65
Investor Presentation Based on First Quarter 2016 May 2016
Investor PresentationBased on First Quarter 2016
May 2016
2SmartREIT
Notice to Reader
Readers are cautioned that certain terms used in this Investor Presentation (“Presentation”) such as Funds from
Operations ("FFO"), Adjusted Funds from Operations ("AFFO"), "Gross Book Value", "Payout Ratio", "Interest
Coverage", "Total Debt to Adjusted EBITDA" and any related per Unit amounts used by management to measure,
compare and explain the operating results and financial performance of the Trust do not have any standardized
meaning prescribed under IFRS and, therefore, should not be construed as alternatives to net income or cash flow
from operating activities calculated in accordance with IFRS. These terms are defined in this Presentation and
reconciled to the consolidated financial information of the Trust in the Management’s Discussion and Analysis
(“MD&A”) for the three months ended March 31, 2016. Such terms do not have a standardized meaning prescribed
by IFRS and may not be comparable to similarly titled measures presented by other publicly traded entities.
Certain statements in this Presentation are "forward-looking statements" that reflect management's expectations
regarding the Trust's future growth, results of operations, performance and business prospects and opportunities.
More specifically, certain statements contained in this Presentation, including statements related to the Trust's
maintenance of productive capacity, estimated future development plans and costs, view of term mortgage renewals
including rates and upfinancing amounts, timing of future payments of obligations, intentions to secure additional
financing and potential financing sources, and vacancy and leasing assumptions, and statements that contain words
such as "could", "should", "can", "anticipate", "expect", "believe", "will", "may" and similar expressions and
statements relating to matters that are not historical facts, constitute "forward-looking statements". These forward-
looking statements are presented for the purpose of assisting the Trust's Unitholders and financial analysts in
understanding the Trust's operating environment, and may not be appropriate for other purposes. Such forward-
looking statements reflect management's current beliefs and are based on information currently available to
management. However, such forward-looking statements involve significant risks and uncertainties. A number of
factors could cause actual results to differ materially from the results discussed in the forward-looking statements.
Although the forward-looking statements contained in this Presentation are based on what management believes to
be reasonable assumptions, the Trust cannot assure investors that actual results will be consistent with these
forward-looking statements. The forward-looking statements contained herein are expressly qualified in their entirety
by this cautionary statement. These forward-looking statements are made as at the date of this Presentation and the
Trust assumes no obligation to update or revise them to reflect new events or circumstances unless otherwise
required by applicable securities legislation.
3SmartREIT
Vision
Creating Exceptional Places to Shop and Work
4SmartREIT
Smart Real Estate Investment Trust
One of Canada’s premier REITs
$5.4 billion equity capitalization (unit price of $34.76 as of May 10, 2016)
$8.6 billion total asset value
139 shopping centres across Canada
31.0 million square feet of owned GLA
72% of our properties are anchored by Walmart
5SmartREIT
Q1 2016 - Solid Performance
98.5% occupancy
Portfolio increased in value by $1.4 billion to $8.5
billion over Q1 2015
FFO per unit increased by 3.8% over Q1 2015
2016 tenant retention already at 70% with an
average rental increase of 6.8%
Construction of the first phase of the Vaughan
Metropolitan Centre now largely complete
6SmartREIT
Q1 2016 - Solid Performance
March 31
2016
March 31
2015 Change
FFO / unit $0.54 $0.52 +3.8%
AFFO / unit $0.51 $0.48 +6.3%
Payout ratio 81.0% 82.6% -1.6%
Debt to Aggregate Assets 44.6% 43.1% +1.5%
Liquidity: Cash Resources $329.7M $373.7M -11.8%
Unencumbered Asset Pool $2.5B $2.4B +4.2%
Debt to Adjusted EBITDA 8.4X 7.6X +10.5%
Interest Coverage 3.0X 2.8X +7.1%
7SmartREIT
Growth in Rental Revenue
2011 2012 2013 2014 2015 Q12016*
1.65 1.71 1.751.84
1.992.16
AFFO / Unit
6.6% CAGR since 2011
Growth in AFFO / Unit
