supplemental information package - home - smartcentres · 2018. 8. 9. · conference call...

Supplemental Information Package FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2018

SM A RTCE N T R ES R E I T SM A RT To dAy SM A RT To M o R Row

2nd QUARTER

TABLE OF CONTENTS

1

SMARTCENTRES REAL ESTATE INVESTMENT TRUST JUNE 2018 SUPPLEMENTAL INFORMATION PACKAGE

Notice to Reader …………………………………………………………………………........………….... 2

Conference Call Highlights ………….……..………………………………………………………………. 3

Looking Beyond ……………………………………………………..…………………………………… 10

Portfolio Highlights ……………………………...……………...…………………………………………. 12

Distribution Reinvestment Plan ……………………………………………...…………………………… 13

Distribution History …………………………………………..………………….…………..... 13

Performance of SmartCentres Units ………………………………………………………………......... 14

Average Unit Trading Price …………………………………………………………….…….. 14

Average Daily Volume of Units Traded ………………………………………..……………. 14

Market Capitalization Summary ………………………………………………..……………. 14

Gross Revenue and Area by Province ………………………………………………………………….. 15

Top 25 Tenants ……………………………………………………………………………………............. 16

Lease Expiration Schedule ……………………………………………………………………………..… 17

Area by Age …………………………………………………………………………………………….….. 18

Future Earnouts and Developments ………………………………………………………………......… 19

Major Mixed-Use Real Estate Initiatives ……….……………………………………………………...… 20

Recourse Loans to Developers ………………………………………………………………………….. 22

Individual Property Summary ………………………………………………………………………..…… 23

General Information ………………………………………………………………………........................ 36

.

NOTICE TO READER

2


Readers are cautioned that certain terms used in this Supplemental Information Package(“Supplement”) such as Funds From Operations ("FFO"), Adjusted Cashflow From Operations("ACFO"), "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 theoperating results and financial performance of the Trust do not have any standardized meaningprescribed under IFRS and, therefore, should not be construed as alternatives to net income or cashflow from operating activities calculated in accordance with IFRS. These terms are defined in thisSupplement and reconciled to the consolidated financial information of the Trust in theManagement’s Discussion and Analysis (“MD&A”) for the three and six months ended June 30,2018. Such terms do not have a standardized meaning prescribed by IFRS and may not becomparable to similarly titled measures presented by other publicly traded entities.

Certain statements in this Supplement are "forward-looking statements" that reflect management'sexpectations regarding the Trust's future growth, results of operations, performance and businessprospects and opportunities. More specifically, certain statements contained in this Supplement,including statements related to the Trust's maintenance of productive capacity, estimated futuredevelopment plans and costs, view of term mortgage renewals including rates and upfinancingamounts, timing of future payments of obligations, intentions to secure additional financing andpotential financing sources, and vacancy and leasing assumptions, and statements that containwords such as "could", "should", "can", "anticipate", "expect", "believe", "will", "may" and similarexpressions and statements relating to matters that are not historical facts, constitute "forward-looking statements". These forward-looking statements are presented for the purpose of assistingthe 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 reflectmanagement's current beliefs and are based on information currently available to management.However, such forward-looking statements involve significant risks and uncertainties. A number offactors could cause actual results to differ materially from the results discussed in the forward-lookingstatements. Although the forward`looking statements contained in this Supplement are based onwhat management believes to be reasonable assumptions, the Trust cannot assure investors thatactual results will be consistent with these forward-looking statements. The forward-lookingstatements contained herein are expressly qualified in their entirety by this cautionary statement.These forward-looking statements are made as at the date of this Supplement and the Trustassumes no obligation to update or revise them to reflect new events or circumstances unlessotherwise required by applicable securities legislation.

CONFERENCE CALL HIGHLIGHTS

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OPERATIONS – FOR THE QUARTER

� FFO with one time adjustment and Transactional FFO increased by $6.1 million or 6.8% to$95.0 million, and by $0.02 or 3.5% to $0.59 on a per Unit basis for the quarter compared to Q22017

� ACFO with one time adjustment increased by $3.2 million or 3.7% to $88.4 million compared tothe same quarter in 2017

� Payout ratio to ACFO with one time adjustment increased by 1.5% to 79.9% compared to thesame quarter of 2017

� Occupancy level at 98.0% at the end of the quarter (98.4% in Q2 2017) and 98.2% includingexecuted leases (98.5% in Q2 2017)

� Renewed 1,742,683 square feet, representing 73.8% of lease maturities for 2018, with averageface rents increase of 3.5%

� Average cap rate of investment properties at 5.82% (5.82% in Q2 2017)

TENANT ACTIVITY

� No Sears exposure in any format

� Approximately 1,000 square feet of retail and office tenancies were completed and transferredthis quarter via earnouts and development, providing an unleveraged yield of 15.08%

� SmartCentres' occupancy at 98.0% (98.2% including executed deals), remains strong

� Dollar store growth principally through Dollarama continues to absorb surplus space. Totalnumber of stores is now 79 (Dollarama – 52, and Dollar Tree – 27)

� Purchase of Toys "R" Us (Canada) by Fairfax Financial Holdings Limited stabilizes this tenantand may provide upside potential if business grows

� Continued good interest from tenants for various size properties based on quality of locations

� Overall, SmartCentres continues to monitor closely those tenants in certain markets wheresome rationalizing is taking place


4


GROWTH

� Same properties’ NOI increased by $1.3 million or 1.1% for the quarter compared to 2017

� Premium Outlets

- Toronto

o the 145,000 square foot expansion scheduled to open in November 2018 ison track and on budget. Expected to open virtually full

o tenant sales continuing to perform well, with average sales of $1,153 psf on arolling 12 month basis

o Q2 2018 sales ahead of Q2 2017 by 1.2%

o virtually all temporary tenants replaced with long term leases and qualitytenants, and site is 100% occupied

o the new parking facility, providing 1,800 parking spots as part of the 145,000square foot expansion of the shopping centre, opened at the end ofNovember 2017

- Montreal

o tenancy of long and short term tenants currently at 100%

o Salvatore Ferragamo and Gucci continue as key traffic drivers with respect toluxury brands, and driving strong sales

o tenant sales averaging $691 psf on a rolling 12 month basis

o Q2 2018 sales up by 10.6% over Q2 2017

o 75-acre site adjacent to the centre under consideration for various usesincluding residential and hotel

- SmartCentres actively working with Simon to develop two potential additional sites


5


GROWTH (CONT’D)

� Vaughan Metropolitan Centre

- second mixed-use tower topping off ceremony took place in April 2018 with PwC as leadtenant as well as YMCA, a library and other community space, tenant fit-out to begin in Q12019

- subway opened in December 2017

- project progressing very well and the KPMG Tower is now complete

- the KPMG Tower won the 16th Annual Real Estate Excellence (REX) Award for OfficeDevelopment of the Year for the GTA

- minimal office space left now in the KPMG Tower based on executed leases. FM Global, aglobal insurance company, now operating on the 2nd floor of the tower and all of theadditional podium space

- project coming in well below budget for construction costs

- extremely successful launch for first residential developments in a joint venture withMitchell Goldhar and CentreCourt Developments Inc. with three condominium towers,which will be 55 storeys each and have a total of 1,716 units. All three towers sold out atsignificantly increased pricing versus original proformas. Construction of all three towershas started

- north condominium tower will include new BUCA-branded restaurant and BAR BUCA atthe lobby level

- design work commenced on next phase, with two additional condominium towers, thirdoffice tower and first residential rental tower under consideration

- SmartCentres Place Bus Terminal (York Regional Transit) finalizing construction andexpected to be ready later in 2018

- significant internal road infrastructure now completed, improving internal access

- surface parking for 900 cars now available for subway commuters in two lots on the siteand these are generally fully occupied Monday to Friday

- TD Canada Trust retail branch now open in the KPMG Tower


6


GROWTH (CONT’D)

� Future Opportunities

- sale of land to the JV with SmartStop in Q2 2018 at Leaside SmartCentre for a new 1,000-unit self storage facility

- residential single family home project at Vaughan NW moving forward in a JV withFieldgate, a well known home developer, with up to 230 freehold townhomes nowexpected on an approximately 16-acre site, and initial occupancy planned for early 2020.Expected return of 20% to 25% on costs of approximately $152 million of which our shareis 50%

- earnouts and developments – committed pipeline of approximately 343,000 square feet inplace at a yield of 7.0%

- the initial phase of development of office and retail space for the StudioCentre atLakeshore Boulevard East has now begun. The film studios are fully booked close to theend of 2018 and new sound stage is now open

- Westside Mall – mixed-use opportunity for 2 million to 2.5 million square feet resulting fromEglinton LRT line station and proposed GO interchange integrated with existing retailproperty moving forward with strong council support

- Vaughan (400 & 7) SmartCentre – 20-acre site along Hwy 7 is now slated forapproximately 2.5 million square feet of redevelopment, including residential, office, retailand entertainment. The site under the Vaughan Official Plan is permitted one of thehighest densities in Vaughan, second only to the Vaughan Metropolitan Centre

- Laval Centre

o proposed mixed-use development, including office, residential, seniorshousing and further retail, now underway

o JV with Jadco progressing well and construction starting in September for firstrental tower

- Pointe-Claire SmartCentre acquired in 2016 now identified for significant intensification,with zoning now approved for up to 1.5 million square feet of residential, in various forms,and retirement homes.

