Solid Q1 results, advancing growth-focused initiatives
with next major development, and net zero commitment
announced
NEW
GLASGOW, NS, May 10, 2023
/CNW/ - Crombie Real Estate Investment Trust ("Crombie") (TSX:
CRR.UN) today announced results for its first quarter ended
March 31, 2023. Management will host
a conference call to discuss the results at 12:00 p.m. (EDT), May 11, 2023.
"Our Q1 operating and financial results continue to demonstrate
the stability and strength of our well-curated portfolio of
grocery-anchored retail, industrial, and residential assets," said
Mark Holly, President and CEO. "Our
strong financial condition, further improved by our successful
$200 million unsecured note issuance
in March, positions us well to pursue growth-focused initiatives.
Crombie is focused on unlocking the value embedded within our
portfolio through Empire-related investments, the acceleration of
entitlements, and our commitment to our next major development, The
Marlstone, in Halifax, Nova
Scotia."
"Additionally, I am pleased to announce our enhanced focus on
ESG and our newly formed Climate Action Plan. We are committed to
achieving net zero by 2050 with a near term 2030 intention to
reduce scope 1 and 2 greenhouse gas emissions by 50%. Our reduction
targets will be submitted to the Science Based Targets initiative
for validation and approval, and will guide us as we proactively do
our part to reduce our greenhouse gas emissions and strengthen the
resilience of our properties."
FIRST QUARTER SUMMARY
(In thousands of Canadian
dollars, except per unit amounts and square feet and as otherwise
noted)
Operational Highlights
- Committed occupancy 96.7% and economic occupancy 94.5%; a 30
basis point increase and 100 basis point decrease, respectively,
compared to the first quarter of 2022. (Adjusting for the impact of
Voilà CFC 3, which reached substantial completion in the fourth
quarter of 2022 and is expected to enter economic occupancy
mid-2023, economic occupancy would be 96.1%)
- Renewals of 540,000 square feet at rents 5.7% above expiring
rental rates (7.0% at weighted average rent during the renewal
term)
- Acquisition of two investment properties added 81,000 square
feet of GLA at a total aggregate purchase price of $16,722
- We are pleased to announce our next major development, The
Marlstone, a 291-unit residential rental development in
Halifax, Nova Scotia
- Advancing our climate action plan with a commitment to achieve
net zero by 2050 for scopes 1, 2, and 3. In the near term,
committed to reducing scope 1 and 2 emissions by a minimum of 50%
by 2030 from a 2019 base year
Financial Highlights
- Completed offering of $200,000
Series K Senior unsecured notes maturing September 28, 2029, bearing an interest rate of
5.244% per annum
- Property revenue of $107,551, a
2.5% increase from $104,946 in the
first quarter of 2022
- Operating income of $25,173, a
decrease of 0.3% compared to the first quarter of 2022 at
$25,248
- Net property income of $68,648, a
1.0% decrease from $69,331 in the
first quarter of 2022
- FFO(1) of $52,835 or
$0.30 per unit compared to
$49,091 or $0.28 per unit in the first quarter of 2022
- FFO(1) payout ratio of 75.3% for the first quarter
of 2023 compared to 79.9% in the same period last year
- AFFO(1) of $45,909 or
$0.26 per unit compared to
$41,898 or $0.24 per unit in the first quarter of 2022
- AFFO(1) payout ratio of 86.6% for the first quarter
of 2023 compared to 93.6% in the same period last year
- Same-asset property cash NOI(1) increased 2.4%
compared to the first quarter of 2022
- Debt to gross fair value(1)(2) of 41.9%, an
improvement from 42.5% in the same period last year
- Debt to trailing 12 months adjusted EBITDA(1)(2) of
7.96x compared to the first quarter of 2022 at 8.72x
- Unencumbered investment properties of $2,291,396, a 14.0% increase from $2,009,252 in the same period last year
- Available liquidity of $735,877,
a 40.7% increase from $523,159 in the
first quarter of 2022
(1) Non-GAAP
financial measures used by management to evaluate Crombie's
business performance. See "Cautionary Statements and Non-GAAP
Measures" below for a reconciliation of FFO, FFO payout ratio,
AFFO, AFFO payout ratio, same-asset property cash NOI, debt to
gross fair value, and debt to trailing 12 months adjusted
EBITDA.
|
(2) At Crombie's
proportionate share including joint ventures.
|
Information in this press release is a select summary of results.