2011 2012 2013 2014 2015 Q12016*
511.9546.1
573.0607.6
670.3718.5
Rental Revenue(in millions of $)
8.3% CAGR since 2011
* Annualized
8SmartREIT
Growth in Total Assets
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Q12016*
109 229
1,015
2,564
3,5843,894
4,194 4,237 4,374
5,9566,480
7,070 7,107
8,505 8,562
Total Assets(in millions of $)
39.0% CAGR since 2002
* Annualized
9SmartREIT
Total Return to Unitholders
18.0% average annual return since IPO
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
SmartREIT TSX Capped REIT TSX Composite
$958.48
$403.79
$310.09
10SmartREIT
What Makes SmartREIT Strong
The capabilities of our team
The quality of our portfolio
The quality of our tenants
Our strategic relationships
Our healthy balance sheet
11SmartREIT
The Capabilities of our Team
Integrated team of approximately 300 employees
The most experienced retail development team in
Canada
50 million square feet and in excess of 170 centres
developed and built over the last 20 years
Very experienced and capable leasing, and
operations groups
Exceptional support organization
12SmartREIT
SmartREIT’s Portfolio
31.0 million square feet of shopping centre space
Average age: 12.2 years (youngest in the industry)
Low capital expenditures
Coast to coast locations
84% are urban or near urban markets
Virtually 100% of sites contain both a food store and a
pharmacy, either in a Walmart store or independently
Strong value orientation
Results in high degree of stability:
98.5% occupancy as at March 31
Average occupancy of 99.1% since 2005
13SmartREIT
SmartREIT’s Portfolio
139 Properties*
31.1 million square feet*
BC
13
Alberta
7
Saskatchewan
4
Manitoba
3
Ontario
81
Quebec
21
Atlantic
10
* Excludes 3 redevelopment properties and 8
development lands totalling 1.4 million square feet upon
completion and an additional 3.5 million square feet of
development density associated with existing centres
72% of our sites are Walmart anchored or shadow-anchored (85%
by total area)
High % of the portfolio focused in Ontario, Quebec and BC, which
are Canada’s fastest growing provinces
14SmartREIT
Distribution fully funded from
operating cashflow
Efficient capital allocation
Efficient and transparent
distribution
AFFO Payout Ratio
Management and the Board have endorsed a target payout range of 77% to 82% as of
February 2016
Management expects the payout ratio to remain in the high 70% to low 80% range
Annual distribution increased in 2014 to $1.60 from $1.55, representing a 3.4% increase,
with a further increase in October 2015 to $1.65, representing a 3.125% increase
$ per unit
FFO 1.70 1.79 1.85 1.95 2.10 2.16
AFFO 1.65 1.71 1.75 1.84 1.99 2.04
Distributions 1.55 1.55 1.55 1.56 1.61 1.65
Stable Cash Flow
2011 2012 2013 2014 2015 Q1 2016*
94.0% 90.3% 88.6% 84.7% 81.1% 81.0%
* Annualized
15SmartREIT
SmartREIT’s Tenant Base
72% of our sites are Walmart anchored or
shadow-anchored (85% by total area)
92% of our tenants are national
Our top ten tenants generate 50% of our
revenue
Adding exciting new tenants all the time
Results in:
70% tenant retention to date for 2016
renewals, representing 1.2 million square feet
6.8% average rental uplifts excluding anchor
tenants, 4.6% including them
16SmartREIT
The following table illustrates the top ten tenants for SmartREIT’s Property
Portfolio as at March 31, 2016, in terms of their percentage contribution to gross
rental revenues of SmartREIT’s Portfolio:
Tenant Number of Stores % of Gross
Rental Revenues
Average
Remaining
Lease Term
DBRS Credit
Rating
Walmart 94 27.0 8.6 AA
Canadian Tire, Mark's and FGL Sports 68 4.7 6.5 BBB (high)
Winners, Homesense and Marshalls 44 3.7 5.7
Reitmans 109 2.5 3.1
Best Buy 27 2.3 2.6
Loblaw and Shoppers Drug Mart 19 2.3 7.1 BBB
Sobeys 15 2.2 6.3 BBB (low)
RONA 7 2.0 7.3 BB (high)
Michaels 24 1.6 4.8
Staples 23 1.4 2.6
Total 49.7 7.5
Well Tenanted, High Quality Portfolio
17SmartREIT
Best-in-class Stable Occupancy
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Q12016
96.4%
97.9% 97.8%
99.2% 99.3% 99.3% 99.2%98.9% 99.1% 99.0% 99.0% 99.0% 99.0%
98.7% 98.5%
Occupancy
99.1% average occupancy since 2005
18SmartREIT
Average lease term of 6.7 years
Average remaining lease term of 8.6 years for Walmart, with multiple renewal options
of up to 80 years
Average remaining lease term excluding Walmart is 5.3 years
2016 average retention rate to date at 70% and lifts on renewals of 6.8%
Average “same property” NOI growth is 1.0% to 1.5% p.a.
