Mr. Steven Scott reports

PARKIT CONTRIBUTES LONDON INDUSTRIAL PROPERTY AND FORMS JOINT VENTURE FOR RESIDENTIAL REDEVELOPMENT

Parkit Enterprise Inc. has contributed the 3.55 acres of lands at 568 Second St., London, Ont., to a three-party joint venture called 760 Second Street Partnership for total contribution of $12.9-million, subject to customary adjustments. The joint venture comprises Parkit for a 50-per-cent share, Decade Capital for a 25-per-cent share and Southside Group for a 25-per-cent share. The joint venture will begin construction on the first of two 15-storey purpose-built rental buildings in Q4 2025.

Contribution

The transaction values the property at $12.9-million. Parkit utilized a tax-free rollover to defer any initial tax liabilities. Parkit, Decade and Southside have entered into the joint venture to develop the site into a two-phase residential community.

Residential development

Parkit recognized that the highest and best use of this site was to rezone from industrial to residential. The property is located across from Canada's largest college, Fanshawe College, with over 43,000 students, and is located on London's new rapid-transit corridor along Oxford Street. Parkit successfully rezoned the site for two 15-storey purpose-built residential apartment buildings totalling 543 units, with an estimated gross floor area of 487,151 square feet.

The joint venture has received municipal approval and building permits to begin construction on the first building, which will comprise 250 units, with an estimated gross floor area of 234,071 square feet. Permits obtained to date include demolition, foundation and architectural shell. Construction will begin in Q4 2025. The redevelopment plan is consistent with Parkit's strategy of unlocking value through repositioning underutilized assets in strong urban markets.

Steven Scott, chairman of Parkit, stated: "568 Second St. represents a strong opportunity to convert an industrial asset into much-needed rental housing in a growing market. We are excited to partner with Decade Capital and Southside Group -- groups that have a strong track record of delivering high-quality developments."

Decade Capital is a Toronto- and London-based real estate investment and development firm focused on acquiring, developing and managing high-potential real estate assets. The firm blends strategic vision with hands-on execution, unlocking long-term value through disciplined acquisitions, innovative planning and high-quality construction.

Southside Group is a diversified real estate development, construction and property management company based in London, Ont. Established in 1979, Southside has grown into one of Southwestern Ontario's most influential private real estate firms, with a strong legacy of building communities through high-quality residential, commercial, industrial and institutional projects.

About Parkit Enterprise Inc.

Parkit Enterprise is an industrial real estate platform focused on the acquisition, growth and management of strategically located industrial properties across key urban markets in Canada. In addition, Parkit has parking assets across various markets in the United States. Parkit's common shares are listed on TSX Venture Exchange (symbol: PKT).

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