Nexliving Communities Inc · TSXV:NXLV
Nexliving Communities — Investor Presentation (February 2023)
20 slides from Nexliving Communities's investor presentation, February 2023
Slide 1: February 2023 Investor Presentation
February 2023 Investor Presentation
Slide 2: Disclaimer
Disclaimer Forward-Looking Information This presentation contains certain statements, which may constitute “forward looking information” under Canadian securities law requirements and “forward looking statements” under applicable securities laws (collectively, “forward-looking information”). Forward
Slide 3: NexLiving Communities At a Glance
NexLiving Communities At a Glance 1,166 98% +7.7% 7 Years Average Building Suites Occupancy SPNOI Age * As of February 28, 2023 * As of September 30, 2022 * YTD Q3 2022 * Excludes properties being repositioned $0.13 $0.23 5.46% Share Price NAV per Share Implied Cap Rate * As of February 28, 2023 * A
Slide 4: Corporate Overview
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Slide 5: Company Snapshot
Company Snapshot Description Annualized NOI and Margin NexLiving is focused on the acquisition and management of 6 ,5 0 0 6,025 65% multi-family rental properties in Atlantic Canada and Ontario: 5,425 5 ,5 0 0 4,577 • Targeting low and mid-rise properties, with close 4 ,5 0 0 4,251 3,777 60% proximi
Slide 6: Experienced Management Team and Board of Directors
Experienced Management Team and Board of Directors Management & Operating Team Board of Directors STAVRO STATHONIKOS, President & CEO RICHARD TURNER, Chairman • 15-year capital markets career with broad experience in the areas of • President and CEO of Titanstar Investment Group Inc. institutional e
Slide 7: Company Strategy
Company Strategy NexLiving
Slide 8: The Secondary Market Opportunity
The Secondary Market Opportunity § Rising home prices and ownership costs, especially in core markets, driving higher rental absorption across the country § Target markets experiencing significant rent growth as a results of out-migration from Strong Macro major cities Backdrop § Increased federal i
Slide 9: NexLiving Capitalizing on Opportunity
NexLiving Capitalizing on Opportunity Acquire Increase Balanced Focused on ROIC and Smart Asset Value Capital Structure Per Share Metrics § Acquire assets in secondary § Active property management § Laddered debt maturity profile § Growing NAV and FFO per markets with strong population share through
Slide 10: Strong Track Record of Creating Value per Share
Strong Track Record of Creating Value per Share Nex has consistently grown NAV per share … … and cash flow per share … $80 $0.23 $0.25 $0.22 0.52c 0.54c $70 0.33c 0.36c 0.31c $0.20 0.20c $60 $0.16 $ Millions $50 $0.15 $40 (0.22c) $0.10 $30 $0.10 $0.07 (0.71c) $20 $0.05 $10 (1.01c) Q3 Q4 Q1 Q2 Q3 Q4
Slide 11: Corporate Structure Allows Increased Flexibility
Corporate Structure Allows Increased Flexibility Capital Structure Strategy Dividend Payout Ratio (% of FFO) NexLiving’s structure as a corporation allows it to retain more 70% 63% 63% 64% internally generated earnings than a REIT structure. The 60% Peer Average = 56% 56% company’s lower risk capita
Slide 12: New Brunswick
New Brunswick NexLiving Nag
Slide 13: Population Growth
Population Growth Relevant News Articles New Brunswick Population Growth 2008-2022 NB sees record population growth, adding 25,000 people in past year. NB’s population stood at 820,786 as of October 1. 24,935 - CBC News, Dec 28, 2022 This population growth rate is the highest in the province since r
Slide 14: New Brunswick Economy
New Brunswick Economy Employment by Sector New Brunswick Employment Trends Construction 8% 375 Manufacturing 11. 0% 7% Other Services 32% 10.4% Other Goods- 10. 5% Producing 5% 370 10.0% 10. 0% Healthcare 365 16% 9.5 % 9.1% Education 8% Employment ('000s) 9.0 % 8.8% 360 Wholesale & Public Retail Tra
Slide 15: CMHC Housing Statistics
0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0% Moncton Edmonton 5.4% Halifax Saskatoon KW & Cambridge Regina TSXV: NXLV PEI Winnipeg Vacancy Rates Calgary Calgary London Oshawa 2.6% Oshawa Lethbridge 3.0%2.9% Vancouver Ottawa Edmonton Montréal Lethbridge Ca
Slide 16: Peak to Trough Home Prices
Peak to Trough Home Prices Rapid Declines in home prices that saw large increases ahead of rate hike TSXV: NXLV 16
Slide 17: Ontario
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Slide 18: Ontario Strategy Overview
Ontario Strategy Overview Secondary Markets Value-Add Strategy Before and After Pictures § Strategy to acquire midcap buildings in secondary markets that have a significant rental uplift opportunity. § Drive meaningful increase in property NOI by: • strategic capital spending • unlocking current vs.
Slide 19: Capital Structure Summary
a wey i 75/65 mjies| = \\e. = an iis es! cos —_ ae jg Oo me Capital Structure Summary NexLiving a
Slide 20: Balanced Capital Structure
Balanced Capital Structure Current Capitalization Debt Maturity Profile $35 4.28% 4. 75% 4. 25% $30 3.59% 3. 75% 3.14% $25 3. 25% $ Millions $20 2.27% 2.31% 2. 75% 2.05% 2. 25% $15 1. 75% $10 1. 25% 0. 75% $5 0. 25% $- - 0.25 % 2023 2024 2025 2026 2027 Thereafter Mo rtgage Debt WA IR Note: As of Sep
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