Mr. Scott White reports

INVESQUE INC. REPORTS FIRST QUARTER 2023 RESULTS

Invesque Inc. has released its results for the three months ended March 31, 2023.

First quarter and subsequent highlights:

• As previously announced, on Jan. 20, 2023, the company entered into a purchase and sale agreement to sell MetroWest Medical Center in Orlando, Fla., for $6.4-million (U.S.). The sale occurred on April 7, 2023, and the company used proceeds to repay indebtedness associated with its remaining medical office buildings.
• As previously announced, on Feb. 27, 2023, the company entered into a purchase and sale agreement to sell eight skilled nursing facilities the company currently leases to SymCare. The due diligence period associated with the transaction has lapsed, due diligence conditions have been waived, the purchase price was amended to $121-million (U.S.) and the buyer's obligations to close are supported by a $2-million (U.S.) non-refundable deposit. Parties are completing documents required for closing and seeking final regulatory approvals. The company expects to consummate the transaction before the end of the second quarter.
• On April 1, the company entered into a 15-year lease with Chapters Living to manage three stand-alone memory care communities in Texas (two) and Arkansas (one). Chapters managed the portfolio under an interim management structure during the month of April and received full licensure approval, effective May 1. These communities were previously managed by Memory Care of America.
• On April 10, the company closed on the acquisition of a 34-unit memory care community in Carrollton, Tex. The community is being operated by Constant Care Management Company, one of the company's preferred operating partners, pursuant to a long-term lease. The company had previously acquired the first mortgage on the community through a HUD note sale auction on Dec. 5, 2022. The company's investment is less than $90,000 per unit.
• Reported funds from operations (FFO) (1) of 12 U.S. cents per common share for the three months ended March 31, 2023. The company reported adjusted funds from operations (AFFO) (2) of 12 U.S. cents per common share for the three months ended March 31, 2023.

"We continue to make strides, repositioning our portfolio for future success and creating a portfolio of private pay seniors housing assets, operated by some of the country's best operators," commented Scott White, chairman and chief executive officer. "I am thrilled to add Chapters to our roster of operating partners, and very excited we were able to acquire an additional community for the Constant Care team to manage."

Regarding the company's operating performance, chief investment officer Adlai Chester remarked: "This quarter illustrates the outcome of our strategy to streamline our portfolio and focus on our strongest producing assets. Our portfolio included nearly 20 fewer properties compared to the first quarter of 2022, but our bottom-line results doubled, which was precisely the desired outcome."

(1) FFO is a measure used by management to evaluate operating performance.

(2) AFFO is a measure used by management to evaluate operating performance.

Investor conference call

A conference call hosted by the company's executive team will be held on May 11, 2023, at 10 a.m. EST. The dial-in numbers for the conference call are local Toronto: 416-764-8650 or North American toll-free: 888-664-6383. The conference will also be available by webcast. Please log on at least 15 minutes before the call commences. The telephone numbers to listen to the call after it is completed (taped replay) are local: 416-764-8677 or North American toll-free: 888-390-0541. The passcode for the taped replay is 864983 followed by the number sign.

About Invesque Inc.

The company is a North American health care real estate company with an investment thesis focused on the premise that an aging demographic in North America will continue to utilize health care services in growing proportion to the overall economy. The company currently capitalizes on this opportunity by investing in a portfolio of income-generating predominantly private pay seniors housing communities. The company's portfolio includes investments primarily in independent living, assisted living and memory care, which are operated under long-term leases and joint venture arrangements with industry-leading operating partners. The company's portfolio also includes investments in owner-occupied seniors housing properties in which the company owns the real estate and the licensed operations and provides management services through Commonwealth Senior Living LLC, a Delaware limited liability company.

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