Merger Between Edgefront REIT and Nobel REITApril-2017).pdf · NEXUS INVESTOR PRESENTATION | APRIL...

BUILDING THE FOUNDATION FOR

THE NEXT CANADIAN “BLUE CHIP” REIT

INVESTOR PRESENTATION

April 2017 NEXUS REAL ESTATE INVESTMENT TRUST

2 INVESTOR PRESENTATION | APRIL 2017 NEXUS

This presentation is confidential and is being supplied to you solely for your information and may not be reproduced or distributed to any other person or published, in whole or in part, for any purpose. No reliance may be placed for any purpose whatsoever on the information contained in this presentation or the completeness or accuracy of such information. No representation or warranty, express or implied, is given by or on behalf of Nexus REIT (the “REIT”), or its unitholders, trustees, officers or employees or any other person as to the accuracy or completeness of the information or opinions contained in this presentation, and no liability is accepted for any such information or opinions.

This presentation contains forward-looking statements which reflect the REIT’s current expectations and projections about future results. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “estimates”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the REIT to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this presentation. Such forward-looking statements are based on a number of assumptions that may prove to be incorrect, including, but not limited to: the ability of the REIT to obtain necessary financing or to be able to implement its business strategies; satisfy the requirements of the TSX Venture Exchange with respect to the plan of arrangement; obtain unitholder approval with respect to the plan of arrangement; the level of activity in the retail, office and industrial commercial real estate markets in Canada, the real estate industry generally (including property ownership and tenant risks, liquidity of real estate investments, competition, government regulation, environmental matters, and fixed costs, recent market volatility and increased expenses) and the economy generally. While the REIT anticipates that subsequent events and developments may cause its views to change, the REIT specifically disclaims any obligation to update these forward-looking statements. These forward-looking statements should not be relied upon as representing the REIT’s views as of any date subsequent to the date of this presentation. Although the REIT has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forwardlooking statements. The factors identified above are not intended to represent a complete list of the factors that could affect the REIT.

This presentation includes industry data and forecasts obtained from independent industry publications, market research and analyst reports, surveys and other publicly available sources and in certain cases, information is based on the REIT’s own analysis and information or its analysis of third-party information. Although the REIT believes these sources to be generally reliable, market and industry data is subject to interpretation and cannot be verified with complete certainty due to limits on the availability and reliability of raw data, the voluntary nature of the data gathering process and other limitations and uncertainties inherent in any statistical survey. Accordingly, the accuracy and completeness of this data is not guaranteed. The REIT has not independently verified any of the data from third party sources referred to in this presentation nor ascertained the underlying assumptions relied upon by such sources.

All figures in C$ unless otherwise noted.

Safe Harbour


• Diversified sector exposure and introduction into new geographic markets

• Immediate synergies driven by internalization of experienced management team

• Combined portfolio possesses the ability to deliver solid AFFO/unit growth

• Robust pipeline of high quality acquisition assets sourced through strategic partner

Overview of Nexus

• Single tenant, industrial focused REIT with 20 properties located

throughout Canada

• Portfolio consists of 100% occupied industrial real estate assets

that are care free with contractual rent increases

• Supported by TriWest Capital Partners, one of Canada’s leading

private equity firms with ~$1.3 billion in AUM

• Growth oriented REIT with 16 commercial properties, 15 of which

are located in the Greater Montreal Area and one in Ottawa-

Gatineau

• Primary market focus is unique among junior REITs

• Strategic relationship with RFA Capital Partners, a real estate

private equity firm which has invested in over $15 billion of

commercial mortgages and real estate since 1996

On February 14, 2017, Edgefront and Nobel announced a merger to create Nexus REIT

(“Nexus” ; TSXV:NXR.UN) - a stronger and more diversified REIT

The transaction closed on April 3, 2017 with both Edgefront and Nobel unitholders voting

overwhelmingly in favour of the transaction

Nobel Real Estate Investment Trust (“Nobel”) Edgefront Real Estate Investment Trust (“Edgefront”)