- South Oakville Centre now in active planning and discussion for redevelopment, includingresidential and senior home uses on part of the site


7


GROWTH (CONT’D)

� Intensification / Redevelopment

- JV with SmartStop Asset Management progressing for self storage sites. Five sites in theGTA now moving forward with more sites to follow. First site closed in Q2 2018 (LeasideSmartCentre)

- agreements with Revera for a multi-site retirement homes development program movingforward. Additional sites with other organizations also under negotiation

- discussions with a number of potential partners to consider residential (includingcondominium, rental and single family homes), and other potential uses on existing retailsites underway

- first six Tesla charging stations now open, with a further 15 sites being planned, as part ofa comprehensive strategy to incorporate value-added services to many of the properties inthe retail portfolio

- in excess of 56 sites now under consideration for development / intensification (up frominitial 30), with initial planning for others underway

� Acquisitions

- the acquisition of a property in June 2018 located in Valleyfield, Quebec, totalling 54,000square feet of leasable area for a total purchase price of $15.7 million

- the acquisition of 12 properties as part of the OneREIT transaction in October 2017continues to deliver the expected benefits


8


CAPITAL ACTIVITIES

� Leverage at 44.7% of FMV, increased from 43.9% in 2017 as a result of the OneREITtransaction

� Total debt weighted average interest rate of 3.75% (3.78% in 2017)

� Interest coverage at 3.1X (3.1X in 2017)

� Unencumbered asset pool in excess of $3.9 billion, providing significant future flexibility. Poolcontains high quality assets

� Rebalancing between unsecured and secured debt continues and expected to be atapproximately 50:50 by year-end based on current financing strategy

� Announced annual distribution increase for October 2018 to $1.80 from $1.75, representing a2.9% increase

� Completed construction financing for:

- Transit City condos (first three residential towers) - joint venture with Mitchell Goldhar andCentreCourt

- Transit City parkade (commercial portion) - joint venture with Mitchell Goldhar

- PwC-YMCA tower (second office tower) - joint venture with Mitchell Goldhar

- Orleans II (Phase I retail) - joint venture with Mitchell Goldhar

� Actively pursuing financing for:

- Laval Centre (two residential rental towers) - joint venture with Jadco

- Self storage facilities (multiple locations) - joint venture with SmartStop

- Permanent long-term mortgage financing for the KPMG Tower


9


2018 OUTLOOK

� 2018 operating FFO expected to grow by approximately 7 cents, based on:

- same property growth

- full year of NOI from 2017 acquisitions and partial year from any potential 2018acquisitions

- full year of refinancing benefits from 2017 and further 2018 benefits

- developments and earnouts including completion of the Toronto Premium Outletsexpansion

- ongoing settlement of long-standing tenant issues

- 2018 transactional activities expected to add a further 3 cents of FFO

- expenditures on acquisitions in the $100 million - $125 million range

LONG TERM OUTLOOK

� FFO growth rate expected to increase in 2019 to 4% - 5%, reflecting the benefit of a full year ofthe Toronto Premium Outlets expansion, additional leasing at VMC, and other initiatives as wellas further transactional FFO

� For 2020, FFO growth rate expected to accelerate to in excess of 10% as initial benefits ofsignificant development in townhomes and condominiums are realized

10


LOOKING BEYOND

VAUGHAN METROPOLITAN CENTRE

Vaughan Metropolitan Centre - aerial overlaid with a

rendering of the first three Transit City condominiums

VMC - Artist’s rendering of the PwC-YMCA Tower to open Fall 2019

Artist's rendering of Transit City from the east block of VMC

VMC - construction of the PwC-YMCA Tower

11


LOOKING BEYOND

Toronto Premium Outlets - Expansion Opening in November 2018

Potential Single Family Development in Vaughan NW

Pointe-Claire – Concept Plan

12


LOOKING BEYOND

Laval Centre – Concept Plan

Laval Centre - Artist's rendering of the Apartment Buildings

13


LOOKING BEYOND

Retirement Homes with Revera

Self Storage with SmartStop

(1) Anchors are defined as tenants within a property with leasable area greater than 30,000 square feet.(2) Includes the Trust’s share of equity accounted investments.(3) Includes convertible debentures and acquisition date fair value adjustments.(4) Excludes acquisition date fair value adjustments.(5) Calculated as debt divided by Aggregate Assets plus accumulated amortization less cumulative unrealized fair value gain or loss with respect to investment

property. The ratio is used by the Trust to manage an acceptable level of leverage and is not considered a measure in accordance with IFRS.(6) Defined as Adjusted EBITDA over interest expense, where interest expense excludes the distributions on deferred units and LP Class D Units classified as

liabilities and adjustments relating to the early redemption of unsecured debentures. The ratio is used by the Trust to manage an acceptable level of interestexpense relative to available earnings and is not considered a measure in accordance with IFRS.

(7) Defined as debt divided by Adjusted EBITDA. The ratio of total debt to Adjusted EBITDA is included and calculated each period to provide information on thelevel of the Trust’s debt versus the Trust’s ability to service that debt. Adjusted EBITDA is used as part of this calculation because the fair value changes andgains and losses on investment property dispositions do not have an impact on cash flow, which is a critical part of this measure (see “Financial Covenants”section).

(8) Total Units outstanding include Trust Units and LP Units, including Units classified as liabilities. LP Units classified as equity in the consolidated financialstatements are presented as non-controlling interests.

(9) Represents a non-GAAP measure. The Trust’s method of calculating non-GAAP measures may differ from other reporting issuers’ methods and accordinglymay not be comparable. For definitions and basis of presentation of the Trust’s non-GAAP measures, refer to the “Presentation of Non-GAAP Measures”section in the MD&A.

(10) See “Other Measures of Performance” in the MD&A for the three and six months ended June 30, 2018 for a reconciliation of these measures to the nearestconsolidated financial statement measure.

(11) The calculation of the Trust’s ACFO and related ACFO payout ratio, including comparative amounts, is a new financial metric pursuant to the February 2018REALpac White Paper on ACFO. Comparison with other reporting issuers may not be appropriate. Payout ratio is calculated as declared distributions dividedby ACFO.

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PORTFOLIO HIGHLIGHTS

As atJune 30, 2018

As atJune 30, 2017

in $000s, except for Unit and other non-financial data)

Number of retail and other properties 154 143

Number of properties under development 7 7

Number of office properties 1 1

Number of mixed-use properties 2 1

Total number of properties owned 164 152

Number of Walmarts / Supercentres 101 / 96 95 / 90

Number of Walmarts / Supercentres (including shadows) 115 / 109 109 / 103

Gross leasable area (sq. ft.) 34,207,341 31,940,116

Total GLA in Walmart anchored centres (sq. ft.) 28,540,589 27,362,648

Future estimated development area (sq. ft.) 4,045,563 4,089,000

Occupancy 98.0% 98.4%

Occupancy including executed leases 98.2% 98.5%

Average lease term to maturity 5.7 years 6.0 years

Net rental rate (per occupied sq. ft.) $15.29 $15.24 Net rental rate excluding anchors (per occupied sq. ft.) (1) $21.62 $21.80 Investment properties (2) 9,046,739 8,453,702Total assets 9,513,881 8,843,016Debt (2)

4,296,836 3,909,966Total debt – Weighted average interest rate (3) 3.75% 3.78%Secured debt – Weighted average contractual interest rate (4) 3.82% 3.77%Secured debt – Weighted average maturity 4.4 years 4.8 yearsDebt to aggregate assets 44.7% 43.9%Debt to gross book value (5) 51.4% 51.5%Secured debt to aggregate assets 23.6% 27.6%Unencumbered assets to unsecured debt 1.9X 2.0XInterest coverage (6)

3.1X 3.1XDebt to adjusted EBITDA (7) 8.5X 8.4XEquity (book value) 4,921,463 4,739,552Units outstanding (8) 160,704,177 156,455,314

Three months endedJune 30, 2018

Three months endedJune 30, 2017

FFO with one-time adjustment and before transactional FFO (2)(9)(10) $0.57 $0.55

FFO with one-time adjustment and transactional FFO (2)(9)(10) $0.59 $0.57

Payout ratio to ACFO (2)(9)(10) 79.9% 78.6%

Payout ratio to ACFO with one-time adjustment (2)(9)(10)(11) 79.9% 78.4%

Surplus of ACFO with one-time adjustment over distributions declared 17,721 18,372

15


DISTRIBUTION REINVESTMENT PLAN

Unitholders who elect to participate will have their monthly cash distributions automaticallyreinvested in units of SmartCentres at a price equal to 97% of the average TSX market priceover the 10 business days preceding the monthly distribution date.

