Northview Residential REIT · TSX:NRR.UN
Northview Residential REIT — Merger or Acquisition (July 2023)
20 slides from Northview Residential REIT's merger presentation, July 2023
Slide 1: Creation of Northview Residential REIT
Creation of Northview Residential REIT July 2023
Slide 2: Disclaimer
Disclaimer Certain information contained in this presentation constitutes forward-looking information within the meaning of applicable securities laws. Statements that reflect Northview Fund’s (“Northview” or the “Fund”) objectives, plans, goals, and strategies are subject to risks, uncertainties, a
Slide 3: Northview Fund's Recapitalization
Northview Fund’s Recapitalization Acquisition of three portfolios and transformation into Northview Residential REIT, a $2.7 billion, internally managed, national multi-family-focused REIT Northview Fund is currently a public, closed-end fund, which was formed in 2020; its portfolio consists of appr
Slide 4: Benefits of the Transaction
Benefits of the Transaction Strategic acquisitions to create a expanded national platform Portfolio diversification with significant scale Strategic and growing alignment from institutional sponsors Balance sheet and liquidity strengthening Expertise of an internal management team Enhanced access to
Slide 5: Proposed Recapitalization
Proposed Recapitalization Portfolio Acquisitions Internal & Experienced Management • Acquire three portfolios consisting of 3,301 • Internalize asset management activities multi-family suites for $742 million • Continuity of existing management team • Portfolio diversification and increased scale •
Slide 6: Operational Success
Operational Success Western Canada Performance 90.0% Northview continues to own and operate high quality assets in Occupancy (%) Canada which benefit from strong NOI growth and high 85.0% occupancy. 80.0% Since inception, Northview’s occupancy has increased by more than 500bps; Western Canada’s occu
Slide 7: Northview Residential REIT's National Platform
Northview Residential REIT’s National Platform The acquired portfolios will supplement Northview's historically strong operational performance through occupancy and NOI growth. The acquisitions will also provide future growth opportunities through access to new markets. Northview Residential REIT Su
Slide 8: Growth Opportunities Through These Acquisitions
Growth Opportunities Through These Acquisitions Expansion of National Footprint Organic Growth Opportunities • Over 3,300 residential suites acquired • Organic NOI growth to be achieved through across Western Canada, Ontario, rental rate growth and occupancy Québec, and Atlantic Canada improvements,
Slide 9: Vend-In Portfolio Overview: Alberta / Québec / Nova Scotia
Vend-In Portfolio Overview Portfolio 1 Overview: Alberta / Québec / Nova Scotia The Alberta / Québec / Nova Scotia portfolio, consisting of 2,088 residential suites and 7,148 commercial SF, will be purchased from Starlight Investments (“Starlight”), KingSett Capital, and a global institutional inves
Slide 10: Vend-In Portfolio Overview: Starlight Portfolio
Vend-In Portfolio Overview Portfolio 2 Overview: Starlight Portfolio The Starlight portfolio, consisting of 368 residential suites and 11,500 SF of commercial space, will be purchased from Starlight for approximately $110 million, including ~$50 million of units and ~$60 million of debt assumed. Res
Slide 11: Vend-In Portfolio Overview: Winnipeg Portfolio
Vend-In Portfolio Overview Portfolio 3 Overview: Winnipeg Portfolio The Winnipeg portfolio, consisting of 845 residential suites and 101,000 SF commercial space, will be purchased from two institutional investors for approximately $180 million, including ~$110 million of units and ~$70 million of de
Slide 12: Aligned Sponsors
Aligned Sponsors Pro Forma Ownership The REIT will continue to benefit from its strategic relationship with its sponsors and institutional investors: 16% 19% 14% 28% 22% • The vendors of the acquisition portfolios are receiving units (or redeemable units) in Northview valued at $15.06 (Northview’s Q
Slide 13: Balance Sheet Strengthening
Balance Sheet Strengthening The transaction will substantially strengthen Northview’s balance sheet and provide long-term financial stability, with the Debt to Gross Book Value (“GBV”) decreasing approximately 500 bps1. Northview will benefit from a higher percentage of fixed rate debt and a longer
Slide 14: Financial Impact Snapshot and Key Statistics
Financial Impact Snapshot and Key Statistics Ticker NRR.UN Enterprise Value1 $2.7 billion Market Capitalization1 $953 million FFO per Unit $1.16 Expected2 FFO Payout Ratio ~54% AFFO per Unit $0.94 AFFO Payout Ratio ~66% Distribution Yield1 4.15% Multi-Family Suites 14,422 Commercial Square Feet 1.25
Slide 15: Experienced Management Team With Proven Track Record
Experienced Management Team With Proven Track Record Todd Cook Sarah Walker Chief Executive Officer Chief Financial Officer • Former President and CEO of Northview Apartment REIT • Ms. Walker was appointed Chief Financial Officer of Northview Fund • In 2015, Mr. Cook led Northern Property REIT's str
Slide 16: Strong Board of Trustees
Strong Board of Trustees Principal Occupation Daniel Drimmer1 Founder and CEO of Starlight Investments Chairman Todd Cook1 Chief Executive Officer of Northview Residential Trustee REIT Lawrence Wilder Lead Trustee, Member of the Audit Partner, Miller Thomson LLP Committee, Chair of the Governance an
Slide 17: Forming a National Multi-family REIT with the Benefits of Scale
Forming a National Multi-family REIT with the Benefits of Scale Northview Residential REIT Strategic acquisitions to create a national platform Portfolio diversification with significant scale Strategic and growing alignment from institutional sponsors Balance sheet strengthening and competiti
Slide 18: Timelines
Timelines Record Date June 30 Mailout of Meeting Materials July 14 to Unitholders Special Meeting of August 4 Unitholders and AGM Close of Transaction Mid-August 26 Hargrave Street, Winnipeg, Manitoba 17
Slide 19: Contact Information
Contact Information Cedar Manor, Lloydminster, Alberta Todd Cook Sarah Walker Chief Executive Officer Chief Financial Officer (403) 531-0720 (403) 531-0720 tcook@northviewfund.com swalker@northviewfund.com 18
Slide 20: Northview
Northview A
Northview Residential REIT — Merger or Acquisition (July 2023) on 6ix