Building the Foundation for the Next Canadian “Blue Chip” REIT

• Combined entity has been renamed Nexus REIT (TSXV:NXR.UN)

• Larger combined scale better positions Nexus for the capital markets with potential for

increased analyst coverage, trading liquidity and broader retail / institutional investor support

• Graduation to TSX (main board) anticipated in 2017

Well Positioned For

Capital Market

Opportunities

• Access to a robust acquisition pipeline from RFA Capital and TriWest Capital Partners

• Potential for lower cost of capital via increased access to debt and equity financing

• Greater financing flexibility could provide for more opportunities to pursue growth pipeline

Greater Access to

Financing and

Acquisition Pipelines

• Pro forma combined NOI of $21.5(1) million

• 36 properties, with GLA of ~2.1M sq. ft.(2) located across Canada (6 provinces and 1 territory)

• Greater geographic and sector diversification

Enhanced Scale &

Attractive Portfolio

Characteristics

• Internalization and full integration of a highly experienced management team

• Synergies realized from the elimination of external asset and property management, as well

as redundant public company costs

• Expected G&A synergies of ~$0.9 million on a run-rate basis

Synergies from

Internalization of

Management

• High single-digit accretion to AFFO per unit(1) on a stabilized run-rate basis

• Accretion driven through G&A synergies, organic growth and a lease-up strategy with respect

to a quality downtown Montreal office property

Accretive to both

Unitholders

1) After stabilization of 2045 Stanley

2) Including 100% of GLA from partially owned properties (i.e. 2045 Stanley and 72 Rue Laval)


40.0%

37.7%

6.4%

6.2%

5.9%3.4% 0.4%

AB QC BC SK ON NWT PEI

76.7%

16.3%

4.9% 2.1%

Industrial Office Mixed-Use Retail

1

2

3 8

4 2

2

7 1

6

Edgefront Properties

Industrial

Office

Retail

Mixed-Use

Nobel Properties

Nexus consists of a diversified portfolio of 36 properties located

across Canada, combining Nobel’s asset diversity with Edgefront’s

geographic diversity

16

20

NOI by Sector(1)

NOI by Province/Territory(1)


Nationwide Asset Base


Lease Expiry Schedule (Sq. Ft. ‘000s)

Principal Repayment Schedule ($M)

% of Total

Debt

% of Total

Leased GLA

Balanced Debt Maturities and Lease Expiries

48

145 120

199

64

147

8

115

736

325

2017 2018 2019 2020 2021 2022 2023 2024 2025 2026+

Nobel

Edgefront

2.5% 7.6% 6.3% 10.5% 3.4% 7.7% 0.4% 6.1% 38.6% 17.1%

$11.9 $8.6

$68.4

$26.1

$6.1

$41.1

2017 2018 2019 2020 2021 2022+

Nobel Mortgages

Edgefront Credit Facility

Edgefront Mortgages

7.3% 5.3% 42.1% 16.1% 3.8% 25.3%

1) As at December 31, 2016

2) 5 and 10 year GCAN bond yields as at April 7, 2017; Avison Young Debt Market Monitor (April 2017) commercial mortgage spreads

Weighted Average Term(1)3.9 years

Weighted Average Interest Rate(1)3.96%

5 yr Loan Term Rate(2)2.81% - 3.21%

10 yr Loan Term Rate(2)3.44% - 3.94%


Industrial77.9%

Office15.7%

Mixed-Use3.5%

Retail2.8%

QC42.6%

AB26.1%

ON12.6%

BC7.9%

SK7.6%

NWT3.0%

PEI0.2%

$7.9

$3.0

$1.1 $12.0

Edgefront Nexus

$13.4

$7.0 $1.1 $21.5

Edgefront Nexus

Tenant Location Remaining Lease

Term (years) Sq. Ft.