SmartCentres' DRIP will be administered by Computershare Trust Company of Canada.Interested unitholders can also obtain an information package and the necessary registrationforms from, or direct any inquiries/concerns regarding the DRIP to, Computershare TrustCompany of Canada via telephone at 1-800-564-6253 or via mail at:

SmartCentres Real Estate Investment Trustc/o Computershare Trust Company of Canada100 University Avenue, 9th FloorToronto, ON, M5J 2Y1CanadaAttention: Dividend Reinvestment Department

DISTRIBUTION HISTORY

Per unit, paid monthly

2018($)

2017($)

2016($)

2015($)

2014($)

January 0.14583 0.14167 0.13750 0.13340 0.12900

February 0.14583 0.14167 0.13750 0.13340 0.12900

March 0.14583 0.14167 0.13750 0.13340 0.12900

April 0.14583 0.14167 0.13750 0.13340 0.12900

May 0.14583 0.14167 0.13750 0.13340 0.12900

June 0.14583 0.14167 0.13750 0.13340 0.12900

July 0.14167 0.13750 0.13340 0.12900

August 0.14167 0.13750 0.13340 0.12900

September 0.14167 0.13750 0.13340 0.12900

October 0.14583 0.14167 0.13750 0.13340

November 0.14583 0.14167 0.13750 0.13340

December 0.14583 0.14167 0.13750 0.13340

Total 0.87498 1.71252 1.66251 1.61310 1.56120

16


PERFORMANCE OF SMARTCENTRES UNITS

AVERAGE UNIT TRADING PRICE

Per unit

2018($)

2017($)

2016($)

2015($)

2014($)

1st Quarter 29.76 32.47 31.33 30.17 25.37

2nd Quarter 29.35 32.22 34.78 29.45 26.52

3rd Quarter 30.66 36.59 29.75 26.23

4th Quarter 29.81 31.96 31.33 27.14

YTD / Annual 29.57 31.39 33.42 30.29 26.31

Closing trading price at end of period

30.53 30.91 32.29 30.19 27.30

AVERAGE DAILY VOLUME OF UNITS TRADED

2018($)

2017($)

2016($)

2015($)

2014($)

1st Quarter 237,282 221,865 288,045 200,374 199,418

2nd Quarter 193,917 274,092 198,964 242,372 185,756

3rd Quarter 181,862 226,367 218,051 156,254

4th Quarter 215,099 278,983 334,127 184,375

Annual 215,256 223,428 247,612 248,924 181,379

MARKET CAPITALIZATION SUMMARY

Date Total Units Outstanding (1) Share price per Unit($)

Market Capitalization($)

June 30, 2018 160,704,177 30.53 4,906,298,524

December 31, 2017 159,720,126 30.91 4,936,949,095

December 31, 2016 155,686,295 32.29 5,027,110,466

December 31, 2015 154,088,207 30.19 4,651,922,969

December 31, 2014 136,315,194 27.30 3,721,404,796

(1) Total Units outstanding include Trust Units and LP Units, including LP Units classified as liabilities. LP Units classified as equity in the

consolidated financial statements are presented as non-controlling interests.

17


GROSS REVENUE AND AREA BY PROVINCE

GROSS REVENUE BY PROVINCE

1 - Ontario - 61.9%

2 - Quebec - 14.3%

3 - British Columbia - 8.4%

4 - Saskatchewan - 3.9%

5 - Manitoba - 3.4%

6 - Alberta - 3.3%

7 - Newfoundland and Labrador - 2.8%

8 - Nova Scotia - 0.9%

9 - New Brunswick - 0.7%

10 - Prince Edward Island - 0.4%

GROSS AREA BY PROVINCE

1 - Ontario - 58.3%

2 - Quebec - 15.3%

3 - British Columbia - 9.1%

4 - Alberta - 4.3%

5 - Saskatchewan - 4.3%

6 - Manitoba - 3.3%

7 - Newfoundland and Labrador - 3.0%

8 - Nova Scotia - 0.9%

9 - New Brunswick - 0.8%

10 - Prince Edward Island - 0.7%

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TOP 25 TENANTS

Rank TenantNumber of

Stores Gross Rental

Revenues(%)

Average Remaining

Lease Term(years)

1 Walmart 101 25.8 6.7

2 Canadian Tire, Mark's and FGL Sports 71 4.5 5.2

3 Winners, HomeSense, Marshalls 53 4.1 4.9

4 Loblaws and Shoppers Drug Mart 24 2.8 7.4

5 Lowe's, RONA 9 2.4 5.9

6 Sobeys 18 2.3 4.8

7 Reitmans 94 2.1 2.7

8 Best Buy 22 1.8 2.4

9 Dollarama 52 1.7 4.1

10 Michaels 25 1.5 3.8

11 LCBO 34 1.5 7.2

12 Recipe Unlimited (formerly Cara Restaurants) 51 1.3 5.9

13 Staples 21 1.3 3.4

14 Bonnie Togs 46 1.1 4.6

15 Bulk Barn 52 1.0 5.9

16 Gap Inc. 23 1.0 2.8

17 The Brick 9 1.0 3.2

18 Toys R Us 7 0.9 6.9

19 CIBC 27 0.9 2.8

20 Dollar Tree and Dollar Giant 27 0.8 4.5

21 Metro 8 0.8 3.9

22 Sail 4 0.8 8.3

23 GoodLife Fitness Clubs 11 0.8 8.1

24 Sleep Country 35 0.8 4.1

25 Pacific West 37 0.8 4.9

Total 861 63.8 5.9

19


LEASE EXPIRATION SCHEDULE

Year of ExpiryNumber

of Stores Area(sq. ft.)

Area(%)

Annualized Base Rent

($)

AverageRent

($ psf)

Month-to-month and holdovers 106 370,857 1.1 6,844,935 18.46

2018 (remainder of year) 157 639,725 1.9 13,172,252 20.59

2019 442 3,052,962 8.9 45,537,799 14.92

2020 425 3,764,953 11.0 54,991,330 14.61

2021 415 3,804,009 11.1 54,706,721 14.38

2022 409 4,364,713 12.8 62,673,173 14.36

2023 471 4,148,452 12.1 69,261,990 16.70

2024 245 2,475,020 7.2 41,691,176 16.84

2025 141 1,582,924 4.6 21,719,175 13.72

2026 156 1,486,152 4.3 26,093,662 17.56

2027 139 2,254,683 6.6 33,291,361 14.77

2028 103 1,245,840 3.6 21,255,285 17.06

2029 28 1,601,544 4.7 19,828,366 12.38

2030 14 639,254 1.9 10,421,256 16.30

2031 15 480,449 1.4 8,190,515 17.05

2032 8 844,086 2.5 12,401,109 14.69

2033 6 228,456 0.7 3,084,764 13.50

Beyond 6 554,760 1.6 7,566,525 13.64

Vacant 204 668,502 2.0 — —

Total 3,490 34,207,341 100.0 512,731,394 15.29

Weighted Average Lease Expiry by area = 5.6 years

20


AREA BY AGE

Age Area(sq. ft.)

Area(%)

2002 - present 25,235,426 73.8

1995 - 2001 7,466,346 21.8

Before 1995 1,505,569 4.4

Total 34,207,341 100

Portfolio of high quality, newly developed assets with anaverage age of 14.3 years and minimal capital expenditurerequirements.

21


FUTURE EARNOUTS AND DEVELOPMENTS

Year Area(sq. ft.)

