CREATIVITY & CONNECTIVITY - February 2021 - Allied Properties REIT
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CREATIVITY & CONNECTIVITY February 2021
This presentation may contain forward looking information about
future events or Allied’s future performance. This information, by its
nature, is subject to risks and uncertainties that may cause actual
events or results to differ materially, including those described under
the heading “Risks and Uncertainties” in our most recently filed AIF.
Material assumptions that underpin any forward-looking statements
we make include those described under “Forward Looking Disclaimer”
in our MD&A for the fourth quarter of 2020.
2
TABLE OF CONTENTS Investment Highlights . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Rental Portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 Development Portfolio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38 Development Completions . . . . . . . . . . . . . . . . . . . . . . . . . 48 Risk Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55 Environmental, Social & Governance (ESG) . . . . . . . . . . 61 WiredScore . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64 Appendix Definitions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66
INVESTMENT HIGHLIGHTS
– At the forefront of urban intensification in
Canada’s major cities
– Fully internalized and entrepreneurial
management team
– Strong growth platform
– Strong financial foundation
– 27.9% compound annual growth rate on total assets
– 13.8% average annual total return
4
PORTFOLIO GROWTH - TOTAL ASSETS (M)
120M
IPO
9.4B
Q4 2020
27.9%
CAGR
Values up to December 31st, 2009 are based on financial reporting prepared in accordance with previous Canadian GAAP standards.
Values after that date are reported in accordance with International Financial Reporting Standards (IFRS).
As at period ending December 31, 2020.
5
RETURNS TO UNITHOLDERS
TOTAL RETURN INDEX
13.8%
AVERAGE ANNUAL
TOTAL RETURN
Source: Bloomberg as of January 29, 2021.
6
Strategy 7
CONSOLIDATION OF
URBAN OFFICE PROPERTIES
– Close to core
– Distinctive
– Lower occupancy costs
8
500-522 King West
Toronto
9
Le Nordelec
Montréal
1035-39 Front Street East
Toronto
1112
13
14
15
INTENSIFICATION OF URBAN
OFFICE PROPERTIES
– Underutilized land
– Additional rentable area
with low land cost
– Value creation
16Intensification
of QRC West
Toronto
17Intensification
of QRC West
Toronto
18Intensification of
The Breithaupt Block
Kitchener
19King Portland Centre
Toronto
20Rental Portfolio 21
RENTAL PORTFOLIO
202
PROPERTIES
14.0M
SQUARE FEET
VANCOUVER EDMONTON
642,720 SF 129,505 SF
MONTRÉAL
6,510,750 SF
TORONTO
4,723,451 SF
Including
Urban Data Centres
CALGARY
509,911 SF
1,190,587 SF
OTTAWA
231,468 SF
KITCHENER
562,125 SF
As of December 31, 2020.
22MONTRÉAL PORTFOLIO
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COLLEGE ST.
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N
DUFFERIN ST.
ANCILLARY PARKING
Little Italy DUNDAS ST. W.
BAY ST.
UNIVERSITY AVE.
SPADINA AVE.
CHURCH ST.
SHERBOURNE ST.
PARLIAMENT ST.
JARVIS ST.
QUEEN ST. W.
STRACHAN AVE.
RICHMOND ST. W.
RICHMOND ST. E. Corktown
YONGE ST.
ADELAIDE ST. W.
BATHURST ST.
Downtown East
KING ST. W. KING ST. E.
King West WELLINGTON ST. W.
Central St.Lawrence
Liberty Village Market
FRONT ST. W. Business
District
Entertainment
District
GARDINER EXPRESSWAY
LAKESHORE BLVD W.
QUEEN’S QUAY WEST
24CALGARY PORTFOLIO
CENTRE ST. S
Downtown
4 AVE SW
5 AVE SW
6 AVE SW Central
7 AVE SW Business
District N
8 AVE SW Stephen Ave.
9 AVE SW
10 AVE. SW
11 AVE. SW
12 AVE. SW
SE
3 ST. SE
OLYMPIC WAY SE
13 AVE. SW
E.