Average roll of 2.3 million square feet annually (7.3% of total GLA per year)
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Month-to-month
Vacant
0.7
1.92.3 3.1 3.1 3.1 3.0 2.6
1.9
1.4
0.3 0.5
Lease Maturity by Area(in millions of square feet)
Stable Income Base
19SmartREIT
Transformation
Transforming into a leading,
fully-integrated REIT
with best-in-class capabilities
20SmartREIT
Transformational SmartCentres Acquisition Positions
SmartREIT for Growth
Transaction Highlights
1. Acquired a large, high quality
portfolio of real estate
2. Created a fully-integrated real
estate platform
3. Provides enhanced growth
opportunities
21SmartREIT
Transformation of Calloway into SmartREIT
Calloway Then1
SmartREIT Now
1. 27.4M square feet of GLA
2. 129 properties
3. 98.6% occupancy
4. Weighted average lease term 6.7 years
5. 2.7M square feet of potential
retail development3
6. $7.2B of Total Assets
7. Best-in-class internal property and
asset management capabilities
1. 31.0M square feet of GLA
2. 150 properties
3. 98.5% occupancy
4. Weighted average lease term 6.7 years
5. 5.0M square feet of potential retail
development3
6. $8.5B of Total Assets
7. Fully-integrated property, asset development
and leasing management capability
8. New Brand – Calloway rebranded itself
SmartREIT, trading under a new ticker:
SRU.UN, and leveraging SmartCentres’
considerable brand equity and our new
combined strengths
1 As of March 31, 2015
2 As of March 31, 2016
3 Excludes development opportunities with Mezzanine loans
2
22SmartREIT
Financing of Transaction
Purchase price within formal valuation range
Approximately $645.5 million of assumed debt at
a weighted average interest rate of 2.5%
Issuance of $174.2 million in Class B LP units of
SmartREIT subsidiary partnerships to certain
vendors, exchangeable for REIT units on a one-
for-one basis
Net proceeds from an offering of $230 million of
subscription receipts in a bought-deal financing
Remainder financed by cash on hand
23SmartREIT
Acquisition Involved a Large, High Quality Real Estate
PortfolioAcquisition Properties
Shopping CentresProvince % Acquired
SmartREIT GLA at Share
(SF 000s)Occupancy Major Tenants1
In Place DevelopmentFuture
EarnoutTotal
Alliston SmartCentre ON 100% 171 165 --- 336 100% Walmart Supercentre, Dollarama, Tim Hortons
Aurora North SmartCentre2 ON 50%2 249 --- 8 257 100% Walmart Supercentre, RONA, Best Buy, Golf Town, LCBO
Blainville SmartCentre QC 100% 176 39 --- 215 100% Walmart Supercentre, Dollarama, Bulk Barn, BNS, RBC
Bracebridge SmartCentre ON 100% 142 62 --- 204 100% Walmart Supercentre, Dollar Tree, Boston Pizza, Bulk Barn
Bradford SmartCentre ON 100% 238 184 --- 422 100% Walmart Supercentre, GoodLife Fitness, Dollarama, CIBC