TotalArea(%)

Income($000s)

GrossCommitment

($000s)

InvestedTo-date($000s)

NetCommitment

($000s)

Yield /Cap Rate

(%)

EARNOUTSCommitted Earnouts

2018 18,950 0.5% 294 4,170 365 3,805 7.1%

2019 and beyond 26,913 0.6% 723 10,066 2,314 7,752 7.2%

Subtotal Committed Earnouts 45,863 1.1% 1,017 14,236 2,679 11,557 7.1%

Uncommitted Earnouts

2018 - 0.0% - - - - 0.0%

2019 and beyond 470,270 11.6% 9,307 139,621 5,296 134,325 6.7%

Subtotal Uncommitted Earnouts 470,270 11.6% 9,307 139,621 5,296 134,325 6.7%

Total Earnouts 516,133 12.7% 10,324 153,857 7,975 (1) 145,882 6.7%

DEVELOPMENTSCommitted Developments

2018 184,880 4.6% 7,542 98,952 (2) 55,454 (2) 43,498 7.6%(3)

2019 and beyond 112,399 2.7% 2,485 45,352 (2) 28,657 (2) 16,695 5.5%(3)

Subtotal Committed Developments 297,279 7.3% 10,027 144,304 84,111 60,193 6.9%

Uncommitted Developments

2018 65,936 1.6% 1,895 29,518 (2) 22,741 (2) 6,777 6.4%(3)

2019 and beyond 3,166,215 78.3% 61,571 1,069,494 (2) 453,216 (2) 616,278 5.8%(3)

Subtotal Uncommitted Developments 3,232,151 79.9% 63,466 1,099,012 475,957 623,055 5.8%

Total Developments (4) 3,529,430 87.2% 73,493 1,243,316 560,068 (1) 683,248 5.9%

Total Earnouts and Developments 4,045,563 100.0% 83,817 1,397,173 568,043 829,130 6.0%

Non-cash Development Cost (5) 14,229

Land / Parcel Sales 9,282

Vaughan Metropolitan Centre (“VMC”) (6) 57,717 (1)

Total before Mezzanine Financing 4,045,563 100.0% 83,817 1,397,173 649,271 (1) 829,130 6.0%

Options through Mezzanine Financing (7) 614,711

Total Potential Pipeline 4,660,274

(1) Under “Properties Under Development” in the MD&A for the three and six months ended June 30, 2018, Earnouts of $49,802, Developments of $498,478 and Investments inassociates relating to VMC of $100,991 comprise the total amount of $649,271. The amounts in the chart above have been adjusted for i) Earnouts that are expected to becompleted after the expiry of the Earnout options being reclassified as Developments and ii) the first phases of VMC relating to the office complexes referred to in Note 4 have beenincluded as Developments.

(2) Includes fair value adjustment for land.(3) On a cost basis, the yield would be 7.4%, 5.5%, 5.8%, and 5.2%, respectively.(4) Includes the Trust’s 50% ownership of the office complex in VMC with KPMG as lead tenant and a second office complex with PwC as lead tenant, scheduled to be completed by

2019.(5) Represents net liability currently recorded.(6) Future development lands relating to the Trust’s 50% ownership of the VMC, but excluding the office complexes in Note 4.

Estimated Costs ($M) Estimated Gain on Final Sale

Site Project TypeGLA

('000sf) / Units

SRU % Share

100%Share

SRU Share

NOI at100%($M)

NOI atSRU Share

($M)

Completion Year Yield Profit %

SRU Share Timing

1. VMC (Office Towers)(1)

a. KPMG (T#1)b. PWC (T#2)c. Office (T#3)d. Office (T#4)

OfficeOfficeOfficeOffice

360sf105sf600sf300sf

50%50%50%50%

$180.0$65.0

$310.0$175.0

$90.0$32.5

$155.0$87.5

$10.2$3.0$17.4$9.6

$5.1$1.5$8.7$4.8

2016201920232025

5.7%4.5%-5.5%5.0%-6.0%5.0%-6.0%

————

————

————

2. Toronto Premium Outlets

(2)Phase II (JV) Retail 144sf 50% $133.0 $66.5 $10.9 $5.4 Nov 2018 8.0%-8.5% — — —

3. Montreal Premium Outlets

(2)Phase II (JV) Retail 140sf 50% $56.0 $28.0 $5.6 $2.7 2022-2023 9%-10% — — —

4. New Premium Outlets Premium (JV) Retail 360sf 50% $136.0 $68.0 $11.7 $5.9 2020 8.0%-8.5% — — —

5. Laval Centre(4)

Jadco (2 Bldgs) Apartments 338 Units 50% $76.5 $38.3 $4.3 $2.2 2019-2020 5.6% — — —

6. VMC (Condos)(4)

CentreCourtCentreCourtCentreCourtCondo

Condo #1Condo #2Condo #3Condo #4 & 5

551 Units559 Units606 Units

1,100 Units

25%25%25%25%

$181$189$190$380

$45.25$47.25$47.5$95.0

N/AN/AN/AN/A

N/AN/AN/AN/A

2020202020212023

N/AN/AN/AN/A

25%-30%25%-30%20%-25%20%-25%

25%25%25%25%

2020202020212023

7. Vaughan NW Fieldgate Townhomes 229 Units 50% $152.0 $76.0 N/A N/A 2020-2021 N/A 20%-25% 50% 2020-2021

8. Ottawa Laurentian(4)

JV Partner (2 Bldgs)

Apartments 300 Units 25% $86.0 $21.5 $4.9 $1.23 2020-2021 5.5%-6.5% — — —

9. Multiple Locations(4)

Self Storage (JV) Self Storage (4 to 5 new facilities each year)

500sf built per year in

each of years 1-5

50% $52M per year in each of

years 1-5

$26M per year in each of

years 1-5

$4.8M net new NOI

commences annually on

stabilization (3)

$2.4M net new NOI

commences annually on

stabilization (3)

2019-2023 7.0%-8.5% — — —

10. StudioCentre(Toronto)

SRU-Penguin JV Mixed-Use (Office, Studio, Hotel)

150sf 50% $53.0 $26.5 $3.4 $1.71 2019-2022 6.0%-7.0% — — —

22


MAJOR MIXED-USE REAL ESTATE INITIATIVES

Estimated Costs ($M) Estimated Gain on Final Sale

Site Project TypeGLA

('000sf) / Units

SRU % Share

100%Share

SRU Share

NOI at100%($M)

NOI atSRU Share

($M)

Completion Year Yield Profit %

SRU Share Timing

11. VMC (Apartments)(4)

VMC Rental Apartments

Apartments 221 Units 25% $113.6 $28.4 $5.6 $1.4 2021-2022 4.9% — — —

12. Pointe-Claire (Apartments)

(4)Rental Apartments (2 Bldgs)

Apartments 486 Units 50% $154.8 $77.4 $7.2 $3.6 2023-2024 4.7% — — —

13. Pointe-Claire (Condo)

(4)Condo Condo 194 Units 50% $54.8 $27.4 N/A N/A 2021 N/A 10%-15% 50% 2021

14 Multiple Locations(4)

Retirement Homes (JV)

Retirement Homes (3 to 5 new facilities each year)

600sf built per year in

each of years 1-5

50% $70M per year per site in

each of years 1-5

$35M per year per site in

each of years 1-5

$4.2M-$5.6M net new NOI commences annually on

stabilization (3)

$2.1M-$2.8M net new NOI commences annually on

stabilization (3)

2022-2024 6.0%-8.0% — — —

23


MAJOR MIXED-USE REAL ESTATE INITIATIVES

Notes:(1) KPMG and PwC-YMCA towers are included in the future development pipeline as Developments.(2) The Phase II expansions for both the Toronto Premium Outlets and the Montreal Premium Outlets are included in the future development pipeline as Developments.(3) Stabilization is estimated to be 2 to 3 years after completion.(4) Estimated Transactional FFO Gains on Sale related to parcel sales of land into Joint Ventures estimated at 1%-2% of annual FFO at SmartCentres' ownership share.

In addition to the projects set out in the table above (with the exception of the projects listed in Notes 1 and 2), SmartCentres' pipeline also includes approximately 4.0 million square feet of futuredevelopments as set out in the table shown on the “Future Earnouts and Developments” section . Also in addition to the above, SmartCentres has a further mixed-use development pipeline estimated at 4million square feet in projects that are underway or active. Further, SmartCentres will initiate activities in the short-term to work towards development of a further estimated 12.5 million to 15 million squarefeet in mixed-use initiatives that will be completed in the longer-term.

24


RECOURSE LOANS TO DEVELOPERS

ProjectLoan

Outstanding($000s)

Committed($000s)

Maturity DateInterest

Rate(%)

Option(%) (7)

TotalLeasable

Area upon Completion

(sq. ft.)

Potential Area Upon Exercising Purchase Option

(sq. ft.) (7)

Salmon Arm, BC (1)(2) 15,051 20,907 August 2018 4.82% — 215,431 —

Innisfil, ON (1)(3) 19,745 27,077 December 2020 3.65% — 139,744 —

Aurora (South), ON (4) 15,809 30,543 March 2022 4.48% 50% 192,000 —

Mirabel (Shopping Centre), QC (5) — 18,262 December 2022 7.50% — 256,000 96,500

Mirabel (Option Lands), QC (6) — 5,721 December 2022 7.50% — 178,068 —

Pitt Meadows, BC (4) 27,146 68,664 November 2023 4.92% 50% 75,000 —

Vaughan (7 & 427), ON 17,182 53,127 December 2023 6.06% 50% 302,029 37,500

Caledon (Mayfield), ON (4) 9,206 14,033 April 2024 4.77% 50% 203,730 101,865

Toronto (StudioCentre), ON (1)(4) 26,557 43,759 June 2024 4.74% 25% 911,322 227,831

Total 130,696 282,093 4.77%(8) 2,473,324 614,711

(1) The Trust owns a 50% interest in these properties, with the other 50% interest owned by Penguin. These loans are secured against Penguin's interest in the property.(2) Monthly variable rate based on a fixed rate of 6.35% on loans outstanding up to $7.2 million and banker's acceptance rate plus 1.75% on any additional loans above $7.2 million.(3) The monthly variable rate is based on the banker's acceptance rate plus 2.00%. The interest rate on this mortgage will reset in 2018 to the four-year Government of Canada bond

rate plus 4.0%, subject to a lower limit of 6.75% and an upper limit of 7.75%.(4) These loans were amended during the three months ended March 31, 2017. See the "Loan Amendments" section below for details.(5) The Trust owns a 33.3% interest in this property. The loan is secured against a 33.3% interest owned by Penguin, as well as a guarantee by Penguin.(6) The Trust owns a 25% interest in this property. The loan is secured against a 25% interest owned by Penguin, as well as a guarantee by Penguin.(7) The Trust has an option to purchase an additional purchase option percentage from the borrower in these properties upon a certain level of development and leasing being

achieved. As at December 31, 2017, it is management's expectation that the Trust will exercise these purchase options.(8) Represents the weighted average effective interest rate.

