Mr. Jonathan Boulakia reports

CHARTWELL PROVIDES UPDATE ON STRATEGIC GROWTH AND FINANCING INITIATIVES

Chartwell Retirement Residences Real Estate Investment Trust today provided an update on strategic investment and financing initiatives which include:

• Completion of the previously announced acquisition of the 449-suite Les Tours Angrignon in Montreal, Que.;
• Agreement to acquire the 238-suite Residence Panorama in Laval, Que.;
• Agreement to acquire the 334-suite Residence Azalis in Repengtiny, Que.;
• Agreement to acquire the 376-suite Residence L'Aubier in Levis, Que.;
• Commencement of the development of the 111-suite Chartwell Kingsview Retirement Residence in Calgary, Alta.;
• Completion of $250-million raise through Chartwell's at-the-market (ATM) equity distribution program;
• Completion of $87.0-million of new CMHC-insured financings;
• Morningstar DBRS change of trends on Chartwell to positive from stable and confirmation of investment grade rating.

"We are pleased to continue our strategic growth by acquiring modern, efficient and highly desirable properties in dynamic urban markets at a significant discount to replacement costs," said Jonathan Boulakia, chief investment officer of Chartwell. "While we have been successful sourcing high-quality acquisitions over the past 24 months, we have also been busy laying the groundwork to build an important pipeline of future acquisition opportunities, including through strategic development partnerships."

Completed acquisition

On Oct. 1, 2025, Chartwell closed the previously announced acquisition of Les Tours Angrignon in Montreal. The residence, which will be branded Chartwell Les Tours Angrignon, includes 426 independent living (IL) and 23 assisted living (AL) suites across three towers in the desirable LaSalle borough. The current occupancy is 90 per cent. The purchase price, before closing costs and working capital adjustments, was $88.5-million and was settled through the assumption of a $68.7-million CMHC-insured mortgage bearing interest at 2.22 per cent maturing in December, 2026, and cash.

Definitive agreements

Residence Panorama includes 206 IL and 32 AL suites, as well as 49 individually owned condominium suites in a 31-storey tower overlooking the Riviere-des-Prairies. Built in 2018, the residence offers exceptional views, state-of-the-art amenities and well-designed, spacious suites. The residence is currently 98 per cent occupied. The purchase price of $76.0million, before closing costs and working capital adjustments, will be settled in cash. The residence will be branded Chartwell Panorama, with the transaction expected to close in Q4 2025.

Residence Azalis includes 304 IL and 30 AL suites in a 30-storey tower overlooking the St. Lawrence River. Built in 2021, the residence offers exceptional views, state-of-the-art amenities and well-designed, spacious suites. The residence is currently 97 per cent occupied. The purchase price of $111.0-million, before closing costs and working capital adjustments, will be settled in cash. The residence will be branded Chartwell Azalis, with the transaction expected to close in Q4 2025.

Developed by Chartwell's long-standing partner EMD-Batimo, Residence L'Aubier includes 340 IL and 36 AL suites. Located in proximity to numerous local amenities, the residence boasts state-of-the-art indoor and outdoor amenities for its residents. It opened in June, 2024, enjoyed a rapid lease-up and is currently 82 per cent occupied. Chartwell has managed operations at this residence since its opening. The purchase price of $128.2-million, before closing costs and working capital adjustments, will be settled in cash. A portion of the purchase price of $650,000 will be held back to support the vendor NOI guarantee obligations to Chartwell. The closing is expected in Q4 2025.

Development activity

Chartwell announced the development of the 111-suite Chartwell Kingsview Retirement Residence in Calgary with an advance of $4.5-million of the total committed $6.5-million mezzanine financing to local developers. The mezzanine loan is for a three-year term with a one-year extension option, secured by a second charge on the project and personal guarantees of the principals of the borrower. The loan will bear interest at 13 per cent, reducing to 12 per cent upon the project achieving breakeven cash flow. Chartwell will be the operations manager of the project and have a call option to acquire the residence on stabilization. The project is in an affluent residential area of Calgary in proximity to various neighborhood amenities and will feature self-contained IL apartments and an attractive amenity package.

Financing and credit activity

Since upsizing its ATM program on Aug. 7, 2025, Chartwell issued 13.7 million trust units at an average price of $18.27, generating gross proceeds of approximately $250-million.

In July, 2025, Chartwell completed two CMHC-insured financings on previously unencumbered properties in the amount of $87.0-million. The new mortgages bear interest at 4.33 per cent and mature in August, 2035.

On Sept. 30, 2025, Morningstar DBRS changed the trends on Chartwell to positive from stable and confirmed its BBB (low) rating. The change of trends was in recognition of the successful execution of Chartwell's portfolio optimization, capital recycling and growth programs in a credit-friendly manner and improving operational and financial performance of the business.

"The successful execution of our ATM program and mortgage financings enables us to support strategic growth of our portfolio while ensuring prudent debt leverage management within our established targets," commented Jeffrey Brown, Chartwell's chief financial officer. "We are pleased with Morningstar DBRS's recognition of our efforts in improving our operating performance, enhancing our property portfolio and maintaining prudent capital management."

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 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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