Primaris REIT Announces $200 Million Unsecured Term Loan and Margin Eligibility for Units

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TORONTO — Primaris Real Estate Investment Trust (« Primaris » or « the Trust ») (TSX: PMZ.UN) announced today that it has entered into a $200 million term loan, pursuant to the unsecured debt strategy of Primaris, thereby improving funding flexibility and liquidity.

The $200 million unsecured, non-revolving, deferred draw term loan bears an annual rate of BA + 150 basis points and matures on February 5, 2026. Primaris may fix the interest rate on all or part of this term loan. Six Canadian banks participated in the syndicate, led by Desjardins Capital Markets and TD Securities. Proceeds from the loan will repay mortgages maturing in the fourth quarter of 2022.

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« This term loan provides us with funds to refinance the bulk of the remaining mortgage debt expiring in 2022 on very attractive terms, and complements our well-laddered debt maturity profile, » said Rags Davloor, Chief Financial Officer. “Secured debt as a percentage of total debt falls below 30% and our pool of unencumbered assets reaches 85% by year end. This loan allows us to actively manage our real estate portfolio while providing maximum flexibility to maintain a well-laddered debt maturity profile and optimize our cost of capital.

LSERM eligibility

Pursuant to IIROC Notice 22-0124, effective August 26, 2022, units of Primaris will be listed on the “List of Securities Eligible for Reduced Margin” (“LSERM”). LSERM provides guidance to investment dealers enabling enhanced margin lending, contributing to greater trading liquidity. More information is available on the IIROC website or by clicking here.

About Primaris Real Estate Investment Trust

Primaris is the only enclosed shopping center REIT in Canada, with interests primarily in leading enclosed shopping centers in growth markets. The portfolio totals 11.3 million square feet and is valued at approximately $3.2 billion for Primaris’ share. Economies of scale are achieved through its fully in-house, vertically integrated, full-service national management platform. Primaris is very well capitalized and exceptionally well positioned to take advantage of market opportunities at an extraordinary time in the evolution of the Canadian commercial real estate landscape.

Disclaimer of Forward-Looking Statements

Certain statements included in this press release constitute « forward-looking information » or « forward-looking statements » within the meaning of applicable securities laws. The words « will », « expect », « plan », « estimate », « intend » and similar expressions are often intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Specific forward-looking statements made or implied in this press release include, but are not limited to, statements regarding: statements regarding anticipated future distributions, development activities of the Trust, anticipated benefits of the integration of HOOPP Properties and the Normal Course Issuer Bid . These statements are based on factors or assumptions that were applied in drawing a conclusion or making a forecast or projection, including assumptions based on historical trends, current conditions and expected future developments. Because forward-looking statements relate to future events and conditions, by their very nature they require assumptions to be made and involve inherent risks and uncertainties. Primaris cautions that although the assumptions are believed to be reasonable under the circumstances, these risks and uncertainties give rise to the possibility that actual results could differ materially from the expectations set forth in the forward-looking statements. Material risk factors and assumptions include those set forth in the MD&A which will be available on SEDAR, and in Primaris’ other filings with Canadian securities regulators from time to time. In view of these risks, undue reliance should not be placed on these forward-looking statements, which speak only as of their dates. Except as specifically required by law, Primaris undertakes no obligation to update forward-looking statements to reflect new information, whether subsequent or not.

See the source version on businesswire.com: https://www.businesswire.com/news/home/20220808005782/en/

contacts

Alex Avery
Chief executive officer
416-642-7837
aavery@primarisreit.com

Davloor Cloths
Financial director
416-645-3716
rdavloor@primarisreit.com

TSX: PMZ.UN
www.primarisreit.com www.sedar.com

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