Note: Of the $151.4 million of remaining loan advances available, $74.5 million is set aside as interest accrual reserve.

25


INDIVIDUAL PROPERTY SUMMARY

Property Location Occupancy(%)

Owned RentableArea

(sq. ft.)

Owned RentableAnchor Area (1)

(sq. ft.)

Non-OwnedAnchor Area (1)

(sq. ft.)Anchors and Major Tenants

RETAIL PROPERTIES

BRITISH COLUMBIA

Chilliwack Mall Chilliwack, BC 98.6 126,625 46,544 — Safeway, Winners, Sport Chek

Courtenay SmartCentre Courtenay, BC 98.6 273,289 135,899 —Walmart Supercentre, Winners, Staples, Best Buy, Sport Chek, Mark's, Reitmans

Cranbrook SmartCentre Cranbrook, BC 100.0 164,025 107,158 185,556

Walmart Supercentre, Real Canadian Superstore*, Home Hardware*, Sport Chek, Dollar Tree

Cowichan Commons East Duncan, BC 93.7 249,677 188,680 235,732 Walmart Supercentre*, RONA*, Canadian Tire, Home Depot, Best Buy, Bulk Barn

Kamloops SmartCentre Kamloops, BC 96.7 232,800 143,619 —Walmart Supercentre, Michaels, Lordco Auto Parts, Pier 1 Imports, Sleep Country

Langley SmartCentre Langley, BC 99.3 351,225 255,527 172,161 Walmart Supercentre, Home Depot*, Save-on-Foods*, London Drugs, Home Outfitters, Best Buy

Maple Ridge SmartCentre Maple Ridge, BC 94.7 226,874 146,521 —Walmart Supercentre, Thrifty Foods, Westminster Savings Credit Union, Dollar Tree, Rexall

New Westminster SmartCentre

New Westminster, BC 89.3 409,249 159,449 —Walmart Supercentre, Home Outfitters, Tommy Hilfiger, The Gap, Carter's OshKosh

Peachtree Square Penticton, BC 95.0 54,915 — 175,000 Walmart Supercentre*, Sport Chek, Dollar Tree, Valley First Credit Union, Bulk Barn

Penticton Power Centre Penticton, BC 98.6 202,322 110,795 —Real Canadian Superstore, Staples, Winners, PetSmart, Sleep Country, TD Canada Trust

Prince George SmartCentre

Prince George, BC 96.5 313,390 165,350 204,247 Walmart Supercentre, Home Depot*, Canadian Tire*, Michaels, Old Navy, Mark's, Petland

Salmon Arm SmartCentre**

Salmon Arm, BC 100.0 67,324 48,345 —Walmart Supercentre, Winners, Dollarama, Bulk Barn

Surrey West SmartCentre Surrey, BC 99.4 188,264 133,943 —Walmart Supercentre, Dollar Tree, Ardene, Sleep Country, Reitmans, Carter's OshKosh

Vernon SmartCentre Vernon, BC 100.0 246,552 144,782 50,300 Walmart Supercentre, RONA*, Best Buy, Value Village, Mark's, Petland, Sleep Country

Subtotal British Columbia 96.6 3,106,531 1,786,612 1,022,996

26




Owned RentableArea

(sq. ft.)


(sq. ft.)



ALBERTA

Calgary Southeast SmartCentre

Calgary, AB 100.0 246,085 199,758 —Walmart Supercentre, London Drugs, Mark's, Reitmans, Carter's OshKosh, Bulk Barn

Edmonton East SmartCentre**

Edmonton, AB 100.0 180,100 94,835 —Walmart Supercentre, Safeway, Winners, Fit4Less, Petland, Dollarama

Edmonton Northeast SmartCentre

Edmonton, AB 98.4 274,353 161,925 —Walmart Supercentre, Your Dollar Store With More, Michaels, Bulk Barn, Moores, Penningtons

Lethbridge II SmartCentre Lethbridge, AB 100.0 53,392 40,373 — Sobeys

Lethbridge SmartCentre Lethbridge, AB 98.5 333,092 194,564 95,000 Walmart Supercentre, Home Depot*, Best Buy, Ashley Furniture, Mark's, Gap Outlet

St. Albert SmartCentre St. Albert, AB 98.8 251,329 197,101 91,737 Walmart Supercentre, Save-on-Foods*, RONA*, Dollarama, Canadian Western Bank

Sylvan Lake SmartCentre Sylvan Lake, AB 100.0 131,983 115,829 68,947 Walmart Supercentre, Canadian Tire*, Dollarama

Subtotal Alberta 99.2 1,470,334 1,004,385 255,684

SASKATCHEWAN

Golden Mile Shopping Centre

Regina, SK 93.9 259,242 93,938 —Loblaws, GoodLife Fitness, Rainbow Cinemas, Dollarama, Bison Liquor, RBC

Regina East SmartCentre (I)

Regina, SK 100.0 364,681 249,523 —Walmart Supercentre, HomeSense, London Drugs, Best Buy, Michaels, Pier 1 Imports

Regina East SmartCentre (II)

Regina, SK 98.6 198,134 107,608 130,000 RONA, Real Canadian Superstore*, Wholesale Sports, PetSmart, Old Navy, Petland

Regina North SmartCentre Regina, SK 98.3 276,251 206,339 —Walmart Supercentre, IGA, Mark's, Dollarama, TD Canada Trust, Reitmans, Bulk Barn

Saskatoon South SmartCentre

Saskatoon, SK 100.0 380,642 194,210 109,084 Walmart Supercentre, Home Depot*, HomeSense, The Brick, Ashley Furniture, Golf Town

Subtotal Saskatchewan 98.4 1,478,950 851,618 239,084

27




Owned RentableArea

(sq. ft.)


(sq. ft.)



MANITOBA

Kenaston Common SmartCentre

Winnipeg, MB 100.0 257,222 98,570 143,613 RONA, Costco*, Indigo Books, Golf Town, Petland, Nygard, CIBC, HSBC, RBC

Winnipeg Southwest SmartCentre

Winnipeg, MB 95.9 528,192 281,606 95,000 Walmart Supercentre, Home Depot*, Safeway, Home Outfitters, HomeSense, Urban Planet

Winnipeg West SmartCentre

Winnipeg, MB 98.0 354,679 171,146 75,240 Walmart Supercentre, Canadian Tire*, Sobeys, Winners, Value Village, Sport Chek, Staples

Subtotal Manitoba 97.5 1,140,093 551,322 313,853

ONTARIO

Alliston SmartCentre Alliston, ON 100.0 170,770 151,709 —Walmart Supercentre, Dollarama, Tim Hortons

Ancaster SmartCentre Ancaster, ON 99.2 264,785 163,794 74,018 Walmart Supercentre, Canadian Tire*, Winners, GoodLife Fitness, Bouclair, Dollar Tree

Aurora North SmartCentre(2) Aurora, ON 99.0 509,325 313,637 —

Walmart Supercentre, RONA, Best Buy, Golf Town, LCBO, Dollarama, RBC, TD Canada Trust

Aurora SmartCentre Aurora, ON 100.0 51,186 — —Winners, Healthy Planet, Bank of Nova Scotia

Barrie Essa Road Shopping Centre(2) Barrie, ON 92.3 104,926 35,152 —

Food Basics, Pharma Plus, Dollarama, Anytime Fitness, Pet Valu, Tim Hortons

Barrie North SmartCentre Barrie, ON 97.6 234,700 160,727 81,373 Walmart Supercentre, Loblaws*, Old Navy, Carter's OshKosh, Addition-Elle, Reitmans

Barrie South SmartCentre(2) Barrie, ON 98.5 389,561 243,629 —

Walmart Supercentre, Sobeys, Winners, La-Z-Boy, PetSmart, Stitches, Dollar Tree

Bolton SmartCentre Bolton, ON 99.2 242,444 161,864 —Walmart Supercentre, LCBO, Mark's, The Beer Store, Reitmans

Bracebridge SmartCentre Bracebridge, ON 100.0 142,501 115,779 90,000 Walmart Supercentre, Home Depot*, Dollar Tree, Boston Pizza, Bulk Barn

28




Owned RentableArea

(sq. ft.)