This press release should be read in conjunction with Crombie's
Management's Discussion and Analysis for the quarter ended
March 31, 2023 and Consolidated
Financial Statements and Notes for the quarters ended March 31, 2023, and March
31, 2022. Full details on our results can be found at
www.crombie.ca and www.sedar.com.
Financial Results
Crombie's key financial metrics for the three months ended
March 31, 2023 are as follows:
|
Three months ended
March 31,
|
(In thousands of
Canadian dollars, except per unit amounts and as otherwise
noted)
|
2023
|
2022
|
Variance
|
%
|
Property
revenue
|
$
107,551
|
$
104,946
|
$
2,605
|
2.5 %
|
Property operating
expenses
|
38,903
|
35,615
|
(3,288)
|
(9.2) %
|
Net property
income
|
$
68,648
|
$
69,331
|
$
(683)
|
(1.0) %
|
Operating income
attributable to Unitholders
|
$
25,173
|
$
25,248
|
$
(75)
|
(0.3) %
|
Same-asset property
cash NOI (1)
|
$
68,159
|
$
66,538
|
$
1,621
|
2.4 %
|
Funds from operations
("FFO") (1)
|
|
|
|
|
Basic
|
$
52,835
|
$
49,091
|
$
3,744
|
7.6 %
|
Per unit -
Basic
|
$
0.30
|
$
0.28
|
$
0.02
|
7.1 %
|
Payout
ratio(1)
|
75.3 %
|
79.9 %
|
|
(4.6) %
|
Adjusted funds from
operations ("AFFO") (1)
|
|
|
|
|
Basic
|
$
45,909
|
$
41,898
|
$
4,011
|
9.6 %
|
Per unit -
Basic
|
$
0.26
|
$
0.24
|
$
0.02
|
8.3 %
|
Payout
ratio(1)
|
86.6 %
|
93.6 %
|
|
(7.0) %
|
(1) Same-asset
property cash NOI, FFO, FFO payout ratio, AFFO, and AFFO payout
ratio are non-GAAP financial measures used by management to
evaluate Crombie's business performance. See "Cautionary Statements
and Non-GAAP Measures" below for a reconciliation of same-asset
property cash NOI, FFO, FFO payout ratio, AFFO, and AFFO payout
ratio.
|
Operating income attributable to Unitholders decreased by
$75, or 0.3%, primarily due to a gain
on distribution from equity-accounted investments of $1,933 in the first quarter of 2022 resulting
from cash distributions received from 1600 Davie Limited
Partnership in excess of our investment in the joint venture and a
reduction of $683 in net property
income. The reduction in operating income was offset in part by
growth in income from equity-accounted investments of $3,212 resulting from the sale of two parcels of
land at our Opal Ridge property in
Dartmouth, Nova Scotia, in the
first quarter of 2023.
Same-asset property cash NOI increased by $1,621, or 2.4%, compared to the first quarter of
2022 primarily due to renewals and new leasing, increased parking
revenue of $626, and higher
supplemental rent of $441 from
modernizations and capital improvements.
The increase in FFO of $3,744 is
primarily due to an increase in income from equity-accounted
investments of $3,212 as a result of
the sale of land inventory at our Opal
Ridge property in Dartmouth, Nova
Scotia, increased rental revenue compared to the first
quarter of 2022 of $1,813 from
renewals, new leasing, and acquisitions, improved parking revenue
of $626, and higher supplemental rent
from modernizations of $540. FFO
growth is offset in part by lost rental revenue of $1,543 due to dispositions.
The improvement in AFFO is primarily due to the same factors
impacting FFO as described above. This is offset in part by the
impact of the increase in the maintenance expenditure charge in the
quarter from $1.00 to $1.10 per square foot of weighted average GLA, an
increased charge of $468.
