Smartcentres Real Estate Investment Trust · TSX:SRU.UN
Smartcentres Real Estate Investment Trust — Q2 2026 Earnings Presentation
46 slides from Smartcentres Real Estate Investment Trust's earnings presentation, Sep 1, 2026
Slide 1: 2026 Second Quarter Investor Presentation
2026 Second Quarter Investor Presentation
Slide 2: Forward Looking Statements and Non-GAAP Measures
Forward Looking Non-GAAP Statements Measures Certain statements in this document are "forward - looking statements" that constitute forward - looking information (within The non - GAAP measures and ratios the meaning of Canadian securities laws) and that reflect management's expectations regarding t
Slide 3: Q2 Highlights
Q2 Highlights Strong Rental Growth Extended ~86.0% of all leases maturing in 2026, with strong rental growth SmartCentres continued its of 12.0% (excluding Anchors) and 6.6% (including Anchors) strong financial and operational performance with increased demand for retail space. Anchor-driven Retail
Slide 4: Q2 Financial Highlights
Q2 Financial Highlights Q2 2026 Q1 2026 Q2 2025 In - place and Committed 97.6% 98.6% 98.1% Occupancy Rate +0.5% -0.5% Renewed Rent Change (incl. Anchors) 6.6% 5.8% 6.1% +0.8% +0.5% Same Property NOI Growth (YoY Change) 2.6% 1.4% 4.8% +1.2% -2.2% FFO / unit (diluted) $0.58 $0.54 $0.58 +$0.04 - AFFO /
Slide 5: Table of Contents
Table of Contents 01 About SmartCentres 02 Leading Development Pipeline 03 Environmental, Social & Governance 04 Financial Flexibility and Strength SMARTCENTRES REIT | 2026 Q2 INVESTOR PRESENTATION 4
Slide 6: About SmartCentres
01 About SmartCentres
Slide 7: SmartCentres at a Glance
ABOUT SMARTCENTRES KEY OPERATIONAL AND FINANCIAL STATISTICS SmartCentres at a Glance 201 Properties at Key Intersections Across Canada SmartCentres’ portfolio includes an ownership interest in properties comprising retail shopping centres , mixed - use properties, and development lands. 10kms of 90%
Slide 8: Our Recession Resistant Foundation is Supported by Three Key Pillars
ABOUT SMARTCENTRES Our Recession Resistant Foundation is Supported by Three Key Pillars A portfolio built for sustainable growth through market cycles Resilient Walmart and Grocery - Growing Retail Base and Income Unparalleled Strategically Located anchored Shopping Centers from Mixed - use Portfoli
Slide 9: Evolution of SmartCentres into a Leading Player
ABOUT SMARTCENTRES Evolution of SmartCentres into a Leading Player CALLOWAY SMARTCENTRES BEGINS SMARTCENTRES SMARTCENTRES CONTINUES REIT AND FORMING DIVERSIFIED JV ACQUIRES $513M TO DEVELOP SMARTCENTRES PARTNERSHIPS SMARTVMC WEST MERGE LANDS Vaughan NW Townhomes WALMART JOINT Development platform Ar
Slide 10: Stable Tenants and Cashflows
ABOUT SMARTCENTRES TOP 10 TENANTS BY REVENUE 1 Stable Tenants 23.1 % 4.4 % and Cashflows 4.4 % 2.8 % 99+% rental receipts 2.2 % 2.1 % 95+% of tenants are national or regional 1.7 % 1.6 % 45+% of rental income from top 10 tenants 1.5 % 1.4 % 80+% of tenants provide consumers with essential services 1