Bramport SmartCentre (II) ON 100% 38 --- --- 38 100% No Frills
Brampton Northeast SmartCentre ON 100% 210 48 --- 258 100% Walmart Supercentre, GoodLife Fitness, LCBO, CIBC
Cornwall SmartCentre ON 100% 164 32 --- 196 100% Walmart Supercentre, Dollar Tree
Laval Centre SmartCentre QC 100% 160 102 --- 262 100% Walmart Supercentre
Markham East SmartCentre ON 40% 69 --- 69 138 100% Walmart Supercentre, Dollar Tree, CIBC
Mascouche North SmartCentre QC 100% 51 61 --- 112 100% Jean Coutu, Structube, McDonald’s, Bulk Barn
Mississauga (Go Lands) SmartCentre ON 50%3 56 --- 3 59 100% Toys R Us, Marshalls, Dollarama
Montreal Premium Outlet (Mirabel) QC 25%4 91 --- 25 116 90% Hudson’s Bay Outlet, Polo, Old Navy, Nike
Oakville SmartCentre ON 100%5 445 --- 110 555 100% Walmart Supercentre, Loblaws, CIBC, The Beer Store
Oshawa North SmartCentre (II) ON 100% 160 --- 20 180 100% Home Outfitters, Winners, PetSmart, Party Packagers
Oshawa South SmartCentre ON 50%2 268 --- 9 277 100% Walmart Supercentre, Lowe’s, Sail, CIBC, Dollarama
Port Elgin SmartCentre ON 100% 116 --- --- 116 100% Walmart Supercentre
Stoney Creek SmartCentre ON 100% 263 100 --- 363 100% Walmart Supercentre, Toys R Us, Dollar Tree, CIBC
Sylvan Lake SmartCentre AB 100% 125 125 --- 250 100% Walmart Supercentre, Dollarama
Vaudreuil SmartCentre QC 100% 15 39 --- 54 100% Brunet, Coco Fruitti
Vaughan Northwest SmartCentre ON 100% 163 344 --- 507 100% Walmart Supercentre, CIBC
Waterloo SmartCentre ON 100% 181 76 --- 257 100% Walmart Supercentre, Value Village, Mark’s, Dollarama
Total - Shopping Centres 3,551 1,376 244 5,172 99.7%
Note: Data as at March 31, 2015. (1) Includes committed leases. (2) SmartREIT previously held a 50% leasehold interest in this property. Following the Transaction, SmartREIT owns a 50% freehold interest and
continues to have an option to acquire the remaining 50% freehold interest at the end of the term of the existing lease. (3) Following the Transaction, SmartREIT owns 100% of this property as it previously owned
the other 50%. (4) Following the Transaction, SmartREIT owns 50% of this property as it previously owned a 25% interest. (5) SmartREIT entered into a lease for this property with an option to acquire the
freehold interest at the end of the lease term. (6) Development Properties expected to close 12-24 months post initial closing.
24SmartREIT
Governance Rights and Non-Compete Agreement
Reflective of Mitchell Goldhar’s significant ownership position and his ongoing relationship with the REIT, certain governance rights of Mitchell
Goldhar and related entities (“MG Entities”) have been amended and extended, and he has entered into a non-compete agreement.