Operating Results
|
March 31,
2023
|
December 31,
2022
|
September
30,
2022
|
June 30,
2022
|
March 31,
2022
|
Number of investment
properties (1)
|
291
|
289
|
290
|
294
|
294
|
Gross leasable area
(2)
|
18,550,000
|
18,445,000
|
18,331,000
|
18,500,000
|
18,488,000
|
Economic occupancy
(3)
|
94.5 %
|
94.8 %
|
96.2 %
|
95.9 %
|
95.5 %
|
Committed occupancy
(4)
|
96.7 %
|
96.9 %
|
96.8 %
|
96.3 %
|
96.4 %
|
(1) This includes
properties owned at full and partial interests, excluding joint
ventures.
|
(2) Gross
leasable area is adjusted to reflect Crombie's proportionate
interest in partially owned properties, excluding joint
ventures.
|
(3) Represents
space currently under lease contract and rent has
commenced.
|
(4) Represents
current economic occupancy plus completed lease contracts for
future occupancy of currently available space.
|
|
|
|
March 31,
2023
|
December 31,
2022
|
September
30,
2022
|
June 30,
2022
|
March 31,
2022
|
Investment properties,
fair value
|
$ 5,097,000
|
$ 5,050,000
|
$ 5,265,000
|
$ 5,273,000
|
$ 5,199,000
|
Investment properties
held in joint ventures, fair value, at Crombie's
share(1)
|
$
447,000
|
$
454,000
|
$
453,000
|
$
445,500
|
$
448,000
|
Unencumbered investment
properties (2)
|
$ 2,291,396
|
$ 2,154,468
|
$ 2,200,890
|
$ 2,155,326
|
$ 2,009,252
|
Available liquidity
(3)
|
$
735,877
|
$
583,003
|
$
445,372
|
$
444,262
|
$
523,159
|
Debt to gross book
value - cost basis (4)
|
44.9 %
|
44.6 %
|
46.2 %
|
46.8 %
|
46.5 %
|
Debt to gross fair
value (5)(6)
|
41.9 %
|
41.8 %
|
42.0 %
|
42.7 %
|
42.5 %
|
Weighted average
interest rate (7)
|
4.0 %
|
3.8 %
|
3.8 %
|
3.8 %
|
3.8 %
|
Debt to trailing 12
months adjusted EBITDA(5)(6)
|
7.96x
|
8.02x
|
8.50x
|
8.75x
|
8.72x
|
Interest coverage ratio
(5)(6)
|
3.24x
|
3.26x
|
3.32x
|
3.26x
|
3.27x
|
(1)
|
See Joint Ventures
section in the Management's Discussion and Analysis.
|
(2)
|
Represents fair value
of unencumbered properties.
|
(3)
|
Represents the undrawn
portion on the credit facilities, excluding joint facilities with
joint operation partners.
|
(4)
|
See Capital Management
note in the Financial Statements.
|
(5)
|
Non-GAAP financial
measures used by management to evaluate Crombie's business
performance. See "Cautionary Statements and Non-GAAP Measures"
below for a reconciliation of debt to gross fair value, debt to
trailing 12 months adjusted EBITDA, and interest coverage
ratio.
|
(6)
|
See Debt Metrics
section in the Management's Discussion and Analysis.
|
(7)
|
Weighted average
interest rate is calculated based on interest rates for all
outstanding fixed rate debt.
|
Operations and Leasing
During the quarter, Crombie achieved economic occupancy of 94.5%
and committed occupancy of 96.7%. Adjusting for the impact of Voilà
CFC 3, which reached substantial completion in the fourth quarter
of 2022 and is expected to enter economic occupancy mid-2023,
economic occupancy would be 96.1%. Crombie renewed 540,000 square
feet with an increase of 5.7% over expiring rents during the
quarter. Year to date, new leases increased occupancy by 62,000
square feet at an average first year rate of $18.91 per square foot.
Development
Crombie segregates its development pipeline by expected timing.
Near-term projects are financially committed or expected to be
committed within the next two years. Currently, Crombie has three
developments classified as near-term projects. Upon completion,
these projects will total approximately 905,000 square feet of
residential GLA (1,381 residential units) and 112,000 square feet
of commercial GLA. The geographical breakdown of GLA in square feet
is as follows: 684,000 in Vancouver; 145,000 in Victoria and 188,000 in Halifax.
