Crombie Real Estate Investment Trust · TSX:CRR.UN
Crombie Real Estate Investment Trust — Q1 2025 Earnings Presentation
32 slides from Crombie Real Estate Investment Trust's earnings presentation, May 8, 2025
Slide 1: Crombie REIT Investor Presentation
THE ESSENTIAL REIT Crombie REIT Investor Presentation Q1 2025 COPYRIGHT © CROMBIE REIT OR ITS LICENSORS. ALL RIGHTS RESERVED 2025
Slide 2: Cautionary Statements
Cautionary Statements Forward-looking Information Readers are cautioned that such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from these statements. Crombie can give no assurance that actual results will be consistent
Slide 3: Connecting Communities Across Canada
Connecting Communities Across Canada 13 70 45 43 NFLD 66 AB+SK 17 49 Coast-to-coast presence spanning urban hubs to the BC QC centre of vibrant communities & towns MB NB+NS+PEI ON COPYRIGHT © CROMBIE REIT OR ITS LICENSORS. ALL RIGHTS RESERVED 2025 3
Slide 4: Focused on Grocery-Anchored, Necessity-Based Retail
Focused on Grocery-Anchored, Necessity-Based Retail TOTAL GROCERY-ANCHORED AND NECESSITY-BASED RETAIL1 82% 1. Necessity-based retailers include tenants that provide essential products and services, and predominantly fall into the following categories: grocery, pharmacy, liquor, dollar store, cannabi
Slide 5: Purpose-Driven, Results-Oriented
Purpose-Driven, Results-Oriented SCALE 303 $5.9B 18.8M properties1 fair value2,3 sq. ft. of GLA2 STABILITY 97.1% 82.0% 8.4 year committed occupancy of annual minimum rent (“AMR”) generated weighted average lease term from grocery-anchored properties inclusive (“WALT”) of retail-related industrial OP
Slide 6: Strategic Pillars Ensure Stability & Growth
Strategic Pillars Ensure Stability & Growth Building Together VALUE CREATION tidy Own & Operate Optimize Partner SOLID FOUNDATION Financial Strength ESG People & Culture Enriching communities by building spaces and value today that leave a positive impact on tomorrow COPYRIGHT © CROMBIE REIT OR ITS
Slide 7: Own & Operate
Own & Operate BUILT TO PERFORM COPYRIGHT © CROMBIE REIT OR ITS LICENSORS. ALL RIGHTS RESERVED 2025 7
Slide 8: Grocery-Anchored Retail Portfolio with Strategic Complementary Assets
Grocery-Anchored Retail Portfolio with Strategic Complementary Assets Three of the Most Desirable Asset Classes in Canadian Real Estate1 Retail Retail-Related Industrial Mixed-Use Residential $4.4B 14.8M $0.6B 2.5M $0.5B 0.6M FAIR VALUE SQ. FT. FAIR VALUE SQ. FT. FAIR VALUE SQ. FT. 1. Crombie’s port
Slide 9: Coast-to-Coast Platform
Coast-to-Coast Platform BY GEOGRAPHY BY MARKET TYPE total 18.8M2 sq. ft Gross Leasable Area West 6.6m sq. ft.3 VECTOM1 6.6m sq. ft.3 Central 5.3m sq. ft.3 Major Markets2 4.8m sq. ft.3 Atlantic 6.9 m sq. ft.3 Rest of Canada 7.4m sq. ft.3 1. Vancouver, Edmonton, Calgary, Toronto, Ottawa-Gatineau, Mont
Slide 10: Optimal Mix of Lease Terms
Optimal Mix of Lease Terms 31.2% of leases mature weighted average over the next five years Other lease term 8.4 years Empire % of total portfolio Empire: 10.6 years Non-Empire: 4.3 years 1400 10 1200 5.5% 7.7% 8 7.0% % of total portfolio sq. ft in thousands 1000 6 of portfolio GLA 800 5.5% 5.6% 5.4
Slide 11: Essential Portfolio Drives Stability & Growth