Provision Description
Trustee
Appointment
Pre-Transaction Right to appoint Trustees based on the following ownership levels: Ownership >= 5%: appoint 1 Trustee, max. Trustees 8; Ownership >= 15%:
appoint 2 Trustees, max. Trustees 8; and Ownership >= 25%: appoint 3 Trustees, max. Trustees 9
Post-Transaction Ownership thresholds extended to include holdings of Mitchell Goldhar and MG entities
Voting Top-up
Right
Pre-Transaction Right to vote 25% of votes at a meeting of unitholders to July 1, 2015, as long as Mitchell Goldhar owns the lesser of (i) 20 million Units or (ii)
20% of the Units
Post-Transaction Expiry extended to July 1, 2020
Ownership extended from Mitchell Goldhar to include MG Entities
20 million Units must represent at least 10% of the outstanding Units
Special
Committee
Pre-Transaction NA
Post-Transaction So long as MG Entities own 5% of the Units, until his death Mitchell Goldhar will have the right to appoint 1 member of any special committee
reviewing strategic transactions where MG Entities are not an interested party
Board of
Trustees Chair
Pre-Transaction NA
Post-Transaction Until the earlier of July 1, 2025 or MG Entities no longer owning 10% of the Units, Mitchell Goldhar has the right to be the Non-Executive
Chairman
If Mitchell Goldhar is the Non-Executive Chairman, the Board will elect a Lead Independent Trustee
Corporate
Governance and
Compensation
Committee
Pre-Transaction Mitchell Goldhar has the right to appoint 1 member as long as he owns 15% of Units
Post-Transaction Committee has right to appoint and remove the Chief Operating Officer (“COO”) and Chief Development Officer (“CDO”)
From closing until the earlier of (i) 5 years post closing; (ii) MG Entities owning less than 10% of the Units; or (iii) Mitchell Goldhar’s death
All decisions require unanimous approval
MG Entities have the right to appoint 1 member of the Committee
Demand &
Registration
Rights
Pre-Transaction NA
Post-Transaction As long as MG Entities own 10% or more they will have Demand; Piggy-Back; and Pre-Emptive Rights
Non-Compete
Pre-Transaction NA
Post-Transaction Later of 3 years post closing or the Voting Top-up Right no longer being applicable. Contains exclusions for certain minority and passive
investments or if SmartREIT does not exercise first right below.
Effectively limits Mitchell Goldhar from acquiring new retail assets of a similar nature to SmartREIT's. Mitchell Goldhar must first offer
SmartREIT the opportunity to purchase them (subject to certain exclusions relating to OneREIT and other existing investments).
Note: The above table sets forth a summary of highlights of the rights and non-compete agreement for Mitchell Goldhar. For comprehensive information on these matters and other rights not
summarized above, please refer to the Management Information Circular posted to Sedar. MG Entities include Mitchell Goldhar, his family members, their spouses, his heirs and executors and
their affiliates and other entities such as trusts established for the benefit of those referred to prior.
25SmartREIT
Strategic Relationships
Walmart
Mitchell Goldhar
Simon Property Group
26SmartREIT
Strategic Relationship - Walmart Canada
89
13
214
94
14
296
Supercentres
(316)*
Total Walmart
Stores (404)*
Other
Shadow
SmartREIT
* Company source as at May 10, 2016
Number of Walmart Stores Walmart Canada
attributes
Value pricing and fresh
food generates huge
traffic
Dominant retailer
Has benefited from the
closure of Target
76% of Canadians live
within 10 km of a Walmart
27SmartREIT
Strategic Relationship - Mitchell Goldhar
JV Partner
Vaughan Metropolitan Centre
StudioCentre Site
Salmon Arm
Consultant on mixed use projects
Board Chair, Trustee and Investment Committee
member
Ad hoc advice and council on shopping centre
portfolio
Multiple on-going business relationships as
service provider
28SmartREIT
Largest public real estate company in the U.S.