The Marlstone
Subsequent to the first quarter, the Board of Trustees approved
the development of The Marlstone, a planned 291-unit residential
rental project in the heart of downtown Halifax, located within the Scotia Square
mixed-use retail, office, and hotel complex. This development will
be built to LEED Gold Standard and will be operational net zero
ready, as well as a Rick Hansen Foundation certified property.
Timing estimates are subject to change, as well as other
development risks described in Crombie's first quarter Management's
Discussion and Analysis under "Development" and "Risk
Management".
Climate Action
Crombie is pleased to announce the advancement of its
environmental commitments through a newly created Climate Action
Plan. Through this plan Crombie is committing to achieve net zero
by 2050 for scopes 1, 2, and 3. In the near term, Crombie is
committed to reducing scope 1 and 2 emissions by a minimum of 50%
by 2030 from a 2019 base year. All targets will be submitted to the
Science Based Targets initiative ("SBTi") for validation and
approval.
SBTi is an internationally recognized body that defines and
promotes best practice in emissions reductions and net zero targets
in line with climate science. Scope 1 refers to an entity's direct
emissions, while Scope 2 is an entity's indirect emissions through
its energy use. Scope 3 emissions are the result of activities not
controlled by the entity, but indirectly related to its value
chain.
Highlighted Subsequent Event
On May 1, 2023, Crombie acquired a
100% interest in a retail property from a subsidiary of Empire
totalling 57,000 square feet for $9,760, excluding closing and transaction
costs.
Conference Call Invitation
Crombie will provide additional details concerning its period
ended March 31, 2023 results on a
conference call to be held Thursday, May 11, 2023, beginning
at 12:00 p.m. (EDT). Accompanying the
conference call will be a presentation that will be available on
Crombie's website. To join this conference call, you may dial (416)
764-8688 or (888) 390-0546. To join the conference call without
operator assistance, you may register and enter your phone number
at https://emportal.ink/3M6GX5E to receive an instant automated
call back. You may also listen to a live audio webcast of the
conference call by visiting the Investor section of Crombie's
website at www.crombie.ca.
Replay will be available until midnight May 18, 2023 by dialing (416) 764-8677 or (888)
390-0541 and entering passcode 005478 #, or on the Crombie website
for 90 days following the conference call.
Cautionary Statements and Non-GAAP Measures
Same-asset property cash NOI (SANOI), FFO, AFFO, FFO payout
ratio, AFFO payout ratio, debt to trailing 12 months adjusted
EBITDA, debt to gross fair value, and interest coverage ratio are
non-GAAP financial measures that do not have a standardized meaning
under International Financial Reporting Standards ("IFRS"). These
measures as computed by Crombie may differ from similar
computations as reported by other entities and, accordingly, may
not be comparable to other such entities. Management includes these
measures as they represent key performance indicators to
management, and it believes certain investors use these measures as
a means of assessing Crombie's financial performance. For
additional information on these non-GAAP measures see our
Management's Discussion and Analysis for the three months ended
March 31, 2023.
The reconciliations for each non-GAAP measure included in this
press release are outlined as follows:
Same-Asset Property Cash NOI
Crombie measures certain performance and operating metrics on a
same-asset basis to evaluate the period-over-period performance of
those properties owned and operated by Crombie. "Same-asset" refers
to those properties that were owned and operated by Crombie for the
current and comparative reporting periods. Properties that will be
undergoing a redevelopment in a future period, and those for which
planning activities are underway are also in this category until
such development activities commence and/or tenant leasing/renewal
activity is suspended. Same–asset property cash NOI reflects
Crombie's proportionate ownership of jointly operated properties
(and excludes any properties held in joint ventures).
Management uses net property income on a cash basis (property
cash NOI) as a measure of performance as it reflects the cash
generated by properties period-over-period.