2 ST. SW
4 ST. SW
8 ST. SW
1 ST. SW
5 ST. SW
AV
1 ST. SE
Beltline Inglewood
12
9A
17 AVE. SW VE
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9 ST. SE
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20
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W 4TH AVE.
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Mt Pleasant
ONTARIO ST.
CARRAL ST.
26
QUEBEC ST.
COLUMBIA ST.
Gastown
MAIN ST.
SCOTIA ST.
E.
GORE AV
ALEXANDER ST.
VANCOUVER PORTFOLIO
DUNLEY ST.
POWELL ST.
KEEFER ST.
PRIOR ST.
UNION ST.
JACKSON AVE.
ST. GEORGE ST.
Railtown
PRINCESS AVE.
CAROLINA ST.
HEATLEY AVE.
FRASER ST.
HAWKS AVE.
E HASTINGS ST.
NURBAN WORKSPACE
TOP-TEN PROPERTIES
NORMALIZED APPRAISED
PROPERTY NAME LQA NOI FAIR VALUE CAP RATE PRINCIPAL USERS
CITÉ MULTIMÉDIA, MONTRÉAL $21,598 $421,530 4.75% Desjardins, Morgan Stanley, SAP Canada
700 DE LA GAUCHETIÈRE, MONTRÉAL 17,148 366,200 5.25% AON Canada Inc,
Autorité Régionale de Transport Métropolitain,
National Bank of Canada, Hydro-Québec
LE NORDELEC, MONTRÉAL 14,682 297,880 5.00% Gsoft, Unity Technologies, Yellow Pages Media
QRC WEST, TORONTO 12,846 289,020 4.25% eOne, Sapient Canada
747 RUE DU SQUARE VICTORIA, 11,012 276,000 —— C-Cap Commercial, Dussault Systèmes Canada,
MONTRÉAL Secretariat of the Convention on Biological Diversity,
Société Québecoise des Infrastructures
5455 DE GASPÉ, MONTRÉAL 9,006 144,540 5.00% Attraction Media, Framestore, Ubisoft
555 RICHMOND W, TORONTO 7,801 180,290 4.75% Centre Francophone de Toronto, Synaptive
375 WATER, VANCOUVER 6,871 225,000 —— Incognito Software Inc.,
Quarterdeck Brewing Co, Salesforce.com
KING PORTLAND CENTRE, TORONTO 6,556 163,980 3.81% Indigo, Shopify
5445 DE GASPÉ, MONTRÉAL 6,035 99,990 5.25% Ubisoft, Sun Life
TOTAL $113,555 $2,464,430 4.77%
As of December 31, 2020.
27NETWORK-DENSE
URBAN DATA CENTRES
NORMALIZED APPRAISED
PROPERTY NAME LQA NOI FAIR VALUE CAP RATE PRINCIPAL USERS
151 FRONT W, TORONTO $36,770 $593,610 5.00% Bell, Cologix, Equinix
250 FRONT W, TORONTO 15,448 332,500 5.75% AWS, Cloud Service Provider
905 KING W, TORONTO 4,437 98,530 5.75% Beanfield, Cloud Service Provider, Cologix
TOTAL $56,655 $1,024,640 5.32%
As of December 31, 2020.
28CONNECTIVITY
Source: PeeringDB.com
29INTERNET TRAFFIC ON TORIX
Year-Over-Year Traffic Trending
1,250
1,000
750
Gbps
500
250
0
2000 2005 2010 2015 2020 2025
Source: TorIX Website
Source: TorIX Website
30NOI BY SEGMENT NOI BY USE
16.3% 16.3%
NOI BY SEGMENT NOI BY USE
URBAN DATA CENTRES URBAN DATA CENTRES
41.3%
TORONTO 11.2%
AND CALGARY, 7.3%
KITCHENER EDMONTON RETAIL
AND
VANCOUVER 3.8%
PARKING
31.2%
Urban Data Centres Calgary, Edmonton and Vancouver Montréal and Ottawa
Toronto and Kitchener Urban Data Centres Retail Parking Office
MONTRÉAL
72.6%
AND OTTAWA
OFFICE
For the period ending December 31, 2020.
