: Oakville North | Existing
52 ACRES OAKVILLE NORTH | EXISTING 461,000 SF RETAIL • Anchors: Walmart Supercentre and Loblaws • Location: Uptown core area of Oakville, with uncapped densities and permissions allowing for residential, office, retail and commercial uses SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 46
Slide 47: Oakville North | Vision
OAKVILLE NORTH | VISION FULL BUILD-OUT POTENTIAL: 7 MILLION SF • Master plan: Residential, commercial and retail • Phase 1: 2 residential towers with 28 and 29 storeys, 575 units and 470,000 SF PHASE 1 2 RESIDENTIAL TOWERS SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 47
Slide 48: Oakville South | Existing
21 ACRES OAKVILLE SOUTH | EXISTING 330,000 SF RETAIL • Anchors: Metro Foods, Shoppers Drug Mart, LCBO, Winners and Goodlife Fitness SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 48
Slide 49: Oakville South | Vision
OAKVILLE SOUTH | VISION FULL BUILD-OUT POTENTIAL: 430,000 SF • Plans include a Revera seniors' residence with 161 units and 86 townhomes SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 49
Slide 50: Ottawa SW | Existing
15 ACRES OTTAWA SW | EXISTING 172,000 SF RETAIL 88,000 SF OFFICE • Anchor: Walmart • Location: South-west of downtown Ottawa. Great visibility from major arterial roads and excellent public transit SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 50
Slide 51: Ottawa SW | Vision
OTTAWA SW | VISION FULL BUILD-OUT POTENTIAL: 665,000 SF • Plans: 2 15-storey retirement towers (420 units) in partnership with Group Selection • Site Zoned • Construction expected to begin Spring 2021 SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 51
Slide 52: Vaughan Northwest | Existing
41 ACRES VAUGHAN NORTHWEST | EXISTING 397,500 SF RETAIL • Anchors Walmart • New: 875-unit SmartStop (opened January 2021) • Location: 1 km from Canada’s first smart hospital (Opened February 2021) OPENED JAN 2021 SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 52
Slide 53: Vaughan Northwest | Vision
VAUGHAN NORTHWEST | VISION FULL BUILD-OUT POTENTIAL: 1.7 MILLION SF • Phase 1: 179 freehold townhouses • Official Plan, Zoning and Site Plan Applications submitted for 4 residential mid/high rise buildings along Major Mackenzie • Revera JV seniors’ apartment and retirement residence (450+ units acro
Slide 54: Westside Mall (Toronto) | Existing
12 ACRES WESTSIDE MALL (TORONTO) | EXISTING 140,000 SF RETAIL • Anchors: Canadian Tire and FreshCo • Transit: New Eglinton Crosstown LRT station to open on site. New GO station will connect East:West LRT to North:South transit SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 54
Slide 55: Westside Mall (Toronto) | Vision
WESTSIDE MALL (TORONTO) | VISION FULL BUILD-OUT POTENTIAL: 3 MILLION SF PHASE 1 1 RESIDENTIAL TOWER SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 55
Slide 56: Kirkland | Existing
16 ACRES KIRKLAND | EXISTING 207, 000 SF RETAIL • Anchor: Walmart • Location: Well-located on the south side of Hwy 40 PHASE 1 RESIDENTIAL SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 56
Slide 57: Kirkland | Vision
KIRKLAND | VISION FULL BUILD-OUT POTENTIAL: 750,000 SF • Transit: REM station under construction • Phase 1: 10-storey residential tower (170 units) • Construction Anticipated to commence in 2021 PHASE 1 RESIDENTIAL REM STATION (UNDER CONSTRUCTION) SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 57
Slide 58: Laval Centre | Existing
37 ACRES LAVAL CENTRE | EXISTING 160,000 SF RETAIL • Anchor: Walmart Supercentre • Location: Greater Montreal Area • Land sales: Parcels sold to develop a seniors’ residence, hotel and office • JV with Jadco for 2 Equinoxe Daniel-Johnson rental apartments (342 units) SMARTCENTRES REIT | Q4 2020 INVE
