Primaris Real Estate Investment Trust · TSX:PMZ.UN
Primaris Real Estate Investment Trust — Primaris Retail Real Estate Investment Trust — Investor Presentation (2006)
19 slides from Primaris Real Estate Investment Trust's investor presentation, 2006
Slide 1: Primaris Retail Real Estate Investment Trust
Ww Primaris Retail Real Estate Investment Trust
Slide 2: Forward Looking Statements
Forward Looking Statements ¾ This presentation contains forward-looking statements Actual results could differ materially from the conclusions contained in the forward-looking information Certain material factors or assumptions were applied in drawing the conclusions reflected in the forward-looking
Slide 3: Strategic Objectives
Strategic Objectives ¾ Generate stable and growing cash distributions ¾ Enhance asset value and maximize long-term unit value for investors ¾ Deliver a diversified, growing portfolio with increasing distributable income
Slide 4: Strategy
Strategy ¾ Disciplined and focused on Retail ¾ Why Retail? ¾ Stable real estate asset class ¾ Supports REIT structure well ¾ Benefits from inflation hedge of net lease structure
Slide 5: Strategy
Strategy ¾ Retail Asset Focus: ¾ Enclosed regional malls ¾ Community centres ¾ Power centres ¾ Grocery anchored strip centres
Slide 6: Property Diversification (at March 31, 2006)
Property Diversification (at March 31, 2006) March 2006 July 2003 Number of properties 16 6 Geographic diversification 6 provinces 3 provinces Total GLA 7.1 million sf 2.4 million sf Retail tenants 750 350
Slide 7: Leasing Activity (at March 31, 2006)
Leasing Activity (at March 31, 2006) TOTAL PORTFOLIO LEASE MATURITIES AND WEIGHTED AVERAGE BASE RENTS EXPIRING (For the Periods Ending December 31) 1,200,000 $35 Lease Maturities Rents Expiring 13.8% $30 1,000,000 WEIGHTED AVG MIN RENTS EXPIRING $25 800,000 10.1% SQ FT OF EXPIRY $20 7.8% 600,000 6.8
Slide 8: Leasing Activity (at March 31, 2006)
Leasing Activity (at March 31, 2006) ¾ 205,029 square feet of leases completed in Q1 ¾ 86 individual leases ¾ Renewals represent a 9.4% increase over previous cash rent paid ¾ Occupancy 94.8%
Slide 9: Tenant Diversification (at March 31, 2006)
Tenant Diversification (at March 31, 2006) % Total Tenant Annual Area Weighted Minimum Average Lease (sq.ft.) Rent Term to Maturity HBC 5.3 1,159,466 11.7 Sears 4.0 903,937 9.9 YM 2.5 98,784 3.7 Best Buy 2.4 165,071 2.3 Wal-Mart 2.1 564,791 5.7 Forzani 2.1 160,764 5.7 Reitmans 2.0 80,509 3.2 Comark
Slide 10: Sales Productivity and Net Operating Income
Sales Productivity and Net Operating Income ¾ Year-end 2005 sales productivity: $474 ¾ Year-over-year sales gain: 6% ¾ Sales productivity February 28, 2006: $479 ¾ Year-over-year sales gain: 6.4% ¾ Year-end 2005 same property net operating income increase: 4.6% ¾ Q1 2006 same property net operating
Slide 11: 2005 Acquisition Program
2005 Acquisition Program ¾ 2.6 million square feet ¾ $424 million in acquisitions ¾ 7 properties: ¾ Eglinton Square – Toronto ¾ Grant Park – Winnipeg ¾ Lambton Mall – Sarnia ¾ Northland Professional Centre – Calgary ¾ Place du Royaume – Saguenay ¾ Place Fleur de Lys – Quebec City ¾ Tillsonburg Gatew
Slide 12: Financial Performance (at March 31, 2006)
Financial Performance (at March 31, 2006) ¾ Debt limited to 60% of gross book value ¾ Current long term debt at 48% of gross book value ¾ Two types of debt: ¾ 100% of debt is at fixed rates, with a weighted average interest rate of 5.6% and an average term to maturity of 9.5 years (at May 1, 2006) ¾
Slide 13: Growth Capacity (at March 31, 2006)
Growth Capacity (at March 31, 2006) ¾ $300 million acquisition capacity ¾ $52 million cash ¾ $90 million operating line ¾ $64 million committed to development projects
Slide 14: Development: Stone Road Mall
Development: Stone Road Mall ¾ $30 million, two-phase development ¾ Income producing 2006, completed 2007 ¾ One-year return on investment of 7.4%
Slide 15: Development: Orchard Park
Development: Orchard Park ¾ $23 million development ¾ Income producing 2006, completed 2007 ¾ One-year return on investment of 8.4%
Slide 16: Development: Dufferin Mall
Development: Dufferin Mall ¾ $11 million development ¾ New H&M in 2006, completed 2007
Slide 17: Outlook
Outlook ¾ Canadian economy strong and capital markets supportive of REIT structure ¾ Demographic make-up of Canada supportive of REIT structure ¾ Consumer spending patterns positive ¾ Continued interest in retail investments in Canada
Slide 18: Outlook
Outlook ¾ Growth: ¾ Internally generated ¾ Asset development ¾ Acquisitions ¾ Results in: ¾ Diversification in multiple retail asset types ¾ Diversification in geographic base ¾ Diversification in tenant base
Slide 19: Slide 19
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