See definition appendix for definition of NOI.
31LEASE MATURITIES - URBAN WORKSPACE
% OF TOTAL GLA W/A RENTAL RATE ESTIMATED W/A MARKET RATE
25.0% $35.00
$30.00
20.0%
$25.25
$24.06
$25.00
$23.45
$24.41 $22.61
$22.17
$23.23
15.0% $22.14
$20.07
$20.00
$18.23
12.1%
10.5% 10.2% $15.00
10.0%
8.5%
6.4% $10.00
5.0%
$5.00
0.0% $0.00
December 31, 2021 December 31, 2022 December 31, 2023 December 31, 2024 December 31, 2025
1,408,892 1,632,001 1,371,176 861,278 1,144,633
SQUARE FEET
As of December 31, 2020.
This slide contains forward looking information.
32LEASE MATURITIES - URBAN WORKSPACE
MONTRÉAL AND OTTAWA
% OF SEGMENT GLA W/A IN-PLACE RENTAL RATE ESTIMATED W/A MARKET RENTAL RATE
25.0% $35.00
$30.00
20.0%
$25.00
15.0%
$18.83
$20.00
$17.94 $17.69
$17.45 $17.08
$16.62
$17.86 $17.03
10.7% $16.88 $16.82
$15.00
10.0% 9.6%
$10.00
6.2%
5.2%
5.0%
3.1% $5.00
0.0% $0.00
December 31, 2021 December 31, 2022 December 31, 2023 December 31, 2024 December 31, 2025
723,465 646,135 417,594 208,688 347,388
SQUARE FEET
As of December 31, 2020.
This slide contains forward looking information.
33LEASE MATURITIES - URBAN WORKSPACE
TORONTO AND KITCHENER
% OF SEGMENT GLA W/A IN-PLACE RENTAL RATE ESTIMATED W/A MARKET RENTAL RATE
25.0% $40.00
$35.00
$31.67
20.0% $30.58 $30.28
$29.11 $30.00
$27.46
$28.61
15.5% $25.36
$25.00
15.0% $25.78
$21.46 13.2%
$19.47 12.1% $20.00
10.0% 9.7%
8.7% $15.00
$10.00
5.0%
$5.00
0.0% $0.00
December 31, 2021 December 31, 2022 December 31, 2023 December 31, 2024 December 31, 2025
465,431 742,537 629,421 417,742 578,666
SQUARE FEET
As of December 31, 2020.
This slide contains forward looking information.
34LEASE MATURITIES - URBAN WORKSPACE
CALGARY, EDMONTON AND VANCOUVER
% OF SEGMENT GLA W/A IN-PLACE RENTAL RATE ESTIMATED W/A MARKET RENTAL RATE
25.0% $30.00
$26.47
$25.00
$23.51 $23.11
20.0%
$22.10
$20.89 $21.67 $21.15
$20.20
$20.00
16.5%
15.0%
$18.27
12.4%
12.0% $14.18 $15.00
11.2%
10.0% 11.1%
$10.00
5.0%
$5.00
0.0% $0.00
December 31, 2021 December 31, 2022 December 31, 2023 December 31, 2024 December 31, 2025
219,996 243,329 324,161 234,848 218,579
SQUARE FEET
As of December 31, 2020.
This slide contains forward looking information.
35LEASE MATURITIES - URBAN DATA CENTRES
% OF SEGMENT GLA W/A IN-PLACE RENTAL RATE ESTIMATED W/A MARKET RENTAL RATE
25.0% $160.00
$136.01
$140.00
20.0%
$124.66 $134.82
18.5%
$120.00
$107.52
$109.52 $100.60
$99.45
$106.81 $100.00
15.0%
$96.47 $86.18
$80.00
15.0%
10.6%
10.0%
$60.00
$40.00
4.8%
5.0%
$20.00
2.1%
0.0% $0.00
December 31, 2021 December 31, 2022 December 31, 2023 December 31, 2024 December 31, 2025
10,628 94,481 24,368 54,163 76,395
SQUARE FEET
As of December 31, 2020.
This slide contains forward looking information.