Essential Portfolio Drives Stability & Growth COMMITTED OCCUPANCY ANNUAL SAME-ASSET PROPERTY CASH LAST 3 YEARS NOI GROWTH (“SANOI”)1 LAST 3 YEARS 96.1% 97.1% 2.5% 3.2% Low High Average Q1 2025 ANNUAL MINIMUM RENT GROWTH 2022 $17.07 Property Revenue Q1 2025 2023 $17.58 +3.5% 2024 $18.27 Q1 ‘25 $18.48
Slide 12: Optimize
Optimize POSITIONED TO LEAD COPYRIGHT © CROMBIE REIT OR ITS LICENSORS. ALL RIGHTS RESERVED 2025 12
Slide 13: Four Key Levers for Flexibility in Both Non-Major and Major Developments
Four Key Levers for Flexibility in Both Non-Major and Major Developments NON-MAJOR MAJOR Projects less than $50M Projects greater than $50M MODERNIZE INTENSIFY ENTITLE DEVELOP • Capital investments in • Adding GLA and/or • Advancing key sites through • Large-scale, transformative existing grocery-an
Slide 14: Consistent Value Creation Through Non-Major Developments
Consistent Value Creation Through Non-Major Developments Shorter Duration, Reduced Risk NON-MAJOR DEVELOPMENTS ESTIMATED GLA PROJECT ESTIMATED ESTIMATED COST Type ON COUNT TOTAL COST TO COMPLETE1 COMPLETION Land-use intensification, 2 54,000 $28.6M $13.0M redevelopment, and other Modernizations1 1 -
Slide 15: Our Major Development Pipeline Drives Long-Term Value Creation
Our Major Development Pipeline Drives Long-Term Value Creation POTENTIAL TO ADD… 10.6m sq. ft. 10,700 residential units BC NL 1 1 AB SK MB 15% 1 10 4 Pipeline properties with zoning approval1 Vancouver ON QB NB 4 NS Potential to add ~4,500 Calgary & Halifax residential units Edmonton Potential to ad
Slide 16: Partner
Partner LEVERAGING AND UNLOCKING VALUE THROUGH OUR STRATEGIC PARTNERSHIPS COPYRIGHT © CROMBIE REIT OR ITS LICENSORS. ALL RIGHTS RESERVED 2025 16
Slide 17: Strategic Alignment with Empire
Strategic Alignment with Empire EMPIRE REPRESENTS 11.3M 1 59.4% 1 10.6 year 1 90% sq. ft. of occupied of AMR generated weighted average remaining of retail properties portfolio GLA by Empire Empire lease term anchored by Empire CAPITALIZING ON STRATEGIC ALIGNMENT ACQUISITIONS LAND-USE MODERNIZATIONS
Slide 18: Partnering Beyond Empire
Partnering Beyond Empire SPECIALIZED EXPERTISE, CAPITAL, AND INSIGHTS TO SUPPORT THE OPTIMIZATION OF OUR ASSETS PARTNERSHIPS TO SUPPORT… REDUCE CAPITAL UNLOCK INCOME GAIN LOCAL KNOWLEDGE ACCELERATE VALUE REQUIREMENTS AND RESOURCES CREATION COPYRIGHT © CROMBIE REIT OR ITS LICENSORS. ALL RIGHTS RESERV
Slide 19: Partnering for Responsible Growth
Partnering for Responsible Growth P R O P E R T I E S – H A L I F A X S T R A T E G I C B E N E F I T S MONTEZ CORPORATION THE MARLSTONE • Stable management Halifax, N.S. Completion expected H1 2026 and development fee income BARRINGTON STREET Entitlement BRUNSWICK PLACE • Accelerated Entitlement en
Slide 20: Solid Foundation
Solid Foundation FINANCIAL STRENGTH, ESG LEADERSHIP, PEOPLE AND CULTURE. COPYRIGHT © CROMBIE REIT OR ITS LICENSORS. ALL RIGHTS RESERVED 2025 20
Slide 21: Well-Positioned Defensive Portfolio with Long-Term Earnings and Cash Flow Stability
Well-Positioned Defensive Portfolio with Long–Term Earnings and Cash Flow Stability CAPITAL STRUCTURE AS AT MARCH 31, 2025 $3.7B Fair Value of Unencumbered Assets 52.1% 50.7% 48.9% 45.7% 45.6% $696M 45.3% 44.6% 45.2% 43.6% 43.0% 43.6% 41.8% 43.3% 19.1% Available Liquidity 2,3 3.22X Interest Coverage
Slide 22: Financial Strength and Flexibility
