Mr. Jonathan Boulakia reports

CHARTWELL GROWS ONTARIO PRESENCE WITH THE ACQUISITION OF SIX RETIREMENT COMMUNITIES

Chartwell Retirement Residences Real Estate Investment Trust has made a strategic acquisition to expand its footprint in Southwestern Ontario and capitalize on growing demand for high-quality retirement living in the region. The company has entered into a definitive agreement to purchase a portfolio of six senior housing communities totalling 1,024 suites across London, Waterloo and Mississauga for a total purchase price of $432-million.

"This acquisition represents a significant strategic expansion for Chartwell in Southwestern Ontario, one of Canada's most dynamic and growing seniors housing markets," said Jonathan Boulakia, Chartwell's chief investment officer. "These communities have been designed for active, independent older adults, and align with our continued focus on quality, operational excellence and long-term value creation. We are proud to welcome these residences to Chartwell as we continue to grow and serve more seniors with support and purpose."

The portfolio comprises six purpose-built seniors' communities, featuring a mix of independent living suites, apartments and townhomes. All residences are private pay and serve independent, low-acuity seniors.

Highlighted assets include:

• Riverstone, London (built in 2021 and 2023) -- 124 retirement suites and 135 seniors apartments and townhomes; part of a net-zero campus with extensive solar infrastructure;
• Richmond Woods, London (built in 2007 and 2010) -- 130 retirement suites and 112 seniors apartments and townhomes with rich community amenities;
• Longworth, London (2001) -- 126 retirement suites in highly sought after residential neighbourhood with ample community greenspace;
• Dorchester Terrace, Dorchester (2017) -- 123 retirement suites with an additional 29 townhomes in development expected to be completed by the vendor in Q4 2026;
• Westhill, Waterloo (built in 2012 and 2018) -- 117 retirement suites and 100 seniors apartments; offering modern amenities in a growing urban region;
• Erinview, Mississauga (2019) -- 57 retirement suites with potential for an additional 140 suites on excess land, currently leased to a third party.

The acquisition price at closing will be $416.2-million. The committed purchase price for the Dorchester Terrace townhomes payable on construction completion expected in Q4 2026 will be $15.8-million. The total purchase price of $432-million represents approximately $422,000 per suite. The purchase price includes the excess land at the Erinview site, with potential to develop an additional 140 suites.

The purchase price at closing will be settled by assuming in-place debt of $232.7-million, majority CMHC-insured and in part from proceeds of already planned 2025 CMHC financings of approximately $240-million. The assumed in-place debt has a weighted average interest rate of 4.50 per cent and weighted average maturity date of March, 2045. Closing is expected in Q4 2025. TD Securities is acting as the exclusive financial adviser to the vendor of this portfolio.

"This acquisition reflects our continuing execution on a disciplined investment strategy focused on high-quality residences in markets with strong demographics and long-term demand fundamentals," added Mr. Boulakia. "These communities not only enhance our portfolio with modern, purpose-built assets but also provide a clear pathway for sustainable growth through asset optimization and targeted development opportunities."

About Chartwell Retirement 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 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.

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