(sq. ft.)



Bradford SmartCentre Bradford, ON 100.0 241,701 168,571 —Walmart Supercentre, GoodLife Fitness, Dollarama, Bulk Barn, CIBC, RBC

Bramport SmartCentre Brampton, ON 98.7 163,450 45,877 37,082 LA Fitness, Value Village, LCBO, Dollarama, Swiss Chalet, CIBC, Bank of Montreal

Bramport SmartCentre (II) Brampton, ON 100.0 37,857 37,857 — No Frills

Brampton East SmartCentre

Brampton, ON 100.0 360,695 243,610 —Walmart Supercentre, The Brick, Winners, Staples, Mark's, Dollar Tree, Carter's OshKosh

Brampton North SmartCentre

Brampton, ON 77.1 58,794 — 62,496 Fortinos*, Shoppers Drug Mart, RBC

Brampton Northeast SmartCentre

Brampton, ON 100.0 233,197 153,455 —Walmart Supercentre, GoodLife Fitness, LCBO, Dollarama, CIBC, Bank of Nova Scotia, RBC

Kingspoint Shopping Centre

Brampton, ON 98.2 204,113 78,307 —Giant Tiger, GoodLife Fitness, Shoppers Drug Mart, The Beer Store

Brockville SmartCentre Brockville, ON 100.0 144,084 — 322,054 Walmart Supercentre*, Real Canadian Superstore*, Home Depot*, Winners, Michaels, LCBO

Burlington (Appleby) SmartCentre

Burlington, ON 100.0 151,115 100,646 —Toys R Us, LA Fitness, Shoppers Drug Mart, Golf Town, Bank of Montreal

Burlington North SmartCentre

Burlington, ON 100.0 226,451 161,127 —Walmart Supercentre, Dollar Tree, Reitmans, Moores, Bank of Nova Scotia

Cambridge SmartCentre(I)(2) Cambridge, ON 93.9 744,334 323,394 —

Walmart Supercentre, RONA, LA Fitness, Best Buy, Staples, Bed Bath & Beyond, Michaels

Cambridge SmartCentre (II)

Cambridge, ON 66.6 23,938 — 224,695 Canadian Tire*, Home Depot*, Henry's Photography, Allstate Insurance

Carleton Place SmartCentre

Carleton Place, ON 97.9 148,885 115,811 —Walmart Supercentre, Dollarama, Mark's, Bulk Barn

Chatham SmartCentre** Chatham, ON 99.3 154,545 101,053 91,275

Walmart Supercentre, Real Canadian Superstore*, Winners, Mark's, PetSmart, Dollarama, LCBO

Cobourg SmartCentre Cobourg, ON 99.0 197,928 142,634 85,433 Walmart Supercentre, Home Depot*, Winners, Dollar Tree, Swiss Chalet

29




Owned RentableArea

(sq. ft.)


(sq. ft.)



Cornwall SmartCentre Cornwall, ON 100.0 171,176 154,510 —Walmart Supercentre, Dollar Tree, Bank of Montreal

Leaside SmartCentre(2) East York, ON 98.0 257,919 108,632 113,000 Home Depot*, Winners, Sobeys, Sport Chek, Best Buy, LCBO, Golf Town, RBC

Etobicoke (Index) SmartCentre

Etobicoke, ON 100.0 188,059 107,838 —Sail, Marshalls, PetSmart, Party Packagers, Structube, Bouclair, Penningtons

Etobicoke SmartCentre(2) Etobicoke, ON 100.0 294,734 199,824 135,000 Walmart Supercentre, Home Depot*, Best Buy, Winners, Old Navy, Mark's, Urban Barn

Rexdale SmartCentre Etobicoke, ON 100.0 35,174 — 126,083 Walmart Supercentre*, Dollarama, Bank of Nova Scotia

Fergus SmartCentre Fergus, ON 100.0 109,652 95,035 — Walmart Supercentre, LCBO

Fort Erie SmartCentre Fort Erie, ON 100.0 12,738 — 140,142 Walmart Supercentre*, No Frills*, LCBO, Bank of Nova Scotia

Guelph SmartCentre Guelph, ON 99.5 296,116 171,396 110,000 Walmart Supercentre, Home Depot*, HomeSense, Michaels, Dollarama, CIBC, RBC

Toronto Premium Outlets** Halton Hills, ON 99.6 180,332 — —Saks Fifth Avenue OFF 5TH, Polo Ralph Lauren, Restoration Hardware, Nike, Columbia, Coach

Hamilton South SmartCentre

Hamilton, ON 100.0 241,795 124,524 —Walmart Supercentre, Shoppers Drug Mart, LCBO, Dollarama, The Beer Store, CIBC

Huntsville SmartCentre Huntsville, ON 100.0 126,436 84,861 68,837 Walmart Supercentre, Your Independent Grocer*, Dollar Tree, Mark's, Reitmans

Kanata SmartCentre Kanata, ON 99.2 201,548 155,739 —Walmart Supercentre, Dollarama, Bulk Barn, CIBC, RBC

Laurentian Power Centre Kitchener, ON 100.0 35,200 — 220,978 RONA*, Zehrs*, Staples, CIBC

London East Argyle Mall(2) London, ON 99.0 424,934 224,281 —Walmart Supercentre, Toys R Us, No Frills, Winners, Staples, Sport Chek, GoodLife Fitness

30




Owned RentableArea

(sq. ft.)


(sq. ft.)



London North SmartCentre**

London, ON 99.3 250,118 131,671 108,262 Walmart Supercentre, Canadian Tire*, Marshalls, Winners, Sport Chek, HomeSense, Old Navy

London Northwest SmartCentre

London, ON 100.0 36,214 — 137,316 Lowe's*, Boston Pizza, Bank of Montreal, Montana's, Kelsey's, RBC

Markham East SmartCentre**

Markham, ON 100.0 69,008 61,207 —Walmart Supercentre, Dollar Tree, CIBC

Markham Woodside SmartCentre**

Markham, ON 100.0 179,950 80,385 —Home Depot, Longo's*, Winners, Staples, Chapters, Michaels, La-Z-Boy, LCBO

Milton Walmart Centre** Milton, ON 94.1 116,602 — 227,896 Walmart Supercentre*, Canadian Tire*, Sport Chek, Indigo, Michaels, Mark's, Staples, RBC

Burnhamthorpe SmartCentre

Mississauga, ON 87.1 199,970 — — Government, Swiss Chalet, Remax

Creekside Crossing** Mississauga, ON 100.0 120,017 91,385 —Walmart Supercentre, Costco, LCBO, Dollarama, The Beer Store, CIBC, TD Canada Trust, RBC

Mississauga (Erin Mills) SmartCentre(2) Mississauga, ON 96.3 290,562 171,973 —

Walmart Supercentre, No Frills, GoodLife Fitness, Shoppers Drug Mart, Dollarama

Mississauga (Go Lands) SmartCentre

Mississauga, ON 100.0 113,005 50,696 115,000 Real Canadian Superstore*, Toys R Us, Marshalls, Dollarama, TD Canada Trust

Mississauga (Meadowvale) SmartCentre(2) Mississauga, ON 93.5 557,845 319,275 —

Walmart Supercentre, RONA, Winners, Staples, Michaels, Mark's, PetSmart, LCBO

Niagara Falls SmartCentre Niagara Falls, ON 100.0 249,745 183,698 —Walmart Supercentre, PetSmart, Penningtons, Dollarama, LCBO, Sleep Country, Bulk Barn

401 & Weston Power Centre**

North York, ON 100.0 108,662 58,071 180,000 Real Canadian Superstore*, Canadian Tire, The Brick, Best Buy, LCBO, Mark's, Dollar Tree

Oakville SmartCentre(2) Oakville, ON 100.0 461,226 314,588 —Walmart Supercentre, Real Canadian Superstore, LCBO, The Beer Store, The Keg, CIBC, RBC

South Oakville Centre Oakville, ON 100.0 179,386 41,289 —Metro, Winners, Shoppers Drug Mart, LCBO, The Beer Store, CIBC, TD Canada Trust

31




Owned RentableArea

(sq. ft.)


(sq. ft.)