Slide 11: Majority Walmart Anchored with Diversified Tenant Base
ABOUT SMARTCENTRES Majority Walmart Anchored with Diversified Tenant Base NECESSITY - BASED PORTFOLIO 1 CENTRE PROFILE 2 Greater - VECTOM: 80+% Necessity - based Portfolio BY 71.8 % Primary: REVENUE 16.5 % 114 shopping centres Secondary: anchored by Walmart 3 11.7 % Strong revenue supports stable di
Slide 12: Leading Tenants Announcing Expansion Plans
ABOUT SMARTCENTRES Leading Tenants Announcing Expansion Plans SmartCentres leasing pipeline includes 40+ food stores, including Walmart Supercentres Future Growth Plans 75 New Stores in 2026 $10 Billion by 2030 70 New Stores by 2029 20 Stores in Fiscal 2027 200 Stores by 2034 $6.5 Billion by 2030 12
Slide 13: Upcoming Maturities Provide Upside
ABOUT SMARTCENTRES Upcoming Maturities Walmart Other Anchors 42% Provide Upside Non -Anchor 43% NEXT 10.0 5 YEARS MATURITY 24% 8.0 1 18% In Millions of Square Feet 6.0 15% 14% 14% 14% 12% Average Expiring Rent 4.0 3 $24.62 per sq. ft. 2.0 Average Market Rent – H2 2025 $44.50 per sq. ft. 4 2% 3% 3 Av
Slide 14: Exceptional Management Team with Significant Experience and Alignment
ABOUT SMARTCENTRES Exceptional Management Rudy Gobin Chief Portfolio and Team with Significant Experience Asset Management Officer Alignment and Peter Slan Chief Financial Officer Accomplishments ✓ Largest unitholder with 20+% equity Allan Scully interest Executive Vice President, Development ✓ Over
Slide 15: Leading Development Pipeline
02 Leading Development Pipeline
Slide 16: We Are Experienced Developers with Multiple Avenues for Future Growth
LEADING DEVELOPMENT PIPELINE We Are Experienced Developers with Multiple Avenues for Future Growth Strong Relationships Significant Landbank 30+ Years of Experience DEVELOPMENT Long - term relationships with leading 100+ person development team; 86% of Less than 25% land utilized, creating PLATFORM
Slide 17: Commercial Supply has Not Kept Pace with Population
LEADING DEVELOPMENT PIPELINE Commercial Supply has Not Kept Pace with Population Over the Past Decade 15% -9% +6M -53% Retail Square New Residents Below 2016 Levels Feet per Capita Construction 6% Added across Starts trending Canada Lower Retail Inventory Growth Population Growth The Opportunity A d
Slide 18: Retail Is What We Do. Now We're Building a Lot More of It.
LEADING DEVELOPMENT PIPELINE Retail Is What We Do. Now We're Building a Lot More of It. We Own the Locations We Know How to Build We Attract the Best Tenants 201 PROPERTIES 86% OF OUR CENTRES WERE BUILT BY US 30+ YEAR WALMART RELATIONSHIP Recent Retail Projects / Expansions ▪ Robust retail developme
Slide 19: Greenfield Sites Acquired For Full Shopping Centres Development
LEADING DEVELOPMENT PIPELINE Greenfield Sites Acquired For Full Shopping Centres Development Kingston, Ontario Lindsay, Ontario Winnipeg, Manitoba 194K 1 27K 0 952K 8 MARKET POPULATION EXISTING LOCATION MARKET POPULATION EXISTING LOCATIONS MARKET POPULATION EXISTING LOCATIONS 19.6 198K 16.2 205K 16.
