Mr. Jonathan Boulakia reports

CHARTWELL EXPANDS ITS PORTFOLIO THROUGH STRATEGIC DEVELOPMENT PARTNERSHIPS AND ACQUISITIONS AND FURTHERS EXECUTION OF PORTFOLIO OPTIMIZATION STRATEGY

Chartwell Retirement Residences Real Estate Investment Trust has made a series of strategic investments that further strengthen its growth pipeline through a combination of acquisition and new development partnerships in Quebec, Alberta and British Columbia as follows:

• The completed acquisition of a 50-per-cent interest in Chartwell Le Montcalm, a 283-suite residence in Candiac, Que., developed in partnership with EMD-Batimo;
• The commencement of construction of a 218-suite expansion to Residence Legende in Longueuil, Que.;
• The development of Chartwell Carrington Apartments, a 146-suite residence in Vernon, B.C.;
• The development of Chartwell Summerlea, a 202-suite residence in Edmonton, Alta.;
• The development of a 262-suite residence within the Century Park master-planned community in Edmonton, Alta.

"These investments reflect Chartwell's continued commitment to expanding our portfolio through disciplined capital allocation and strategic partnerships with experienced developers," said Jonathan Boulakia, chief investment officer of Chartwell. "This approach enhances our future acquisition pipeline, strengthens our presence in key growth areas across Canada and positions Chartwell to meet the increasing demand for high-quality seniors housing."

"The demand for retirement living continues to grow, and we're proud to lead retirement residence development across Canada. By collaborating with trusted partners, we're expanding choice for Canadians and creating high-quality communities designed to meet the needs of future residents," added Vlad Volodarski, chief executive officer.

Completed acquisition

On July 16, 2026, Chartwell closed the acquisition of a 50-per-cent ownership interest in Chartwell Le Montcalm, a 283-suite retirement residence located in Candiac, Que. The purchase price, before closing costs and working capital adjustments, for Chartwell's share was $43.3-million and was partially settled through the assumption of existing debt of $22.3-million, bearing interest at 6.0 per cent and maturing on Oct. 1, 2026, with the remainder paid in cash. Developed by Chartwell's long-standing partner EMD-Batimo, the residence is well located in Montreal's South Shore and offers residents convenient access to local services and amenities. Chartwell currently manages the residence with the current occupancy of 99 per cent and is collaborating with EMD-Batimo on plans for a future expansion of the community.

Development activity and forward purchase agreements

Chartwell has initiated the development of four residences in Quebec, Alberta and British Columbia, with a total of 828 suites offering a mix of seniors' apartments, independent living and memory living, as follows:

• Residence Legende expansion, in Longueuil, Que., commenced construction in May, 2026, and is being developed in partnership with EMD-Batimo. The expansion will add 218 independent living suites to the existing 368-suite residence. The existing residence is 96 per cent occupied and is wholly owned and managed by Chartwell. Chartwell will manage operations and is subject to forward purchase arrangements that, subject to certain conditions, are expected to result in a 100-per-cent ownership interest in the expansion once it reaches stabilization. Chartwell is exploring with EMD-Batimo investing equity into this development expansion project.
• Chartwell Summerlea, a 202-suite residence in Edmonton, Alta., is expected to commence construction in August, 2026. The residence is being developed by Hestia Construction, a fully integrated development and construction firm with strong experience in residential development. Chartwell will manage operations of the property and is subject to forward purchase arrangements that, subject to certain conditions, are expected to result in Chartwell acquiring an initial 50-per-cent ownership interest for $51.0-million after completion of construction, expected in November, 2028, and the remaining 50-per-cent ownership interest (subject to a vendor right to retain a 15-per-cent interest) upon stabilization at fair market value. The net operating income at stabilization is estimated to be $7.0-million. Located in west Edmonton, within walking distance of retail amenities and in close proximity to West Edmonton Mall, the residence will offer a mix of independent living and seniors' apartment suites with a-la-carte services available to residents.
• Chartwell Carrington Apartments, a 146-suite seniors' apartment residence in Vernon, B.C., is slated to commence construction in September, 2026. Chartwell will manage operations and is subject to forward purchase arrangements, that, subject to certain conditions, are expected to result in Chartwell acquiring a 100-per-cent ownership interest in the project for $75.5-million after construction completion, expected in September, 2028. The residence is being developed by Troika Developments, in partnership with Hallmark Communities. Chartwell expects to provide a $3.5-million mezzanine loan to the developers. Centrally located within Vernon's downtown district, the project will offer convenient access to retail, entertainment and community amenities. The property will be adjacent to the existing 135-suite Chartwell Carrington Place residence and will complement the service offering at this location.
• Within the Century Park master-planned community in Edmonton, Alta., Chartwell will partner with Eagle Builders and K&H Developments to launch the construction of a 262-suite residence in September, 2026. Chartwell is subject to forward purchase arrangements that, subject to conditions, are expected to result in Chartwell acquiring an initial 50-per-cent ownership interest for $68.1-million after construction completion and the remaining 50-per-cent ownership interest upon stabilization at fair market value. The net operating income at stabilization is estimated to be $9.3-million. The residence will feature a mix of seniors' apartment, independent living and memory living suites, with Chartwell serving as operator upon opening. The residence will benefit from an integrated environment, featuring residential, retail and lifestyle amenities designed to create a highly walkable and accessible neighbourhood.

Portfolio optimization

In furtherance of Chartwell's portfolio optimization strategy with respect to non-core assets, Chartwell has closed in July the previously announced sale of nine properties in Ontario for $117.9-million. Net proceeds of the sale were $82.3-million after $2.0-million of transaction costs and repayment of $33.6-million of mortgages with a weighted average interest rate of 3.3 per cent and weighted average term to maturity of 4.3 years.

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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