36TOP-TEN USERS
USER SECTOR % RENTAL REVENUE (Q4 2020)
49%
CLOUD SERVICE PROVIDER Data Centre/IT 4.5%
UBISOFT Gaming/IT 2.7%
COLOGIX Data Centre/IT 2.4%
2003
EQUINIX Data Centre/IT 2.1%
19.3%
SHOPIFY INC. Commerce/IT 1.5%
NATIONAL CAPITAL COMMISSION,
A CANADIAN CROWN CORPORATION Government 1.4%
Q4 2020
BELL CANADA Telecommunications 1.4%
MORGAN STANLEY Financial 1.3%
ENTERTAINMENT ONE Media/Entertainment 1.0%
TECHNICOLOR CANADA Media/Entertainment 1.0%
19.3%
As of December 31, 2020.
37Development Portfolio 38
ACTIVE DEVELOPMENT PIPELINE
% OF OFFICE % OF OFFICE
DEVELOPMENT DEVELOPMENT
2021 ESTIMATED PRE-LEASED 2023 ESTIMATED PRE-LEASED
GLA NOI GLA NOI
THE LOUGHEED 88,000 TBD — QRC WEST, PHASE II 90,000 $4.2M —
COLLEGE & MANNING* 27,000 $1.1M — KING TORONTO* 100,000 $5.5M —
BOARDWALK BUILDING 168,437 TBD — 190,000 $9.7M
283,437 $1.1M+
% OF OFFICE
DEVELOPMENT
2022 ESTIMATED PRE-LEASED
GLA NOI
BREITHAUPT, PHASE III* 147,000 $5.4M 100%
THE WELL* 763,000 $40.4M 84%
400 ATLANTIC 87,473 TBD —
ADELAIDE & DUNCAN* 230,000 $10.4M 100%
1,227,473 $56.2M+
59%
PRE-LEASED
*Co-ownership
Estimated NOI from development completion is based on stabilized occupancy
and in the first year its impact will be moderated by the discontinuation of capitalized interest.
39FUTURE/SHADOW DEVELOPMENT PIPELINE
Zoning Approval in Place To Be Rezoned
and in Progress
ESTIMATED ESTIMATED
Toronto GLA GLA
UNION CENTRE 1,129,000 TORONTO 5,365,221
KING & PETER 790,000 MONTRÉAL 1,635,504
ADELAIDE & SPADINA 230,000 CALGARY 1,148,679
KING & BRANT 130,000 OTHER 621,901
2,279,000 8,771,305
ESTIMATED
Montréal GLA
LE NORDELEC 230,000
TOTAL 11,280,305
2,509,000
40Boardwalk Building
Edmonton
41Breithaupt III
Kitchener
42The Well
Toronto
43Adelaide & Duncan
Toronto
44QRC West
Phase II
Toronto
45KING Toronto
Toronto
46400 West Georgia
Vancouver
47Development Completions 48
QRC WEST, TORONTO
This was a pioneering, large-scale intensification project that involved the integratation of two restored heritage buildings with a new,
mid-rise office structure. The project commenced in 2010 and was completed in 2015. It is comprised of 345,274 square feet of GLA
and is fully leased.
DEVELOPMENT ECONOMICS INVESTMENT
LAND COSTS $11,000
HARD & SOFT COSTS 104,000
VALUE
STABILIZED UNLEVERED YIELD VALUE CREATION AS %
CAPITALIZED INTEREST & NOI ON COST FAIR VALUE CREATION OF COST
OPERATING COSTS 15,000
TOTAL DEVELOPMENT COSTS $130,000 $12,846 9.9% $289,020 $159,020 122.3%
The fair value is provided by our external appraiser, which is calculated based on the discounted cash flow model.
49THE BREITHAUPT BLOCK, KITCHENER
Allied acquired an undivided 50% interest in the property in 2010 and immediately put it into development, completing the first
phase in 2014 and the second phase in mid-2016. The property is an equal two-way joint arrangement between Allied and Perimeter
Development Corporation. It is comprised of 226,400 square feet of GLA (Allied's share 113,200 square feet) and is fully leased.