Slide 59: Laval Centre | Existing: Equinoxe Daniel-Johnson
EQUINOXE DANIEL-JOHNSON RENTAL APARTMENTS LAVAL CENTRE | EXISTING 85% LEASED • Construction complete on the 1st of 2 15-storey Equinoxe Daniel-Johnson rental apartments • First residents moved in March 2020 • Approval received to commence construction of the second 15-storey tower SMARTCENTRES REIT
Slide 60: Laval Centre | Vision
LAVAL CENTRE | VISION FULL BUILD-OUT POTENTIAL: 4.5 MILLION SF SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 60
Slide 61: Mascouche N | Existing
39 ACRES MASCOUCHE N | EXISTING 54,000 SF RETAIL • Anchor: Walmart TRAIN STATION SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 61
Slide 62: Mascouche N | Vision
MASCOUCHE N | VISION FULL BUILD-OUT POTENTIAL: 1.5 MILLION SF • Phase 1: 2 10-storey residential towers (238 units) with COGIR (80% PHASE 1 TRAIN SmartCentres ownership) 2 RENTAL APARTMENTS STATION 244,000 SF • Construction anticipated to commence Spring 2021 SENIORS’ RESIDENCES SMARTCENTRES REIT |
Slide 63: Mirabel | Existing
122 ACRES MIRABEL | EXISTING 410,500 SF RETAIL PHASE 1 & 2 • 410,500 SF Premium Outlets Montreal (Simon Properties JV) and 70-acres of adjacent vacant lands 63
Slide 64: Mirabel | Vision
MIRABEL | VISION FULL BUILD-OUT POTENTIAL: 4.5 MILLION SF RETAIL MIXED USE 8-10 STOREYS PHASE 2 MULTI-RESIDENTIAL RESIDENTIAL TOWER 4-8 STOREYS PHASE 1 RESIDENTIAL TOWER 167,500 SF • Zoning approved for 4,000 residential units • Phase 1: 8-storey 175-unit rental tower 64
Slide 65: Pointe-Claire | Existing
22 ACRES POINTE-CLAIRE | EXISTING 384,500 SF RETAIL • Anchors: Walmart and Home Depot • Location: Montreal’s West Island • Transit: New Light Rail Transit line to downtown REM FAIRVIEW POINT-CLAIRE STATION SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 65
Slide 66: Pointe-Claire | Vision
POINTE-CLAIRE | VISION FULL BUILD-OUT POTENTIAL: 2.5 MILLION SF • Zoning: Secured for multiple uses including residential, seniors housing and office on the perimeter of the property • Phase 1: 2 16-storey residential towers (300 units) REM FAIRVIEW POINT-CLAIRE STATION PHASE 1 2 TOWERS SMARTCENTRES
Slide 67: Financial Highlights
FINANCIAL HIGHLIGHTS
Slide 68: Total Returns to Unitholders
TOTAL RETURNS TO UNIT HOLDERS $1,200 12.7% AVERAGE ANNUAL RETURN SINCE IPO (as of February 9, 2021) $1,000 $888.70 $800 $600 $519.51 $478.52 $400 $200 $0 SmartCentres TSX Capped REIT TSX Composite SMARTCENTRES REIT | Q4 2020 INVESTOR PRESENTATION 68
Slide 69: Stable Cashflow
STABLE CASHFLOW 83.1% 81.8% 83.0% 87.5% 87.2% PAYOUT RATIO 2016 2017 2018 2019 2020 in thousands of dollars (except per Unit information) FFO per Unit(1) 2.17(3) 2.20 2.28 2.26(4) 2.20 ACFO per Unit(2) 2.00(3) 2.10 2.13 2.08(4) 2.11 Distributions per Unit 1.66 1.71 1.76 1.81 1.85 Surplus of ACFO ove
Slide 70: Total Assets Valued at $10.7B
TOTAL ASSETS VALUED AT $10.7B TOTAL ASSETS (in billions of $) 12.0 1.90 10.7 29.1% CAGR Annualized Distributions ($ per Unit) 9.9 1.80 10.0 since 2002 9.4 9.5 8.5 8.7 1.70 8.0 7.1 7.1 1.60 6.5 6.0 6.0 1.50 4.2 4.2 4.4 3.9 1.40 4.0 3.6 2.6 1.30 2.0 1.0 1.20 0.1 0.2 - 1.10 2002 2003 2004 2005 2006 200
Slide 71: Debt/Maturity/Leverage
DEBT/MATURITY/LEVERAGE DEBT MATURITY (in millions of $) 600 510 550 450 371 400 323 300 300 300 250 220 200 200 135 142 119 100 150 170 87 80 53 50 33 7 14 3 12 0 2021 2022* 2023 2024 2025 2026 2027 2028 2029 2030 BEYOND Secured Debt Unsecured Debentures Unsecured Bank Loans Equity Accounted Investm
Slide 72: Thank You
> THANKYOU
SmartCentres Real Estate Investment Trust — Q4 2020 Earnings Presentation on 6ix