Mr. Jonathan Boulakia reports

CHARTWELL ANNOUNCES ACQUISITION OF TWO RETIREMENT RESIDENCES AND A REMAINING INTEREST IN ONE RETIREMENT RESIDENCE IN QUEBEC CITY

Chartwell Retirement Residences Real Estate Investment Trust has acquired the 345-suite (of which 36 are care units) Residence Le Florilege in Quebec City. Located in the Beauport neighbourhood of Quebec City and built in 2022, Le Florilege is on a major arterial road directly across from the Beauport Golf Club and near retail shopping and services. Le Florilege is 97 per cent occupied. The purchase price of $112.9-million before working capital adjustments and closing costs is being financed with cash and a $77.6-million loan maturing in six months and carrying an interest rate of Canadian overnight repo rate average plus 1.95 per cent.

Chartwell also announced today that it has separately acquired Chartwell L'Envol residences pour retraites, a recently developed retirement residence composed of 360 suites (of which 36 are care units) built in 2019 in the Cap-Rouge neighbourhood of Quebec City. L'Envol is located within two kilometres of a major highway and near retail shopping amenities. L'Envol is 97 per cent occupied. The purchase price of $117.8-million before working capital adjustments and closing costs is being financed with cash and a $65.4-million loan maturing in six months and carrying an interest rate of CORRA plus 1.95 per cent. A mezzanine loan of $4.2-million extended by Chartwell to the prior owner of the property was also settled at closing.

Finally, Chartwell announced that it recently acquired the remaining 15-per-cent interest not owned by Chartwell in Chartwell Trait-Carre residence pour retraites, a 361-suite (of which 37 are care units) retirement residence located in Charlesbourg, Que., for a price of $17.2-million before working capital adjustments and closing costs. Trait-Carre, built in 2021, is currently 97 per cent occupied. The purchase price included the proportionate assumption of the $66.5-million financing in place at closing, with the balance settled in cash. The financing was repaid in full by Chartwell following closing of the transaction.

"These acquisitions of high-quality, recently developed residences with strong occupancies below replacement cost will positively contribute to the overall quality of Chartwell's portfolio and expand our ownership presence in high-growth Quebec City and its surrounding neighbourhoods. The acquired properties are complementary to our existing Quebec portfolio and are already managed by Chartwell, which allows for a seamless integration into our platform. The transactions are consistent with our investment strategy to grow in strong markets with newer, high-quality assets, which we believe will be competitive for many years," said Jonathan Boulakia, chief investment officer of Chartwell.

About Chartwell Retirement Residences Real Estate Investment Trust

Chartwell is in the business of serving and caring for Canada's seniors, committed to its vision of making people's lives better and to providing a happier, healthier and more fulfilling life experience for its residents. Chartwell is an unincorporated, open-ended real estate trust which indirectly owns and operates a complete range of seniors housing communities, from independent living through to assisted living and long-term care. Chartwell is one of the largest operators in Canada, serving approximately 25,000 residents in four provinces across the country.

We seek Safe Harbor.