Net property income on a cash basis, which excludes non-cash
straight-line rent recognition and amortization of tenant incentive
amounts, is as follows:
|
Three months ended
March 31,
|
|
2023
|
2022
|
Variance
|
Net property
income
|
$
68,648
|
$
69,331
|
$
(683)
|
Non-cash straight-line
rent
|
(1,305)
|
(2,079)
|
774
|
Non-cash tenant
incentive amortization
|
6,792
|
5,564
|
1,228
|
Property cash
NOI
|
74,135
|
72,816
|
1,319
|
Acquisitions and
dispositions property cash NOI
|
994
|
1,790
|
(796)
|
Development property
cash NOI
|
4,982
|
4,488
|
494
|
Acquisitions,
dispositions and development property cash NOI
|
5,976
|
6,278
|
(302)
|
Same-asset property
cash NOI
|
$
68,159
|
$
66,538
|
$
1,621
|
Funds from Operations (FFO)
Crombie follows the recommendations of the January 2022 guidance of the Real Property
Association of Canada ("REALPAC")
in calculating FFO. The reconciliation of FFO for the three
months ended March 31, 2023 and 2022
is as follows:
|
Three months ended
March 31,
|
|
2023
|
2022
|
Variance
|
Decrease in net assets
attributable to Unitholders
|
$
(13,999)
|
$
(13,777)
|
$
(222)
|
Add
(deduct):
|
|
|
|
Amortization of tenant
incentives
|
6,792
|
5,564
|
1,228
|
Gain on disposal of
investment properties
|
(111)
|
—
|
(111)
|
Gain on distribution
from equity-accounted investments
|
—
|
(1,933)
|
1,933
|
Depreciation and
amortization of investment properties
|
19,069
|
18,524
|
545
|
Adjustments for
equity-accounted investments
|
1,257
|
942
|
315
|
Principal payments on
right-of-use assets
|
57
|
56
|
1
|
Internal leasing
costs
|
598
|
690
|
(92)
|
Finance costs -
distributions to Unitholders
|
39,775
|
39,236
|
539
|
Finance costs (income)
- change in fair value of financial
instruments(1)
|
(603)
|
(211)
|
(392)
|
FFO as calculated based
on REALPAC recommendations
|
$
52,835
|
$
49,091
|
$
3,744
|
Basic weighted average
Units (in 000's)
|
178,669
|
172,664
|
6,005
|
FFO per Unit -
basic
|
$
0.30
|
$
0.28
|
$
0.02
|
FFO payout ratio
(%)
|
75.3 %
|
79.9 %
|
(4.6) %
|
(1) Includes the fair value
changes of Crombie's deferred unit plan.
|
Adjusted Funds from Operations (AFFO)
Crombie follows the recommendations of REALPAC's January 2022 guidance in calculating AFFO and has
applied these recommendations to the AFFO amounts included in this
press release and Management's Discussion and Analysis.
The reconciliation of AFFO for the three months ended
March 31, 2023 and 2022 is as
follows:
|
Three months ended
March 31,
|
|
2023
|
2022
|
Variance
|
FFO as calculated based
on REALPAC recommendations
|
$
52,835
|
$
49,091
|
$
3,744
|
Add
(deduct):
|
|
|
|
Straight-line rent
adjustment
|
(1,305)
|
(2,079)
|
774
|
Straight-line rent
adjustment included in loss from equity-accounted
investments
|
120
|
161
|
(41)
|
Internal leasing
costs
|
(598)
|
(690)
|
92
|
Maintenance
expenditures on a square footage basis
|
(5,143)
|
(4,585)
|
(558)
|
AFFO as calculated
based on REALPAC recommendations
|
$
45,909
|
$
41,898
|
$
4,011
|
Basic weighted average
Units (in 000's)
|
178,669
|
172,664
|
6,005
|
AFFO per Unit -
basic
|
$
0.26
|
$
0.24
|
$
0.02
|
AFFO payout ratio
(%)
|
86.6 %
|
93.6 %
|
(7.0) %
|
Debt Metrics
When calculating debt to gross fair value, debt is defined under
the terms of the Declaration of Trust as obligations for borrowed
money, including obligations incurred in connection with
acquisitions, excluding trade payables and accruals in the ordinary
course of business, and distributions payable. Debt includes
Crombie's share of debt held in equity-accounted joint
ventures.