% of

Total GLA

Various (Alberta) 9.4 436,412 21%

Lethbridge, AB 13.0 229,000 11%

Montreal, QC 8.3 91,068 4%

Montreal, QC 7.5 60,786 3%

Various (Quebec) 4.6 55,800 3%


2) Based on sq. ft. shown at 100% interests

(2)

(1) (1)

Nobel portfolio Stabilization of

2045 Stanley

Nobel portfolio

& G&A

synergies

Stabilization of

2045 Stanley

Nobel portfolio

& G&A

synergies

Stabilized NOI ($M)

Pro Forma GLA by Sector Key Tenants

Stabilized AFFO ($M) GLA (M Sq. Ft.) Pro Forma GLA by Province/Territory

1.2

0.9 2.1

Edgefront Nexus

Robust, Diversified Portfolio with Broad Tenant Base


Management

StructureExternal Internal External External External Internal External External External External

Geography

Across

Canada

(Primarily

Ontario)

Ontario &

Quebec

Across

Canada

Western

Canada

Across

Canada

Across

Canada

Ontario,

New

Brunswick,

Alberta

Ontario &

Quebec

Across

Canada

(Primarily

Alberta)

Quebec

Occupancy

Rate(3) 98.9% 90.5% 90.2% 92.4% 94.7% 98.3% 97.5% 94.9% 100.0% 95.8%

WALT (years)(3) 5.4 5.0 5.4 4.9 6.4 7.4 4.4 3.6 8.3 6.0

Price Return

Since IPO(2.1%) (28.0%) (19.1%) (15.0%) (3.5%) n/a (19.7%) 20.0% (3.0%) n/m

5,748

5,144 4,990

2,776

2,090 2,055 1,936

1,399 1,180

875

Summit BTB Slate Office Melcor Pro REIT Nexus True North Firm CapitalProperty Trust

Edgefront Nobel

1) Firm Capital Property Trust includes only the commercial portfolio

2) Includes 100% of GLA from partially owned properties

3) Occupancy & WALT as at December 31, 2016; occupancy for Slate Office, Nobel, and Nexus does not include redevelopment assets

Source: Company filings and broker reports

GL

A (

00

0s s

q. ft.)

Improved Positioning vs. Peers

(2)

(2)

(1)


1) As at April 4, 2017

2) EBITDA After stabilization of 2045 Stanley

3) Based on consensus analyst estimates as of April 2017

Source: December 31, 2016 financial statements, pro forma includes all publicly announced subsequent events as of April 4, 2017

Pro Forma Financial Metrics

Unit Price(1) (C$) $1.94

Basic Units Outstanding (M) 59.7

Market Capitalization(1) (C$M) $115.8

Cash and Credit Facility Availability (C$M) $5.5

Debt (C$M) $165.3

Enterprise Value (C$M) $281.1

Gross Book Value (C$M) $297.0

Debt to Gross Book Value (%) 55.7%

Debt to EBITDA(2) multiple 8.7x

Interest Coverage(2) multiple 3.1x

Annual Distribution per Unit ($) $0.16

Yield (%) 8.2%

Analyst Consensus Information(3)

Consensus Target Price ($) $2.33

Consensus NAV per Unit ($) $2.28

Consensus 2017E AFFO Payout Ratio (%) 78.0%


Overview: • One of Canada’s leading private equity firms • Privately held real estate investment and

asset management firm

Founded: • 1998 • 1996

Strategic Partner: • Edgefront • Nobel

Experience in

Real Estate:

• Indirectly own a significant amount of real

estate through current ownership of 17

companies

• Primarily focused on the industrial sector

in Western Canada

• Invests in office, retail, industrial and multi-

family properties in the major Canadian

markets as well as mortgages and CMBS

• Over the past 20 years, has invested in

over $15B of commercial mortgages

Headquarters: • Calgary, AB • Toronto, ON

Other:

• 19 years experience investing in 38

companies representing a broad cross-

section of the economy

• Canada’s first and largest investor in non-

investment grade CMBS

Strong partnerships to provide pipeline for accretive growth

Strategic Relationships with Access to Quality Assets


Overview

• Nobel acquired a 50% interest in 2045 Rue Stanley, a 113k sq. ft. office

building, in April 2016 for $12.8M

• The Chambre des Notaires, a professional order of more than 3,900

notaries, indirectly controls the remaining 50% of the building

• Manulife, the main tenant at time of acquisition, vacated the building in

December 2016, as planned

Opportunity

• The property will be redeveloped during 2017 - lease offer in place for

44% of the building with the Chambre des Notaires, which will use the

property as their head office under a 20-year lease commencing January

1, 2018

• “The Stanley Property is a 14-floor office property located in the heart of

Downtown Montreal that represents a tremendous opportunity to

significantly grow NOI. We expect the Stanley Property to be 85%

occupied by 2018.” – Jean Teasdale, CEO of Nobel

• The property has been appraised by Altus at a value of $30.0M, which

represents a $0.04 (2%) increase to Nexus’ NAV per unit

Property Type: Retail / Industrial

Construction: 1998

GLA: 37,455(1)

Property Type: Office

Construction: 1977

GLA: 113,714

2045 Rue Stanley, Montreal 41 Saint-Jean-Baptiste, Chateauguay

Overview

• Nobel acquired this 37,455 sq. ft., single tenant property in August 2014

for $6.3M – the building is 100% occupied by Rona

• Well-located within the Greater Montreal Area, with excess land available

Opportunity

• In January 2016, RONA completed a building expansion of 15,696 square

feet and a complete renovation of the facility at no cost to the REIT, a

project cost of ~$1.7M

• RONA has exercised their first 5 year renewal option immediately (i.e. a

new eleven 11 year term)

1) Pre-expansion

Nobel Case Study: Adding Value to the Portfolio


Name Title

Board of Trustees Management Team

Experience

1) Also serves as a trustee

2) Chair of the board of trustees of Nexus

Kelly

Hanczyk(1) Co-CEO

• Current CEO of Edgefront REIT

• Former CEO and Trustee of TransGlobe

Apartment REIT

• Extensive experience in all disciplines of

industrial, commercial and residential real

estate

Jean

Teasdale(1) Co-CEO

• Current CEO of Nobel REIT

• CEO and Founder of Maestri Terra, a real

estate management and development

company

• Served as VP, Real Estate and Commercial

Services at Aeroport de Montreal

• Extensive experience in real estate

development, management and financing

Robert

Chiasson CFO

• Current CFO of Edgefront REIT

• Former Corporate Controller of InStorage

REIT

• Former Director of Accounting and Finance

of Samuel Manu-Tech

• Obtained the CPA, CA designation while

articling with KPMG

Lorne

Jacobson(2) Edgefront

• Co-founder and Vice Chairman of TriWest

Capital Partners

• Former partner of Bennett Jones LLP

Mario

Forgione Edgefront

• Principal and Managing Partner of

Windermere Realty Corp.

• President and Co-Founder of Edgemere

Capital

• Former Managing Partner and Governor to

the OHL, of the Mississauga Ice Dogs

Brad Cutsey Edgefront

• President of InterRent REIT

• Former Managing Director, Real Estate

Investment Banking at Dundee Capital

Markets

Ben Rodney Nobel

• Principal and Managing Partner of RFA

Capital

• Has structured and closed over $15B of

Canadian real estate and mortgage

transactions

Nick

Lagopoulos n/a

• Principal and Managing Partner of RFA

Capital

• Previously with GE Capital and Credit

Suisse

Name Former

Board Experience

Nexus Leadership Team


Pro Forma Unitholder Analysis

Edgefront – Significant Holders

Nobel – Significant Holders

Nexus – Significant Holders

1) Total units outstanding less insiders (RFA Capital, management, insiders and the board)