DEVELOPMENT ECONOMICS INVESTMENT
LAND COSTS $4,000
HARD & SOFT COSTS 18,470
VALUE
STABILIZED UNLEVERED YIELD VALUE CREATION AS %
CAPITALIZED INTEREST & NOI ON COST FAIR VALUE CREATION OF COST
OPERATING COSTS 2,550
TOTAL DEVELOPMENT COSTS $25,020 $1,950 7.8% $48,980 $23,960 95.8%
The fair value is provided by our external appraiser, which is calculated based on the discounted cash flow model.
50180 JOHN STREET, TORONTO
Allied acquired the property in 2015. The property was redeveloped and leased in its entirety to Spaces. The project was completed
in 2017. It is comprised of 45,631 square feet of GLA and is fully leased.
DEVELOPMENT ECONOMICS INVESTMENT
LAND COSTS $8,700
HARD & SOFT COSTS 17,500
VALUE
CAPITALIZED INTEREST & STABILIZED UNLEVERED YIELD VALUE CREATION AS %
NOI ON COST FAIR VALUE CREATION OF COST
OPERATING COSTS 1,300
TOTAL DEVELOPMENT COSTS $27,500 $1,600 5.8% $31,380 $3,880 14.1%
The fair value is provided by our external appraiser, which is calculated based on the discounted cash flow model.
51189 JOSEPH, KITCHENER
189 Joseph was purchased as part of The Tannery in 2012. The building stood vacant, and was slated to be demolished before Allied
proposed the redevelopment and secured Deloitte as the user. The project commenced in late-2015 and was completed mid-2017.
It is comprised of 26,462 square feet of GLA and is fully leased.
DEVELOPMENT ECONOMICS INVESTMENT
LAND COSTS $230
HARD & SOFT COSTS 10,890
VALUE
STABILIZED UNLEVERED YIELD VALUE CREATION AS %
CAPITALIZED INTEREST & NOI ON COST FAIR VALUE CREATION OF COST
OPERATING COSTS 240
TOTAL DEVELOPMENT COSTS $11,360 $720 6.3% $13,590 $2,230 19.6%
The fair value is provided by our external appraiser, which is calculated based on the discounted cash flow model.
52425 VIGER, MONTRÉAL
In 2004, Allied expanded into Montreal with the purchase of 425 Viger. At the time, the property comprised of 200,000 square feet
of GLA and was fully leased. In 2007, Allied purchased the adjacent parking lot with the intention of intensifying the combined property
once the main user’s lease expired. Allied began the intensification activity in Q1 2018, and completed the project in Q2 2020.
The property now consists of 317,500 square feet of GLA.
DEVELOPMENT ECONOMICS INVESTMENT
LAND COSTS $30,076
HARD & SOFT COSTS 66,353
VALUE
STABILIZED UNLEVERED YIELD VALUE CREATION AS %
CAPITALIZED INTEREST &
NOI ON COST FAIR VALUE CREATION OF COST
OPERATING COSTS 7,839
TOTAL DEVELOPMENT COSTS $104,268 $8,422 8.1% $157,430 $53,162 51.0%
The fair value is provided by our external appraiser, which is calculated based on the discounted cash flow model.
53KING PORTLAND CENTRE, TORONTO
In 2012, Allied entered into an equal two-way joint arrangement with RioCan to develop King Portland Centre. Allied and RioCan each
acquired an undivided 50% interest in 642 King W and 620 King W and subsequently put them into development, completing 642 King W
in early 2018 and 620 King W in early 2019. They are comprised of 299,150 square feet of GLA (Allied's share 149,575 square feet)
and are 99.7% leased. 602-606 King W is excluded from the figures below as they were never under development.
DEVELOPMENT ECONOMICS INVESTMENT
LAND COSTS $21,478
HARD & SOFT COSTS 64,437
CAPITALIZED INTEREST &
OPERATING COSTS 5,033 VALUE
STABILIZED UNLEVERED YIELD VALUE CREATION AS %
NOI ON COST FAIR VALUE CREATION OF COST
CONDOMINIUM PROFITS (14,270)
TOTAL DEVELOPMENT COSTS $76,678 $6,186 8.1% $139,690 $63,012 82.2%
The fair value is provided by our external appraiser, which is calculated based on the discounted cash flow model.