Gross fair value includes investment properties measured at fair
value, including Crombie's share of those held within joint
ventures. All other components of gross fair value are measured at
the carrying value included in Crombie's financial statements.
Crombie's methodology for determining the fair value of investment
properties includes capitalization of trailing 12 months net
property income using biannual capitalization rates from external
property valuators. The majority of investment properties are also
subject to external, independent appraisals on a rotational basis
over a period of not more than four years. Valuation techniques are
more fully described in Crombie's year-end audited financial
statements.
The fair value included in this calculation reflects the fair
value of the properties as at March 31,
2023 and December 31, 2022,
respectively, based on each property's current use as a
revenue-generating investment property. As at March 31, 2023, Crombie's weighted average
capitalization rate used in the determination of the fair value of
its investment properties was 5.93%, a decrease of one basis point
from December 31, 2022. Crombie's
weighted average capitalization rate used in the determination of
the fair value of its share of investment properties held in
equity-accounted joint ventures was 3.48% as at March 31, 2023, an increase of one basis point
from December 31, 2022. For an
explanation of how Crombie determines capitalization rates, see the
"Other Disclosures" section of the Management's Discussion and
Analysis, under "Investment Property Valuation" in the "Use of
Estimates and Judgments" section.
|
March 31,
2023
|
|
December 31,
2022
|
Fixed rate
mortgages
|
$
892,734
|
|
$
918,552
|
Senior unsecured
notes
|
1,175,000
|
|
975,000
|
Non-revolving credit
facility
|
—
|
|
150,000
|
Joint operation credit
facility
|
10,370
|
|
10,264
|
Debt held in joint
ventures, at Crombie's share (1) (2)
|
270,145
|
|
270,642
|
Lease
liabilities
|
34,982
|
|
35,000
|
Adjusted
debt
|
$
2,383,231
|
|
$
2,359,458
|
|
|
|
|
Investment properties,
fair value
|
$
5,097,000
|
|
$
5,050,000
|
Investment properties
held in joint ventures, fair value, at Crombie's share
(2)
|
447,000
|
|
454,000
|
Other assets, cost
(3)
|
93,235
|
|
99,728
|
Other assets, cost,
held in joint ventures, at Crombie's share (2) (3)
(4)
|
26,304
|
|
26,974
|
Cash and cash
equivalents
|
9,050
|
|
6,117
|
Cash and cash
equivalents held in joint ventures, at Crombie's share
(2)
|
5,612
|
|
2,487
|
Deferred financing
charges
|
8,293
|
|
7,843
|
Gross fair
value
|
$
5,686,494
|
|
$
5,647,149
|
Debt to gross fair
value
|
41.9 %
|
|
41.8 %
|
(1) Includes
Crombie's share of fixed and floating rate mortgages, construction
loans, revolving credit facility, and lease liabilities held in
joint ventures.
|
(2) See the
"Joint Ventures" section in the Management's Discussion and
Analysis.
|
(3) Other assets
exclude tenant incentives, and related accumulated amortization,
and accrued straight-line rent receivable.
|
(4) Other assets
held in joint ventures include deferred financing
charges.
|
The following table presents a reconciliation of property revenue
to adjusted EBITDA. Adjusted EBITDA is a non-GAAP measure and
should not be considered an alternative to operating income
attributable to Unitholders, and may not be comparable to that used
by other entities.