Engaged primarily in retail real estate properties
including regional malls, Premium Outlets and
The Mills®
Exceptional relationships with the world’s largest
retailers
Canada is part of a continuing global expansion
Strategic Relationship - Simon Property Group
29SmartREIT
Our Balance Sheet is Strong
Unencumbered pool at $2.5 billion
Ready access to mortgage and unsecured debt
capital when needed
Key ratios improving
Payout ratio declined to 81.0% in Q1 2016,
within updated target range of 77% to 82%
Renewing interest rates much lower than
maturing rates
Our focus over the last year has been to move
towards secured financing, but we will continue
to access the unsecured market as appropriate
30SmartREIT
Lower interest costs on refinancing available with 10 year unsecured rates around 3.5% and secured rates
below that
Interest Coverage: 3.0X Target: 2.5 - 2.75X
Debt to EBITDA: 8.4X Target: 7.25 - 7.5X
Debt to GBV: 52.1% Target: 50 - 60% long-term trend to continue to de-lever
Unencumbered pool: $2.5 billion (2.1X) Target: 1.5X unsecured coverage
Weighted Avg Interest Rate (Secured Debt): 3.86%
Weighted Avg Term to Maturity (Secured Debt): 5.3 yrs
DBRS rating of BBB with a Stable trend
Debt Maturity / Leverage
133 238 332 338 115 121 225 146 25 325 111
0
150
90 100
150 150
150
200
0
160
0
4.2%
3.7%
4.3%
3.1%
4.6%
4.2%
3.7%
4.3% 4.2%
3.4%
3.9%
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Thereafter
Secured Debt Unsecured Debentures Average Int. Rate
Debt Maturity(in millions of $)
31SmartREIT
Dec. 31
2013
Dec. 31
2014
Dec. 31
2015
Mar. 31
2016
Debt to Aggregate Assets(1) 43.8% 42.8% 44.7% 44.6%
Secured Debt to Aggregate Assets(2) 28.1% 24.7% 31.2% 31.1%
Unencumbered Assets $1.5B $2.4B $2.5B $2.5B
Debt to Adjusted EBITDA(1) 8.1X 7.4X 8.4X 8.4X
Interest Coverage 2.5X 2.7X 3.0X 3.0X
Liquidity: Cash Resources $338M $324M $345M $330M
Weighted Average Interest Rate(3) 5.17% 5.03% 3.87% 3.86%
Weighted Average Term to Maturity(3) 5.5 yrs 5.3 yrs 5.4 yrs 5.3 yrs
Leverage Profile
(1) Leverage increased during 2015 in support of the transformative SmartCentres Platform transaction
(2) Significant rate spread between unsecured and secured debt led management to increase secured debt
financing during 2015
(3) Secured Debt
32SmartREIT
Conservative Capital Structure
Secured Mortgage FinancingAmount - $2.6 billion
Weighted Avg Interest Rate – 3.86%
Weighted Avg Term to Maturity – 5.3 years
Unsecured DebenturesAmount - $1.2 billion
Weighted Avg Interest Rate – 3.94%
Weighted Avg Term to Maturity – 5.2 years
EquityUnits Outstanding – 155 million
Share Price – $34.76 as at May 10, 2016
Market Capitalization – $5.4 billion
Operating Lines / Outstanding LC’sOperating Line – $20 million
Letters of Credit – $29 million
28.3%
12.5%
58.7%
0.5%
Focused on:
Lowering interest rates on renewals
Maintaining maximum flexibility
Reducing leverage over time
Total Enterprise Value – $8.7 Billion
33SmartREIT
SmartREIT’s Key Challenges and Opportunities
Our core platform has great stability, resulting in
inherent growth in same property income of 1%
to 1.5%
Over time, our cost of capital is expected to climb
as interest rates rise
Acquisition supply is slowing, with more
competitive bidding from pension funds and
other institutions
We needed to diversify our income sources to
manage risk
34SmartREIT
Key Growth Principles We Are Following
Growth will come from a wide variety of areas
Risk management will be a key consideration as
we allocate capital
We will take a reasoned and disciplined
approach for the long term
We will continue to work with key partners to
drive growth
35SmartREIT
SmartREIT’s Growth Drivers
1. Unique portfolio of department store-anchored
value-focused retailers
Improve organic same property growth
above 1%
2. Retail intensification of approximately 310,000
square feet in existing portfolio
Place Bourassa
South Oakville
Other sites to be identified
36SmartREIT
SmartREIT’s Growth Drivers (cont’d)
3. Premium Outlet Malls
Value oriented sites, principally in fashion
segment
Market dynamics currently very supportive
4. Internal Growth Pipeline
Approximately 5.0 million square feet of
future development and earnouts across
multiple sites
37SmartREIT
SmartREIT’s Growth Drivers (cont’d)
