Mr. Wissam Francis reports

TRICON PRICES $416 MILLION SECURITIZATION AT WEIGHTED AVERAGE YIELD OF 5.86%, FURTHER REDUCING FLOATING RATE DEBT

Tricon Residential Inc. has priced its 2023-SFR1 securitization transaction.

The transaction, involving the issuance and sale of five offered classes of fixed-rate certificates with a total face amount of $416.4-million, was priced at a weighted average yield of approximately 5.86 per cent with a term to maturity of approximately five years. The transaction reflected strong demand, with subscriptions of 3.5 times the offered amount and participation from 26 investors, including four new to Tricon. The transaction proceeds represent 57 per cent of the value of the securitized portfolio, which includes 2,116 single-family rental properties within the SFR JV-2 investment vehicle (SFR JV-2). The transaction is expected to close on or about July 11, 2023.

The 5.86-per-cent weighted average yield represents an attractive cost of financing that is in line with Tricon's acquisition cap rates for single-family rental homes in the current market environment. The proceeds of the transaction will be used to repay floating-rate debt that was temporarily used to finance acquisitions within SFR JV-2, thereby reducing the company's floating-rate debt exposure by approximately 500 basis points to 21 per cent of total debt from 26 per cent in Q1 2023 (1).

The offering of certificates is being made through Morgan Stanley & Co. LLC as sole structuring agent, joint bookrunner and co-lead manager, BofA Securities Inc. as joint bookrunner and co-lead manager, Deutsche Bank Securities Inc. as joint bookrunner and co-lead manager, Mizuho Securities USA LLC as joint bookrunner and co-lead manager, and RBC Capital Markets LLC as joint bookrunner and co-lead manager. The various classes of offered certificates have been rated on a preliminary basis by Moody's Investors Service and Kroll Bond Rating Agency.

About Tricon Residential Inc.

Tricon Residential is an owner and operator of a growing portfolio of approximately 37,000 single-family rental homes in the U.S. Sun Belt and multifamily apartments in Canada. Tricon's commitment to enriching the lives of its employees, residents and local communities underpins Tricon's culture and business philosophy. It provides high-quality rental housing options for families across the United States and Canada through its technology-enabled operating platform and dedicated on-the-ground operating teams. Tricon's development programs are also delivering thousands of new rental homes and apartments as part of its commitment to help solve the housing supply shortage. Tricon imagines a world where housing unlocks life's potential.

(1) Reflects Tricon's proportionate debt balance.

We seek Safe Harbor.