Source: Management information circulars, management support agreements, FactSet, TSX Trust Company and SEDI

Name Basic

(000s) (%)

TriWest Capital Partners 10,957.4 26.0%

Barrie Vendor 3,471.0 8.2%

Mario Forgione 1,417.4 3.4%

Prince George Vendor 1,131.6 2.7%

Kelly Hanczyk 750.3 1.8%

Edgefront Realty Advisors LP 668.6 1.6%

Theodore Manziaris 557.3 1.3%

Kensington Funds 535.7 1.3%

Robert Chiasson 409.7 1.0%

ERA Holdings LP 324.5 0.8%

Edgefront Significant Holders 20,223.4 48.0%

Total Units Outstanding 42,125.0

Name Basic

(000s) (%)

RFA Capital 7,624.3 72.5%

Yves Maurais 64.7 0.6%

Jean-Guy Parent 64.7 0.6%

Nick Lagopoulos 28.0 0.3%

Jean Teasdale 25.8 0.2%

Ben Rodney 10.4 0.1%

Jacques Girard 6.0 0.1%

Bernard Grandmont 6.0 0.1%

Serge Ripel 6.0 0.1%

Louis Lemire 0.8 0.0%

Nobel Significant Holders 7,836.6 74.5%


Name Basic

(000s) (%)

RFA Capital 12,732.6 21.3%

TriWest Capital Partners 10,957.4 18.4%

Barrie Vendor 3,471.0 5.8%

Mario Forgione 1,417.4 2.4%

Prince George Vendor 1,131.6 1.9%

Kelly Hanczyk 750.3 1.3%

Edgefront Realty Advisors LP 668.6 1.1%

Theodore Manziaris 557.3 0.9%

Kensington Funds 535.7 0.9%

Robert Chiasson 409.7 0.7%

Nexus Significant Holders 32,631.6 54.7%


Free Float( 1) 43,044.1 72.1%


Positive financial impact (with re-rating potential) while maintaining balance sheet strength

1

2

3

4

5

Strong strategic rationale and complementary fit for both Edgefront and Nobel

Access to TriWest Capital Partners’ and RFA Capital’s robust pipelines of quality

acquisition targets and relationships

Diversified sector exposure and introduction into new geographic markets

Immediate synergies driven by internalization of experienced management team and

G&A cost savings

Building the Foundation for the Next Canadian “Blue Chip” REIT


Industry Fundamentals

4) CBRE Canada Industrial MarketView Q3 2016

5) PWC Emerging Trends in Real Estate 2017

Land Constraints: Development of large industrial buildings near major transportation hubs is increasingly

expensive and difficult, forcing demand further outside of major markets(4)

Strong Economic Conditions: Depreciation of the Canadian dollar is expected to stimulate Montreal’s export-

oriented economy (2.0% GDP growth expected in 2017)(3)

Large Market: 48% of Quebec’s population and 2nd largest city in Canada by GDP(1)(2)

Favourable Conditions for Manufacturing: Continually low interest rates and the depreciation of the Canadian

dollar have set ideal conditions for a resurgence of Canada’s manufacturing industry

Growth of E-Commerce: The growth of online shopping has created increasing demand for distribution and

logistics hubs, which has pushed up demand for all industrial property(5)

Favourable Business Environment: Home to 13 of Canada’s 50 largest companies, including SNC-Lavalin, CN

Rail, and Bell

Canadian Industrial

Greater Montreal

1) Statscan

2) Brookings Global Metro Monitor, 2014

3) Conference Board of Canada

Diversified exposure to high income, single-tenant industrial and Greater Montreal commercial

APPENDIX

Select Edgefront and Nobel Properties, Case Studies, Contact Information, and

Comparable Companies


3501 Griffen Rd. North – Lethbridge, AB 4700 & 4750 102 Avenue – Calgary, AB

455 Welham Road – Barrie, ON 12104 & 12110, 17th Street – Edmonton, AB

Acquired on July 15, 2014 and leased under a long-term lease to Triple M

housing that expires on July 14, 2029. Located in close proximity to

Highway 3.