Financial Strength and Flexibility YEAR TO DATE Q1’25 2024 2023 2022 2021 2020 Available Liquidity1 (millions) $696 $682 $584 $583 $508 $472 Unencumbered Assets (billions) $3.7 $3.7 $2.6 $2.2 $1.8 $1.4 Interest Coverage Ratio2,3,6 3.22x 3.33x 3.16x 3.28x 3.01x 2.77x WATM4 (years) 4.8 5.1 4.9 4.7 5.1
Slide 23: Prudent Financial Position
Prudent Financial Position SOURCES AND USES OF CAPITAL Multiple Sources of Capital Capital Deployment Capital Markets Dispositions Free Cash Flow Empire Developments Debt Full or partial interest Acquisitions Major • Unsecured notes Raw land sale Modernizations Non-major • Mortgages Sale of the prop
Slide 24: Q1 2025 Highlights
Q1 2025 Highlights Available liquidity – Property revenue FFO per unit1,2 AFFO per unit1,2 unutilized credit facilities3 $122,735 $0.30 $0.27 $695,843 Q1 2024 $118,609 +3.5% Q1 2024 $0.30 -% Q1 2024 $0.26 +3.8% Q1 2024 $736,990 -5.6% Same-asset property cash NOI 1,2 FFO payout ratio1 AFFO payout rat
Slide 25: ESG: Essential to Building a Sustainable Tomorrow
ESG: Essential to Building a Sustainable Tomorrow ENVIRONMENTAL SOCIAL GOVERNANCE Community Impact Strategy 2024 ACCOMPLISHMENTS NEAR-TERM focuses on three key pillars: Reduction in Scope 1 50% Added one new diverse Trustee and 2 GHG1 emissions by 2030 from 2019 base year2 FINANCIAL SUPPORT Refreshe
Slide 26: People & Culture
People & Culture Empowering Talent, Building Together, & Delivering Impact Mentorship opportunities Leadership training Continuing education Prioritize diversity, equity, and inclusion Flexible work policies emphasis on well-being A workplace where collaboration, innovation, and accountability thriv
Slide 27: Purpose-Driven, Results-Oriented
Purpose-Driven, Results-Oriented ENVIRONMENTAL 2025 RECOGNITION Climate Leasing & Design & ATLANTIC CANADA’S Action Operations Development TOP EMPLOYERS SOCIAL NOVA SCOTIA’S TOP EMPLOYERS Diversity, Equity Building & Health, Safety & Inclusion Attracting Talent & Well-being CANADA’S GREENEST EMPLOYE
Slide 28: Appendix
Appendix COPYRIGHT © CROMBIE REIT OR ITS LICENSORS. ALL RIGHTS RESERVED 2025 28
Slide 29: Calculation of Non-GAAP Measures
Calculation of Non-GAAP Measures1 Debt to Trailing 12 Months Adjusted EBITDA Q1’25 2024 2023 2022 20212,3 20202,3 Debt $2,625,996 $2,614,825 $2,468,755 $2,359,458 $2,517,392 $2,649,583 Adjusted EBITDA 330,133 328,558 307,356 294,259 280,057 256,689 Debt to Trailing 12 Months Adjusted EBITDA 7.95x 7.
Slide 30: Calculation of Non-GAAP Measures
Calculation of Non-GAAP Measures1 Interest Coverage Ratio Q1’25 2024 2023 2022 20212 20202 Adjusted EBITDA $81,257 $328,558 $307,356 $294,259 $280,057 $256,689 Adjusted Interest Expense 25,258 98,707 97,243 89,787 89,721 88,292 Interest Coverage Ratio 3.22x 3.33x 3.16x 3.28x 3.01x 2.89x 1. Non-GAAP
Slide 31: Calculation of Non-GAAP Measures
Calculation of Non-GAAP Measures1 FFO and AFFO Three Months Ended Mar 31 Year Ended Dec 31 2025 2024 2024 2023 FFO $55,557 $54,868 $227,049 $210,003 Units Outstanding 184,364 181,450 182,567 179,684 Per Unit $0.30 $0.30 $1.24 $1.17 Payout Ratio 73.9% 73.6% 71.6% 76.2% Three Months Ended Mar 31 Year
Slide 32: Crombie REIT Investor Presentation
THE ESSENTIAL REIT Crombie REIT Investor Presentation Q1 2025 COPYRIGHT © CROMBIE REIT OR ITS LICENSORS. ALL RIGHTS RESERVED 2025
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