54Risk Management 55
DEVELOPMENT
– 15% limitation on development
– Pre-leasing
– Partial monetization
– Financial management
– Collaboration
56BALANCE SHEET
– Low leverage
– Long-term, fixed-rate debt
– Net debt to EBITDA ratio of 7.7x
– Debt ratio 30.9%
– Interest coverage ratio of 3.5x
The above ratios are calculated as at December 31, 2020, adjusted for the issuance of $600M Series H unsecured debentures, the repayment of the Series B
debentures and the repayment of a first mortgage on 700 de la Gauchetière as announced on February 5, 2021.
Debt in “debt ratio” refers to total debt.
See definition appendix for definition of total debt and EBITDA.
57FINANCIAL COVENANTS
SENIOR UNSECURED DEBENTURES
COVENANT THRESHOLD DECEMBER 31, 2020
PRO FORMA INTEREST COVERAGE RATIO Maintain a 12-month rolling consolidated 3.2x
pro forma EBITDA of at least 1.65 times
pro forma interest expense
PRO FORMA ASSET COVERAGE TEST Maintain net consolidated debt below 29.1%
65% of net aggregate assets on a pro
forma basis
EQUITY MAINTENANCE Maintain Unitholders’ equity above $6,177, 032
$300,000
PRO FORMA UNENCUMBERED NET Maintain pro forma unencumbered 3.6x
AGGREGATE ADJUSTED ASSET RATIO net aggregate adjusted assets above
1.4 times consolidated unsecured
indebtedness
58DEBT MATURITY CHART
MORTGAGE UNSECURED
MORTGAGES DEBENTURES
TERM LOANS TERM LOAN
UNSECURED DEBENTURES CONSOLIDATED WA INT
CONSOLIDATED RATE
W/A INT RATE
$700,000 5.00%
4.70%
4.42%
4.50%
4.30%
4.24% $600.0
$600,000
4.00%
3.55%
3.50%
$500,000 3.39% 3.50%
3.17%
3.11% 3.08%
3.00%
$400,000
$400.0
2.50%
$300,000
$300.0 $300.0 $300.0 2.00%
1.79%
$242.4 $250.0
1.50%
$200,000
$200.0
$157.2 1.00%
$100,000
$97.1
0.50%
$5.0
$20.8 $15.4 $21.8 $0.5
$14.8
$0 0.00%
2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031
This chart summarizes the principal payments in regards to Allied's debt obligations as at December 31, 2020, adjusted for the issuance of $600M Series H
unsecured debentures, the repayment of the Series B debentures and the repayment of a first mortgage on 700 de la Gauchetière as announced on February 5, 2021.
59UNENCUMBERED ASSETS
UNENCUMBERED ASSET POOL % OF ASSET POOL UNENCUMBERED
$7,000,000,000 78% 80%
73%
$6.8B
72%
$6.5B
68% 70%
$6,000,000,000
$5.5B
60%
$5,000,000,000
52%
47% 50%
$4.3B
$4,000,000,000
39%
40%
$3,000,000,000
$2.9B
30%
$2.3B
$2,000,000,000 21%
20%
$1.6B
12%
$1,000,000,000
10%
$782.0M
$400.0M
$0 0%
2013 2014 2015 2016 2017 2018 2019 2020 Feb. 2021
As of December 31, 2020, adjusted for the repayment of the first mortgage on 700 De La Gauchetière.
60Environmental, Social & Governance (ESG)
61ENVIRONMENTAL, SOCIAL & GOVERNANCE
ENVIRONMENTAL
Our impact on the natural world at both corporate and property levels.
We aim to protect the natural environment, while reducing our environmental footprint through thoughtful acquisitions,
development, and operations.
SOCIAL
Our relationship with key stakeholders, including users, employees, suppliers,
and the communities in which we operate.
We aim to increase employee and user engagement and support the neighbourhoods where we operate.