5. Vaughan Metropolitan Centre
GTA’s largest future mixed used
development
6. Other mixed use opportunities identified and
moving through the zoning process
38SmartREIT
SmartREIT’s Growth Drivers (cont’d)
7. Walmart JV
SmartREIT has stepped into SmartCentres’
role to provide planning, development,
leasing and other services to Walmart in
Canada
SmartCentres has built over 170 shopping
centres over the last 20 years and we expect
to continue that business into the future
We are at the very early stages of exploring
opportunities in the US market with Walmart
39SmartREIT
SmartREIT’s Growth Drivers (cont’d)
8. Platform Leverage
Over and above the various development
opportunities noted, we have acquired the
most experienced retail development
platform in Canada. We will be looking for
third party development and redevelopment
opportunities to maximize the platform
capabilities
40SmartREIT
Greater Toronto Area
Key development area for SmartREIT
1. Vaughan Metropolitan Centre
2. Westside Mall
3. StudioCentre
4. Toronto Premium Outlets
Population of 6.1 million as of
the 2011 Census
Map highlights existing and proposed TTC subway stations
41SmartREIT
Premium Outlets
Toronto Premium Outlets (Halton Hills)
JV with Simon Property Group
500,000 SF when all phases are completed
Phase I opened August 1, 2013
Stabilized yield will be in the double digits
Montreal Premium Outlets (Mirabel)
JV with Simon Property Group
Phase I – 350,000 SF
Opened October 30, 2014
Additional 75 acres of potential retail development
adjacent to the site
Actively sourcing other locations
42SmartREIT
Premium Outlets
43SmartREIT
Toronto Premium Outlets (“TPO”) – Expansion
44SmartREIT
TPO Expansion – Pedestrian Bridge & Parking Deck
45SmartREIT
Vaughan Metropolitan Centre (“VMC”)
A long term build (10 – 15 years)
A 50:50 JV between SmartREIT and SmartCentres
Potential density of 8-10 million square feet of
residential, office and retail development
First development completed – KPMG tower complex
with 365,000 SF of LEED Gold space, opening in 2016
Second office tower with YMCA, Library and community
space confirmed for 100,000 SF and an office tenant in
final negotiations for another 80,000 SF
Transit infrastructure, including TTC subway, VIVA bus
and York regional bus, to open in 2017 – now fully funded
and updated schedule in place
Exceptional opportunity to develop a new city centre for
one of Canada’s fastest growing communities
46SmartREIT
VMC – Phases 1 & 2 of Development
47SmartREIT
VMC Today – Under Construction
Construction of the KPMG Tower: nearly complete
48SmartREIT
VMC – Aerial
49SmartREIT
VMC – Major Construction Projects in Vicinity
50SmartREIT
VMC - Rapid Transit to Downtown Toronto
51SmartREIT
Additional Mixed Use Potential Opportunities
StudioCentre (Lakeshore Boulevard East)
1.2 million square foot site owned jointly with
SmartCentres
Received council approval in November 2015 relating
to the rezoning application
Westside Mall Toronto (Eglinton and Caledonia)
Shopping centre redevelopment leveraging new LRT
station
South Keys Ottawa
Redevelopment of shopping centre leveraging new
transit hub
Hwy 7 & Hwy 400 (Vaughan)
Redevelopment of current shopping centre site to
leverage proximity of Vaughan Metropolitan Centre
Various other sites under investigation
52SmartREIT
StudioCentre
53SmartREIT
StudioCentre
Architect’s rendering of potential new site layout
54SmartREIT
StudioCentre
55SmartREIT
StudioCentre
StudioCentre is a brownfield
location next to Toronto’s eastern
waterfront. A former industrial site,
today it is an underutilized film
production centre
SmartREIT and SmartCentres
intend to revitalize the centre,
adding new production, office, and
retail opportunities
A rezoning exercise is underway,
seeking right to build 1.2 million
square feet at the centre. Approval
from the City of Toronto was
received in November 2015
Leasing activity for new media
businesses has already started –
over 30,000 square feet leased for
2015
56SmartREIT
Westside Mall Toronto
Current density - 143,800
square feet
City of Toronto proposed
density for site: 4.5x coverage =
approximately 2.15 million
square feet
Buildings height of up to 33
storeys
LRT to open by 2020;
construction well underway.