Orillia SmartCentre Orillia, ON 100.0 241,659 165,902 —Walmart Supercentre, Winners, Staples, Michaels, Dollarama

Orleans SmartCentre (I) Orleans, ON 97.4 384,015 232,635 117,136 Walmart Supercentre, Canadian Tire*, Home Outfitters, Best Buy, Shoppers Drug Mart

Orleans SmartCentre (II)** Orleans, ON 100.0 27,306 — — Indigo Books, Marshalls

Oshawa North SmartCentre(2) Oshawa, ON 100.0 558,159 341,156 116,348

Walmart Supercentre, Real Canadian Superstore, Home Depot*, Marshalls, Sport Chek, Best Buy, Michaels

Oshawa North SmartCentre (II)

Oshawa, ON 100.0 163,259 34,109 —Home Outfitters, Winners, PetSmart, Party Packagers, Boston Pizza, TD Canada Trust

Oshawa South SmartCentre(2) Oshawa, ON 99.4 536,707 430,536 —

Walmart Supercentre, Lowe's, Sail, CIBC, Dollarama, Moores, Reitmans, RBC

Ottawa (Laurentian Place) SmartCentre**

Ottawa, ON 97.4 128,939 112,391 —Walmart Supercentre, Stantec, CIBC

Ottawa South SmartCentre**

Ottawa, ON 93.9 261,569 156,471 —Walmart Supercentre, Loblaws, Cineplex Odeon, Marshalls, Winners, Chapters

Owen Sound SmartCentre Owen Sound, ON 100.0 163,101 105,963 130,000 Walmart Supercentre, Home Depot*, Penningtons, Dollarama, Carter's OshKosh, Reitmans

Pickering SmartCentre(2) Pickering, ON 97.7 546,194 403,289 82,000 Walmart Supercentre, Lowe's, Sobeys, Canadian Tire*, Toys R Us, Winners, PetSmart, LCBO

Port Elgin SmartCentre Port Elgin, ON 100.0 115,524 115,524 — Walmart Supercentre

Port Perry SmartCentre Port Perry, ON 100.0 138,789 92,473 —Walmart Supercentre, LCBO, Dollarama, Mark's, Bulk Barn, Bank of Nova Scotia

Richmond Hill SmartCentre**

Richmond Hill, ON 99.3 136,306 94,458 —Walmart Supercentre, Food Basics, Shoppers Drug Mart, HSBC, Bank of Montreal

Rockland SmartCentre Rockland, ON 99.0 147,592 115,890 24,253 Walmart Supercentre, Rona*, Dollarama, LCBO, Boston Pizza

32




Owned RentableArea

(sq. ft.)


(sq. ft.)



Sarnia SmartCentre Sarnia, ON 99.4 342,617 214,513 —Walmart Supercentre, Winners, Michaels, PetSmart, LCBO, Dollarama, Penningtons

Scarborough (1900 Eglinton) SmartCentre(2) Scarborough, ON 98.7 380,090 254,693 —

Walmart Supercentre, Winners, Mark's, LCBO, David's Bridal, Bank of Montreal

Scarborough East SmartCentre

Scarborough, ON 100.0 282,156 225,385 —Walmart Supercentre, Cineplex Odeon, LCBO, Reitmans, Boston Pizza, Sleep Country

Simcoe SmartCentre Simcoe, ON 100.0 129,876 111,294 —Walmart Supercentre, LCBO, Dollar Tree

Hartzel Plaza St. Catharines, ON 100.0 67,972 34,522 —Food Basics, Provincial Government

Lincoln Value Centre St. Catharines, ON 93.0 327,596 214,891 —Walmart Supercentre, Canadian Tire, No Frills, Dollarama

St. Catharines West SmartCentre (I)

St. Catharines, ON 100.0 370,112 230,513 182,132 Walmart Supercentre, Real Canadian Superstore*, Canadian Tire*, Home Outfitters, Best Buy

St. Catharines West SmartCentre (II)

St. Catharines, ON 95.8 120,438 35,108 —The Brick, Michaels, Shoppers Drug Mart, Golf Town, Bouclair

St. Thomas SmartCentre St. Thomas, ON 96.4 224,390 138,567 196,212 Walmart Supercentre, Real Canadian Superstore*, Canadian Tire*, Staples, Dollar Tree

Centennial Parkway Plaza Stoney Creek, ON 90.0 114,042 39,271 —Food Basics, JYSK, King's Buffet, Salvation Army Thrift Store

Stoney Creek SmartCentre Stoney Creek, ON 100.0 257,064 228,795 —Walmart Supercentre, Toys R Us, Dollar Tree

Stouffville SmartCentre Stouffville, ON 100.0 162,968 69,283 162,633 Walmart Supercentre*, Canadian Tire, Winners, Staples, Dollarama, Bouclair, Bulk Barn

Sudbury South SmartCentre

Sudbury, ON 100.0 233,046 183,708 —Walmart Supercentre, LCBO, Mark's, Dollarama, Bouclair

Toronto Stockyards SmartCentre(2) Toronto, ON 100.0 8,615 — 128,194

Walmart Supercentre*, Bank of Montreal, CitiFinancial

33




Owned RentableArea

(sq. ft.)


(sq. ft.)



Westside Mall Toronto, ON 96.2 144,405 110,019 —Canadian Tire, FreshCo, Dollar Tree, Rogers, CIBC

Yorkgate Shopping Centre Toronto, ON 93.8 214,850 75,055 —No Frills, City of Toronto, Planet Fitness, Seneca College, Dollarama

Rutherford Village Shopping Centre

Vaughan, ON 96.7 104,301 48,890 —Sobeys, TD Canada Trust, Rogers Video, Tim Hortons

Vaughan (400 & 7) SmartCentre

Vaughan, ON 100.0 216,342 124,989 100,000 Sail, The Brick, Home Depot*, Value Village, GoodLife Fitness, Fabricland

Vaughan Northwest SmartCentre

Vaughan, ON 98.5 171,355 128,791 — Walmart Supercentre, CIBC

Waterloo SmartCentre Waterloo, ON 100.0 181,623 128,005 —Walmart Supercentre, Value Village, Mark's, Dollarama

Welland SmartCentre Welland, ON 100.0 240,663 221,327 100,667 Walmart Supercentre, Canadian Tire*, RONA, Mark's, Dollar Tree

Whitby North SmartCentre Whitby, ON 100.0 279,153 178,841 148,571 Walmart Supercentre, Real Canadian Superstore*, Mark's, LCBO, Bank of Nova Scotia

Whitby Northeast SmartCentre

Whitby, ON 100.0 39,249 — —Boston Pizza, Swiss Chalet, RBC, Popeyes

Whitby Shores Shopping Centre

Whitby, ON 100.0 85,602 39,919 —Metro, LCBO, Bank of Nova Scotia, Lovell Drugs, Pet Valu, Tim Hortons

Windsor South SmartCentre

Windsor, ON 99.6 230,509 129,121 —Walmart Supercentre, Part Source, Dollarama, PetSmart, Moores, The Beer Store, CIBC

Woodbridge SmartCentre** Woodbridge, ON 96.9 216,983 32,630 142,073 Canadian Tire*, Fortinos*, Winners, Best Buy, Toys R Us, Chapters, Michaels, Sport Chek

Woodstock SmartCentre Woodstock, ON 97.9 257,220 170,764 91,254 Walmart Supercentre, Canadian Tire*, Staples, Mark's, Carter's OshKosh, CIBC, Reitmans

Subtotal Ontario 98.3 19,661,764 11,719,202 4,472,413

34




Owned RentableArea

(sq. ft.)


(sq. ft.)



QUEBEC

Blainville SmartCentre Blainville, QC 100.0 197,812 131,537 —Walmart Supercentre, Winners, Dollarama, Bulk Barn, Bank of Nova Scotia, RBC

Hull SmartCentre** Hull, QC 100.0 161,239 80,824 326,717 Walmart Supercentre, Loblaws*, RONA*, Famous Players*, Super C*, Winners, Staples

Kirkland SmartCentre Kirkland, QC 100.0 207,216 202,271 — Walmart Supercentre, The Brick

Lachenaie SmartCentre** Lachenaie, QC 100.0 141,292 78,432 —Walmart Supercentre, HomeSense, Michaels, SAQ, Bouclair, Structube

Laval East SmartCentre Laval, QC 95.3 540,056 340,736 —Walmart Supercentre, Canadian Tire, IGA, Winners, Michaels, Bouclair, Dollarama, SAQ

Laval West SmartCentre Laval, QC 97.1 577,678 280,074 124,000 Walmart Supercentre, RONA, Canadian Tire*, IGA*, Archambault, Marshalls, Michaels

Mascouche North SmartCentre

Mascouche, QC 87.1 62,800 — 120,000 RONA*, Jean Coutu, Structube, SAQ, McDonald's, Bulk Barn

Mascouche SmartCentre Mascouche, QC 100.0 407,799 261,834 —Walmart Supercentre, IGA, Home Outfitters, Winners, Staples, Best Buy, Bouclair, Mark's

Montreal Premium Outlets**

Mirabel, QC 98.9 183,345 — —The Bay Outlet, Polo Ralph Lauren, Old Navy, Nike, Urban Planet, Tommy Hilfiger, Coach

Montreal (Decarie) SmartCentre**

Montreal, QC 96.4 132,434 83,858 —Walmart, Toys R Us, Ardene, Baton Rouge, Suzy Shier, P.F. Chang's, Bulk Barn

Montreal North SmartCentre

Montreal, QC 96.9 267,713 173,668 —

Walmart Supercentre, IGA, Winners, Dollarama, Sleep Country, Bulk Barn, TD Canada Trust

Place Bourassa Mall Montreal, QC 85.8 266,148 130,323 —Canadian Tire, Super C, Pharmaprix, L'Aubainerie, Yellow, Urban Depot, Ardene

Pointe Claire SmartCentre Pointe Claire, QC 98.5 384,915 234,402 —Walmart Supercentre, Home Depot, Marks, Dollarama, Baron Sports, Pier 1 Imports

Rimouski SmartCentre Rimouski, QC 98.9 243,740 127,087 104,973 Walmart Supercentre, Tanguay*, Super C*, Winners, Best Buy, SAQ, Dollarama, Clement, Scores

Saint-Constant SmartCentre

Saint-Constant, QC 98.8 361,611 202,613 95,000 Walmart Supercentre, Home Depot*, Super C, L’AubainerieConcept Mode, Michaels

35




Owned RentableArea

(sq. ft.)