Slide 20: Incomparable Capacity for Growth
LEADING DEVELOPMENT PIPELINE Incomparable Capacity for Growth Future Mixed - use Development 1 Development as % of Total Assets 2,3 Pipeline consists principally of residential projects but also includes self -storage, office and industrial projects as part of the portfolio’s expected future buildou
Slide 21: Building Holistic Communities
LEADING DEVELOPMENT PIPELINE Building Holistic Communities Public Spaces Parks Transit Arts & Squares & Trails Connectivity & Culture Enhanced urban Pedestrian - focused Prime transit - connected Creativity and diversity are programming with public greenspace connects locations with convenient lever
Slide 22: Development Initiatives Under Construction
LEADING DEVELOPMENT PIPELINE Development Initiatives IN MILLIONS OF DOLLARS Under Construction Total Capital Spend to Date at 100% 2 $530 Actual / Projects Under No. of REIT’s Estimated Initial % of GFA 1 Construction Type Residential $520 Share (%) Occupancy / Completion (sq. ft.) Estimated Cost to
Slide 23: Creating Value and Diversifying by Partnering with Leading Players
LEADING DEVELOPMENT PIPELINE Creating Value and Diversifying by Partnering with Leading Players Retail Continuing construction on 200,000 sq. ft. Canadian Tire in Leaside New 65 - unit rental began construction Apartments at ArtWalk, Vaughan Metropolitan Centre Formwork reached the 9 th floor for th
Slide 24: Laird Project
RETAIL Laird Project ▪ 50/50 joint venture with Penguin ▪ 200,000 sq. ft. flagship Canadian Tire store − 20 - year lease ▪ 25,000 sq. ft. of additional CRU space ▪ Canadian Tire expected to take possession in Q4’26 and open in Q2’27 225,000 Sq. ft. Retail Project SMARTCENTRES REIT | 2026 Q2 INVESTOR
Slide 25: Toronto Premium Outlets Retail Expansion
RETAIL Toronto Premium Outlets Retail Expansion ▪ 50% / 50% joint venture with Simon Properties ▪ Current GLA of 505,000 square feet ▪ New expansion plans include: − Retail expansion to the north, construction of four additional blocks ▪ ~50% pre - leased − Second parking structure (~580 new parking
Slide 26: SmartStop JV
SELF - STORAGE SmartStop JV OPEN Under Construction Storage Units: 25,000 2.2 Million sq. ft. of GFA 0.4 Million sq. ft. of GFA Toronto (Dupont), ON Oct’19 Victoria, BC Toronto (Leaside), ON Jun’20 Burnaby, BC Brampton ( Bramport ), ON Nov’20 Edmonton (Allard), AB Vaughan NW, ON Jan’21 Oshawa South,
Slide 27: SMARTCENTRES REIT | 2026 Q2 INVESTOR PRESENTATION
SMARTCENTRES REIT | 2026 Q2 INVESTOR PRESENTATION 26
Slide 28: SmartVMC
CURRENT 400 PORTAGE PKWY HWY 7 407 LEADING DEVELOPMENT PIPELINE SmartVMC TRANSIT HUB ON SITE • TTC subway station WALMART • 140,000 sq. ft. YMCA Opened on - site, The New City Centre • Relocated and opened April 2022 • Regional bus terminal +100 Acre Land October 2020, freeing up • VIVA rapid transi
Slide 29: SmartVMC Vision
VISION SMARTVMC WEST SMARTVMC EAST 400 HWY 7 SMARTVMC WEST LAND 407 ACQUIRED DEC 2021 LEADING DEVELOPMENT PIPELINE FULL SMARTVMC BUILD - OUT CAPABILITY: SmartVMC 15 million sq. ft. of residential space, 3 million sq. ft. of office space and 2 million sq. ft. of retail space +20,000,000 sq. ft. on Co
Slide 30: ArtWalk
PHASE 1 CONDOS PHASE I: 0.5 Million sq. ft. / 600 Residential Units FULL ARTWALK BUILD - OUT: ArtWalk ▪ ▪ 50% Joint Venture with Penguin 3 mixed - use towers ▪ ▪ 12 acres 12 buildings − 35 - storey condo tower (under construction) ▪ +4 Million sq. ft. 93% − 18- storey condo / rental tower − 6 - stor
Slide 31: Environmental, Social and Governance
03 Environmental, Social and Governance
Slide 32: ESG Highlights
ENVIRONMENTAL, SOCIAL AND GOVERNANCE ESG Highlights ESG and sustainability considerations are woven into the fabric of SmartCentres 55% of retail tenant portfolio committed to net zero by 2050 or sooner 302 Electric vehicle charging stations across the portfolio 1,340 Volunteer hours donated to loca
Slide 33: Annual Highlights of ESG Strategy