Tunnel boring is complete in
front of the centre. Station
construction not yet started
Zoning and approvals will be a
lengthy process
Architect’s rendering of potential intensification site plan
57SmartREIT
Laval Centre
The City of Laval has designated these lands as
their “centre-ville” due to its central location on the
island of Laval as well as its excellent access to
regional highways and public transportation.
These locational advantages make the site an
excellent mixed-use development with
unparalleled access to a host of retail,
entertainment and institutional uses. The lands
can easily be accessed by 2 major interchanges
from the 2 major highways that cross the City,
being autoroute 15 that gives north-south access
to the City of Montreal and north to the
recreational destinations of the Laurentians, and
autoroute 440 which crosses the island in an
east-west direction. The site is also served by 5
different bus routes on the 3 surrounding streets
(boul St-Martin, boul Daniel-Johnson and boul
Chomedey) with easy access to the nearby Metro
subway station as well as express access to
select Montreal destinations.
These benefits make Laval Centre an ideal
location for retail, as well as office and residential
uses, as evidenced by the tremendous growth in
high-rise residential construction in the area over
the last 5 years.
A 160,000 square foot Walmart Supercentre
currently anchors the centre, with an additional
100,000 square feet in the planning stages. And
zoning amendments are underway to permit
higher densities so as to accommodate 250,000
square feet of office, 1 million square feet of
residential as well as seniors’ housing.
58SmartREIT
Other Issues We Are Monitoring
In the coming years, retailers’ businesses will be affected
by:
E-commerce
Aging population
Urbanization and the move to more convenient
shopping
Changing ethnic mix of population
We will continue to monitor the impact of these issues
and will adjust our business model accordingly, always
remembering:
The quality of our sites
The value we provide our tenants
The strength and capabilities of our partners
59SmartREIT
E-commerce Response – Penguin Pick-Up
Penguin Pick-Up located at Scarborough (1900 Eglinton) SmartCentre
60SmartREIT
E-commerce Responses
Penguin Pick-Up:
Initiative driven by SmartCentres
Convenient locations for consumers to pick up
products ordered online
Drives traffic to shopping centres and supports
tenants
Five SmartREIT locations currently part of the
initiative
Piloting free Wi-Fi at select Western Canadian sites
Launching digital signage at select locations
Further initiatives in the planning stage
61SmartREIT
Best-in-Class Portfolio
Newest retail portfolio amongst all Canadian peers.
84% located in urban or near urban locations, with
strong national tenants as anchors
Strong Financial Position
Strong balance sheet and strong credit metrics.
Growing unencumbered pool provides increased
financial flexibility. Access to multiple sources of
capital
Growth Prospects Increasing, particularly after acquisition
Portfolio of growth opportunities from smaller local
intensification to Vaughan Metropolitan Centre,
amongst Canada’s largest potential mixed use
developments
The Best Offense Starts With a Strong Defense -
SmartREIT
62SmartREIT
Appendix
63SmartREIT
July 2015 Acquisition – Haney Place Mall
Address: 11900 Haney Place, Maple Ridge, BC
Major Intersection: Lougheed Highway & 224th street
Site Area: 227,000 square feet
Occupancy: 97%
Major Tenants: Walmart Supercentre, Thrifty Foods, Dollar Tree,
Rexall Pharmacy, Westminster Savings
64SmartREIT
SmartCentres Acquisition - Oakville SmartCentre
Address: 234 Hays Boulevard, Oakville, ON
Major Intersection: Highway 5 & Trafalgar Road
Site Area: 445,000 square feet
Occupancy: 100%
Major Tenants: Walmart Supercentre, Real Canadian Superstore
(Loblaws), LCBO, CIBC
65SmartREIT
SmartCentres Acquisition - Oshawa South SmartCentre
Address: 680 Laval Drive, Oshawa, ON
Major Intersection: Stevenson Road & Laval Drive
Site Area: 540,000 square feet
Occupancy: 100%
Major Tenants: Walmart Supercentre, Lowe’s, Sail, CIBC