(sq. ft.)



Saint-Jean SmartCentre Saint-Jean, QC 97.7 249,981 153,988 80,000 Walmart Supercentre, Maxi*, Michaels, Mark's, Bouclair, Reitmans, TD Canada Trust

Saint-Jerome SmartCentre Saint-Jerome, QC 100.0 164,001 44,856 246,705 Walmart Supercentre*, Home Depot*, IGA, Best Buy, Michaels, Bouclair, Dollarama

Sherbrooke SmartCentre Sherbrooke, QC 100.0 243,804 196,847 199,588 Walmart Supercentre, Canadian Tire*, Home Depot*, The Brick, Michaels, Mark's

Valleyfield Plaza Valleyfield, QC 100.0 54,193 — — Mark's, Bouclair, Sleep Country

Valleyfield SmartCentre Valleyfield, QC 100.0 188,252 133,439 —Walmart Supercentre, Dollarama, SAQ, Reitmans, Claire France, Yellow

Vaudreuil SmartCentre Vaudreuil-Dorion, QC 100.0 16,941 — 159,190 Walmart Supercentre*, Brunet, Coco Fruitti

Victoriaville SmartCentre Victoriaville, QC 100.0 37,784 — 289,519 Walmart Supercentre*, Home Depot*, Maxi*, Winners, Carter's OshKosh, Bulk Barn, Reitmans

Subtotal Quebec 97.6 5,090,754 2,856,789 1,745,692

NEW BRUNSWICK

Fredericton North SmartCentre

Fredericton, NB 100.0 11,390 — 274,906 Walmart Supercentre*, Canadian Tire*, Kent*, Dollarama

Saint John SmartCentre Saint John, NB 91.4 271,694 173,390 182,122 Walmart Supercentre, Kent*, Canadian Tire*, Winners, Best Buy, Old Navy, Pier 1 Imports

Subtotal New Brunswick 91.7 283,084 173,390 457,028

NOVA SCOTIA

Colby Village Plaza Dartmouth, NS 97.1 152,633 108,659 —Walmart, Atlantic Superstore, Cleve's Source for Sports, Pharma Save, Bank of Nova Scotia

Halifax Bayers Lake Centre Halifax, NS 96.4 167,921 35,635 80,000 Atlantic Superstore*, Bed, Bath and Beyond, Winners, Cleve's Warehouse Sporting Goods

Subtotal Nova Scotia 96.7 320,554 144,294 80,000

36




Owned RentableArea

(sq. ft.)


(sq. ft.)



PRINCE EDWARD ISLAND

Charlottetown SmartCentre Charlottetown, PE 100.0 225,057 127,159 80,000 Walmart Supercentre, Toys R Us*, Michaels, Best Buy, Old Navy, Gap Outlet

Subtotal Prince Edward Island 100.0 225,057 127,159 80,000

NEWFOUNDLAND

Corner Brook SmartCentre Corner Brook, NL 100.0 178,988 106,352 136,327 Walmart, Canadian Tire*, Dominion (Loblaw)*, Staples, Mark's, Buck or Two, Bulk Barn

Mount Pearl SmartCentre Mount Pearl, NL 100.0 268,534 161,001 174,047 Walmart, Dominion (Loblaw)*, Canadian Tire*, Staples, GoodLife Fitness, Mark's, CIBC

Pearlgate Shopping Centre Mount Pearl, NL 100.0 38,222 — —Shoppers Drug Mart, Bulk Barn, TD Canada Trust

St. John's Central SmartCentre

St. John's, NL 100.0 157,773 48,808 311,149 Walmart*, Home Depot*, Canadian Tire*, Sobeys, Staples, Mark's, Dollarama, Moores

St. John's East SmartCentre

St. John's, NL 99.5 371,343 128,273 102,818 Walmart, Dominion (Loblaw)*, Winners, Marshalls, Michaels, Sport Chek, Old Navy

Subtotal Newfoundland 99.8 1,014,860 444,434 724,341

Total Retail Properties 98.0 33,791,981 19,659,205 9,391,091

OFFICE PROPERTIES

British Colonial Building Toronto, ON 100.0 16,226 — — Irish Embassy Pubs

Total Office Properties 100.0 16,226 — —

37




Owned RentableArea

(sq. ft.)


(sq. ft.)



MIXED-USE PROPERTIES

Vaughan Metropolitan Centre

Vaughan, ON 100.0 239,355 121,673 —Walmart Supercentre, KPMG, GFL, FM Global, Miller Thomson LLP, Harley Davidson

Laval Centre Laval, QC 100.0 159,779 159,779 130,000 Walmart Supercentre, Leon's*

Total Mixed-Use Properties100.0 399,134 281,452 130,000

DEVELOPMENT PROPERTIES

Quesnel SmartCentre Quesnel, BC — — — 82,316 Walmart Supercentre*

Dunnville SmartCentre Dunnville, ON — — — 129,343 Canadian Tire*, Sobeys*

Innisfil SmartCentre** Innisfil, ON — — — — —

StudioCentre** Toronto, ON — — — — —

Jonquiere SmartCentre Jonquiere, QC — — — — —

Mirabel SmartCentre (I)** Mirabel, QC — — — — —

Mirabel SmartCentre (II)** Mirabel, QC — — — — —

Total Development Properties — — — 211,659

TOTAL PORTFOLIO 98.0 34,207,341 19,940,657 9,732,750

* Non-owned anchor.** The Trust has a partial ownership interest (the Trust owns a 25% interest in Mirabel SmartCentre (II), a 30% interest in Creekside Crossing, a 33.3% interest in Mirabel SmartCentre

(I), a 40% interest in Markham East SmartCentre, a 44.4% interest in 401 & Weston Power Centre, a 49.9% interest in Hull SmartCentre, a 60% interest in Orleans SmartCentre(II), and 50% interests in Chatham SmartCentre, Edmonton East SmartCentre, Innisfil SmartCentre, Lachenaie SmartCentre, London North SmartCentre, Markham WoodsideSmartCentre, Milton Walmart Centre, Montreal (Decarie) SmartCentre, Montreal Premium Outlets, Ottawa (Laurentian Place) SmartCentre, Ottawa South SmartCentre, RichmondHill SmartCentre, Salmon Arm SmartCentre, StudioCentre, Toronto Premium Outlets, Vaughan SmartCentre, and Woodbridge SmartCentre).

(1) Anchors are tenants in excess of 30,000 square feet.(2) Properties that the trust has a leasehold interest in.

GENERAL INFORMATION

38


Stock Exchange Listing: The Toronto Stock Exchange (TSX)

Trading Symbols: Trust Units SRU.UN5.50% Convertible Debentures SRU.DB.B

Corporate Office: SmartCentres Real Estate Investment Trust700 Applewood Crescent, Suite 200Vaughan, ON, L4K 5X3Canada

Tel: (905) 326-6400Fax: (905) 326-0783

Senior Management: Mitchell Goldhar Executive ChairmanPeter Forde President & CEOPeter Sweeney Chief Financial OfficerMauro Pambianchi Chief Development OfficerRudy Gobin EVP Portfolio Management & InvestmentsStephen Champion EVP Development

Transfer Agent & Registrar: Computershare Share Trust Company of Canada100 University Avenue, 9th FloorToronto, ON, M5J 2Y1

Auditors: PricewaterhouseCoopers LLPPwC Tower18 York Street, Suite 2600Toronto, ON, M5J 0B2

Legal Counsel: Osler, Hoskin & Harcourt LLP100 King Street West1 First Canadian PlaceSuite 4600, P.O. Box 50Toronto, ON, M5X 1B8

supplemental information package - home - smartcentres · 2018. 8. 9. · conference call...

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