Located in close proximity to Highway 2 and acquired on August 25, 2015,

this property is leased under a long-term lease to Canada Cartage that

expires on December 31, 2024

Located in close proximity to Highway 400 and acquired on July 17, 2015,

this property is leased under a long-term lease to Prodomax Automation

that expires on June 16, 2025

Acquired on January 14, 2014 and leased under a long-term lease to

Westcan Bulk Transport that expires on November 14, 2025. Located in

close proximity to Highway 100.

GLA (sq ft): 229,000

Land (acres): 31.4

Occupancy: 100%

Built/Ren: 2008 / 2012

GLA (sq ft): 29,471

Land (acres): 13.5

Occupancy: 100%

Built/Ren: 2009

GLA (sq ft): 109,366

Land (acres): 7.3

Occupancy: 100%

Built/Ren: 1998 / 2015

GLA (sq ft): 116,582

Land (acres): 34.0

Occupancy: 100%

Built/Ren: 1973 / 2011

Select Edgefront Properties


10500 Avenue Ryan – Dorval, QC 10340 Cote de Liesse – Montreal, QC

955 Boulevard Michele-Bohec – Blainville, QC 1600 Rue Montgolfier – Laval, QC

Located in Dorval in close proximity to the Trans Canada Highway; fully

occupied by Dicom Transportation Group Canada Inc. on a lease expiring

in December 2029

Newly renovated office property located in the borough of Lachine in

Montreal, near the Pierre-Elliott-Trudeau international airport and Highways

20 & 40; tenants include Gestidev and HollisWealth Management

Newly built office building located near Highway 15 in Blainville’s business

park; the main tenants are Above Security (part of the Hitachi Group),

Public Works and Government Services Canada, and Sun Life Financial

with leases expiring between May 2024 and May 2028

Strategically located at the corner of Highway 13 and Boulevard Saint-Martin,

the fully occupied building includes the headquarters of Crescendo Systems

Corporation, occupying 21,031 sq. ft. under a lease expiring in 2025, and

Shimadzu Canada under a lease expiring in 2021

GLA (sq ft) 52,372

Type Office

Occupancy 100.0%

GLA (sq ft) 26,281

Type Office

Occupancy 95.0%

GLA (sq ft) 33,461

Type Office

Occupancy 100.0%

GLA (sq ft) 27,097

Type Office

Occupancy 100.0%

Select Nobel Properties


1) Peer average is the simple average of Pro REIT, BTB REIT, True North Commercial REIT, Summit Industrial Income REIT, and Melcor REIT (where data is available)

2) AFFO payout ratio adjusted for unit based asset management and trustee fees

Weighted Average Lease Term (years)

Occupancy AFFO Payout Ratio

Debt to Assets

(1)

(1) (1)

(1)

Edgefront Case Study: Consistent Financial & Operating Performance

59% 60%

58%

49%

51%

49%

2014 2015 2016

Peer Average

Edgefront

95%

92%

94% 95%

92%

83%

2014 2015 2016

Peer Average

Edgefront(2)

5.9 5.4

5.2

11.9

9.8

8.3

2014 2015 2016

Peer Average

Edgefront

95% 95%

95%

100% 100% 100%

2014 2015 2016

Peer Average

Edgefront


Comparable Valuation

1) Based on management forecasts; 2018E estimates and payout ratio include the stabilization of 2045 Stanley; payout ratio based on 2017E AFFO is 84%

Source: FactSet, company filings and broker research

(1)