|
|
|
Three months
ended
|
|
March 31,
2023
|
December 31,
2022
|
September
30,
2022
|
June 30,
2022
|
March 31,
2022
|
Operating income
attributable to Unitholders
|
$
25,173
|
$
87,718
|
$
26,410
|
$
28,424
|
$
25,248
|
Amortization of tenant
incentives
|
6,792
|
5,940
|
5,795
|
5,690
|
5,564
|
Gain on disposal of
investment properties
|
(111)
|
(62,584)
|
(13,357)
|
(4,863)
|
—
|
Gain on distribution
from equity-accounted investments
|
—
|
—
|
(1,000)
|
—
|
(1,933)
|
Impairment of
investment properties
|
—
|
—
|
10,400
|
—
|
—
|
Depreciation and
amortization
|
19,420
|
18,991
|
22,744
|
19,222
|
18,879
|
Finance costs -
operations
|
20,764
|
20,623
|
20,884
|
20,762
|
20,745
|
(Income) loss from
equity-accounted investments
|
(1,673)
|
1
|
1,787
|
1,627
|
1,539
|
Property revenue in
joint ventures, at Crombie's share
|
11,269
|
7,271
|
3,258
|
2,616
|
2,356
|
Property operating
expenses in joint ventures, at Crombie's share
|
(5,170)
|
(3,022)
|
(1,296)
|
(1,002)
|
(903)
|
General and
administrative expenses in joint ventures, at Crombie's
share
|
(107)
|
(77)
|
(31)
|
(21)
|
(150)
|
Taxes -
current
|
—
|
4
|
—
|
—
|
—
|
Adjusted EBITDA
[1]
|
$
76,357
|
$
74,865
|
$
75,594
|
$
72,455
|
$
71,345
|
Trailing 12 months
adjusted EBITDA [3]
|
$
299,271
|
$
294,259
|
$
290,022
|
$
286,024
|
$
281,626
|
|
|
|
|
|
|
Finance costs -
operations
|
$
20,764
|
$
20,623
|
$
20,884
|
$
20,762
|
$
20,745
|
Finance costs -
operations in joint ventures, at Crombie's share
|
3,430
|
2,961
|
2,564
|
2,157
|
1,776
|
Amortization of
deferred financing charges
|
(622)
|
(654)
|
(675)
|
(668)
|
(688)
|
Adjusted interest
expense [2]
|
$
23,572
|
$
22,930
|
$
22,773
|
$
22,251
|
$
21,833
|
|
|
|
|
|
|
Debt outstanding (see
Debt to Gross Fair Value)(1) [4]
|
$
2,383,231
|
$
2,359,458
|
$
2,463,882
|
$
2,502,845
|
$
2,456,686
|
|
|
|
|
|
|
Interest service
coverage ratio {[1]/[2]}
|
3.24x
|
3.26x
|
3.32x
|
3.26x
|
3.27x
|
Debt to trailing 12
months adjusted EBITDA {[4]/[3]}
|
7.96x
|
8.02x
|
8.50x
|
8.75x
|
8.72x
|
(1)
Includes debt held in joint ventures, at Crombie's
share.
|
This press release contains forward-looking statements that reflect
the current expectations of management of Crombie about Crombie's
future results, performance, achievements, prospects, and
opportunities. Wherever possible, words such as "may", "will",
"estimate", "anticipate", "believe", "expect", "intend", and
similar expressions have been used to identify these
forward-looking statements. These statements reflect current
beliefs and are based on information currently available to
management of Crombie. Forward-looking statements necessarily
involve known and unknown risks and uncertainties. A number of
factors, including those discussed in the 2022 annual Management's
Discussion and Analysis under "Risk Management" and the Annual
Information Form for the year ended December
31, 2022 under "Risks", could cause actual results,
performance, achievements, prospects, or opportunities to differ
materially from the results discussed or implied in the
forward-looking statements. These factors should be considered
carefully, and a reader should not place undue reliance on the
forward-looking statements. There can be no assurance that the
expectations of management of Crombie will prove to be correct, and
Crombie can give no assurance that actual results will be
consistent with these forward-looking statements.
Specifically, this document includes, but is not limited to,
forward-looking statements regarding expected timing of
development, each of which may be impacted by ordinary real estate
market cycles, the availability of labour, financing and the cost
of any such financing, capital resource allocation decisions and
general economic conditions, as well as development activities
undertaken by related parties not under the direct control of
Crombie.
About Crombie REIT
Crombie invests in real estate that enriches local communities
and enables long-term sustainable growth. As one of the country's
leading owners, operators, and developers of quality real estate,
Crombie's portfolio primarily includes grocery-anchored retail,
retail-related industrial, and mixed-used residential properties in
Canada's top urban and suburban
markets. As at March 31, 2023, our
portfolio contains 291 income-producing properties comprising
approximately 18.6 million square feet, and a significant pipeline
of future development projects. Learn more at www.crombie.ca.
SOURCE Crombie REIT