GOVERNANCE
Our internal policies, programs, and processes that support the management
of our business and the execution of ESG related activities.
We aim to ensure our governance infrastructure supports equitable, transparent, and responsible business conduct.
62STEPS TO MEASURE AND IMPROVE PERFORMANCE
ENVIRONMENTAL
- Submitted to GRESB in 2020 on 2019 performance.
- Scored 64
-“Strong First-Year Showing” according to GRESB.
SOCIAL
- Engaged Kincentric to conduct employee engagement survey in 2020.
- Scored 78%, in the top quartile of participating Canadian employers.
GOVERNANCE
- Engaged Veza Global to conduct equity, diversity, and inclusion audit.
- Audit completed December 2020 and results presented to Board.
- Equity, Diversity and Inclusion Committee to prioritize actions in January 2021.
- Scored 87/100 on the 2019 Report on Business’s Board Games evaluation
of Canada’s corporate boards listed on the S&P/TSX Composite Index.
- Received 4 on our Institutional Shareholder Services (ISS) Governance
QualityScore as of November 1, 2020.
*We released our first annual ESG Report, using data and analysis from 2019, and are committed
to reporting on a yearly basis moving forward. Read More
63WiredScore 64
WIREDSCORE
- WiredScore is a company founded on the principle of wanting
to improve the technological infrastructure of cities.
- WiredScore Certification is a commercial real estate rating system
that empowers owners to understand, improve, and promote
their buildings’ digital infrastructure.
- Allied has chosen to partner with WiredScore to review 120
properties to ensure that we can provide the digital infrastructure
to support our user connectivity needs.
- Allied is committed to providing superior digital connectivity
to facilitate the business, creativity, and day-to-day operations
of all of our users.
65Appendix Definitions 66
CERTAIN DEFINITIONS AND NON-IFRS MEASURES
Certain defined terms used in this investor presentation have the following meaning:
“EBITDA”
EBITDA is a non-IFRS financial measure and should not be considered as an alternative to net income or net income and
comprehensive income, cash flow from operating activities or any other measure prescribed under IFRS. EBITDA does not have
any standardized meaning prescribed by IFRS. As computed by us, EBITDA may differ from similar computations reported by
other Canadian real estate investment trusts and, accordingly, may not be comparable to similar computations reported by such
organizations. Management considers EBITDA to be a useful measure for the purpose of evaluating debt levels and interest coverage.
For a full explanation of EBITDA and a reconciliation to IFRS please see Allied REIT Q4 2020 MD&A “Other Financial Performance
Measures”.
“INTEREST”
Interest is defined as interest expense and other financing costs including capitalized interest.
“NOI”
NOI is a non-IFRS financial measure and should not be considered as an alternative to net income or net income and comprehensive
income, cash flow from operating activities or any other measure prescribed under IFRS. NOI does not have any standardized meaning
prescribed by IFRS. As computed by us, NOI may differ from similar computations reported by other Canadian real estate investment
trusts and, accordingly, may not be comparable to similar computations reported by such organizations. Management considers NOI
to be a useful measure of performance for rental properties. For a full explanation of NOI and a reconciliation to IFRS please see Allied
REIT Q4 2020 MD&A “Net Operating Income (“NOI”).
67“TOTAL DEBT”
Total debt is a non-IFRS financial measure and does not have any standard meaning prescribed by IFRS. As computed by us, total
debt may differ from similar computations reported by other Canadian real estate investment trusts and, accordingly, may not be
comparable to similar computations Reported by such organizations. Management considers total debt to be a useful measure for
evaluating debt levels and interest coverage. For a full explanation of total debt and an illustration of the calculation of total debt,
please see Allied REIT Q4 2020 MD&A “debt”.
“TOTAL RETURN”
Total return is based on $100 in units invested on February 6th, 2003 and ending on December 31, 2020, assuming the re-investment
of all cash distributions of the trust on the day of the distribution.
68ALLIED 134 PETER STREET, SUITE 1700 TORONTO, ONTARIO M5V 2H2 T 416.977.9002 F 416.306.8704 alliedreit.com
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