P / FFO P / AFFO

2017E 2018E 2017E 2018E

Large Cap REITs

H&R REIT $23.32 $7,039 $13,708 5.8% 12.8x 12.5x 14.9x 14.5x 86.4% 6.7% 46% 6.3% (6.3%) $293 7.8%

CREIT $49.38 $3,616 $5,785 3.7% 15.1x 14.8x 17.6x 17.2x 65.3% 5.7% 39% 5.3% 5.1% $260 9.4%

Cominar REIT $14.55 $2,653 $7,092 10.1% 9.4x 9.2x 10.7x 10.5x 108.4% 9.3% 53% 6.7% (6.7%) $158 76.8%

Artis REIT $13.33 $2,004 $5,203 8.1% 9.2x 9.2x 11.4x 11.5x 92.1% 8.8% 51% 6.7% (8.7%) $202 10.2%

Average 6.9% 11.6x 11.4x 13.7x 13.4x 88.0% 7.6% 47% 6.3% (4.2%) $228 26.0%

Average (Excl. High/Low) 6.9% 11.1x 10.8x 13.1x 13.0x 89.2% 7.8% 49% 6.5% (6.5%) $231 9.8%

Small Cap REITs

Agellan $11.42 $374 $728 6.8% 9.1x 8.6x 11.6x 10.9x 78.6% 8.6% 50% 8.9% (5.5%) $124 9.4%

Slate Office $8.09 $373 $973 9.3% 8.6x 8.0x 10.2x 9.4x 94.2% 9.8% 59% 7.6% (6.7%) $195 90.2%

Summit Industrial $6.56 $278 $522 7.7% 10.5x 10.1x 11.7x 11.3x 90.0% 8.5% 51% 8.0% (2.5%) $91 100.0%

Melcor $8.50 $219 $569 7.9% 8.3x 8.2x 9.8x 9.7x 77.6% 10.2% 53% 7.4% (15.6%) $205 60.0%

True North Comm. $6.09 $204 $427 9.8% 9.6x 9.2x 10.4x 9.9x 101.8% 9.6% 54% 8.0% 0.4% $221 100.0%

BTB REIT $4.77 $202 $630 8.8% 9.7x n/a 11.5x n/a 101.6% 8.7% 66% 7.0% 7.2% $122 100.0%

Pro REIT $2.22 $109 $259 9.5% 10.6x 9.7x 11.1x 9.9x 105.0% 9.0% 58% 7.4% (5.9%) $124 100.0%

Firm Capital PT $6.00 $73 $161 7.3% n/a n/a n/a n/a n/a n/a 53% n/a n/a $115 84.0%

Average 8.4% 9.5x 8.9x 10.9x 10.2x 92.7% 9.2% 56% 7.7% (4.1%) $150 80.4%

Average (Excl. High/Low) 8.4% 9.5x 8.9x 11.0x 10.1x 93.3% 9.1% 55% 7.7% (4.1%) $148 89.0%

Nexus $1.94 $116 $281 8.2% 9.7x 9.1x 10.2x 9.6x 79.5% 9.8% 56% 7.6% (10.2%) $143 31.1%

Return of

Capital

2017E AFFO

Payout RatioCompany Price

Mkt Cap

($M)EV ($M)

Dist.

Yield

Price Per

Sq. Ft.

Debt /

GBV

Premium

(Discount) /

NAV

Implied

Cap Rate

2017E

AFFO Yield

(2)


Kelly Hanczyk Co-CEO

Phone: (416) 906-2379

Email: [email protected]

Jean Teasdale Co-CEO

Phone: (514) 840-9339


Contact Information

Rob Chiasson CFO

Phone: (403) 817-9496


Merger Between Edgefront REIT and Nobel REITApril-2017).pdf · NEXUS INVESTOR PRESENTATION | APRIL...

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Transcript of Merger Between Edgefront REIT and Nobel REITApril-2017).pdf · NEXUS INVESTOR PRESENTATION | APRIL...