ENVIRONMENTAL, SOCIAL AND GOVERNANCE Annual Highlights of ESG Strategy IMPLEMENTATION ROADMAP Year 1: 2024 Year 2: 2025 Year 3: 2026 ✓ Developed Net Zero Framework in ✓ Refined Net Zero Framework to quantify ✓ Action capital investment to support alignment with science - based resources and capital
Slide 34: Governance
ENVIRONMENTAL, SOCIAL AND GOVERNANCE Governance RECENT GOVERNANCE ENHANCEMENTS SMARTCENTRES ACTION Voting Top-up Rights Expired and not reinstated Corporate Governance and Compensation Committee Independence on Committees became fully independent Formation of Independent Formed a standing Independen
Slide 35: Financial Flexibility and Strength
04 Financial Flexibility and Strength
Slide 36: Total Returns in Excess of Benchmarks
FINANCIAL FLEXIBILITY AND STRENGTH SmartCentres Total Returns in Excess of Benchmarks TSX Capped REIT TSX Composite Value of $100 (Assumes Reinvested Distributions) 1 12.4% $1,600 Average Annual $ 1,6 19 Return Since IPO 1 $1,200 $1,095 $800 $717 $400 - 2002 2004 2006 2007 2009 2011 2012 2014 2016 2
Slide 37: Stable Cash Distributions
FINANCIAL FLEXIBILITY AND STRENGTH SmartCentres First Capital Stable Cash Distributions Choice 2 RioCan Crombie Growth in Regular Distributions (12 Month Rolling) 1 PREDICTABLE AND STABLE distributions backed by robust cashflows 25% and strong balance sheet + 20 % +20 % +9 % RESILIENT AMID MARKET +1
Slide 38: Net Asset Value and Implied Upside
FINANCIAL FLEXIBILITY AND STRENGTH Net Asset Value and Implied Upside $ Value Total (in $CM) $ Value per Unit $ 488 $ 737 $2.68 $1,570 $4.04 $ 8.60 $9,267 $ 50.76 +21.9% Upside $6,408 $35.10 $5,394 ($5,654) $28.80 ($30.97) Ex - PUD $26.33 Investment Properties Under Equity Accounted Other Liabilitie
Slide 39: Balanced Capital Structure
FINANCIAL FLEXIBILITY AND STRENGTH Balanced Capital Structure ENTERPRISE VALUE 1 DEBT METRICS Debt metrics based on total debt including equity accounted investments $11.5B Interest Coverage DBRS Credit Rating $0.5B SECURED DEBT 2.5x BBB Stable W.A. Rate: W.A. Maturity Adj. Debt to Adj. EBITDA 4.55
Slide 40: Significant Unencumbered Asset Base
FINANCIAL FLEXIBILITY AND STRENGTH Total Assets Significant Unencumbered Asset Base Unencumbered Assets Annualized Distributions Total Assets and Unencumbered Assets 1 (In Billions of $) 21.6% CAGR2 1.90 since IPO 12.1 12.1 11.7 11.9 11.9 1.80 11.3 10.7 10.0 10.1 9.9 9.5 1.70 ANNUALIZED DISTRIBUTION
Slide 41: Conservative Debt Maturity Profile
FINANCIAL FLEXIBILITY AND STRENGTH % of Total Debt Conservative Debt Unsecured Credit Facilities and Other Debt Maturity Profile Unsecured Debentures Secured Debt $1,500 22% 20% $1,000 17% 1,2,3 $603 $324 In Millions 14% $150 10% $650 $500 7% $230 $700 6% $550 $600 $300 $250 $250 $285 2% $66 $76 $32
Slide 42: Appendix
Appendix
Slide 43: Oakville N
Oakville N OAKVILLE, ON Offering unmatched convenience and a diverse shopping experience in one of Oakville’s most sought - after locations. SmartCentres Oakville North is a premier 460,000 sq. ft. retail destination, strategically anchored by Walmart and Loblaws, and featuring over 40 popular retai
Slide 44: Leaside
Leaside TORONTO, ON A premier retail destination featuring high - traffic retailers such as Farm Boy, Winners, LCBO, Best Buy and Home Depot. The Centre also includes a self - storage development completed in 2020, and a 225,000 sq. ft. expansion anchored by Canadian Tire which is currently under co
Slide 45: SmartVMC
SmartVMC VAUGHAN, ON SmartCentres’ Flagship Mixed - Use development, an emerging world - class 100+ acre City Centre in the Vaughan Metropolitan Centre (VMC). Seamlessly connected to downtown Toronto via the onsite TTC University subway line, this master - planned community is set to become Vaughan’
Slide 46: Thank You
Thank You For more information, please contact: Investor Relations T 905 326 6400 https://smartcentres.com/investing/ investorrelations@smartcentres.com
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