Mr. Gary Berman reports

TRICON REPORTS STRONG Q4 2023 RESULTS

Tricon Residential Inc. has released its consolidated financial results for the three and 12 months ended Dec. 31, 2023.

All financial information is presented in U.S. dollars unless otherwise indicated.

The company's operational and financial highlights of the quarter include:

• Net loss from continuing operations was $35.5-million in fourth quarter 2023. Basic and diluted loss per share from continuing operations was both 14 cents.
• Core funds from operations were $45.7-million, and core FFO per share was 15 cents in Q4 2023, compared with $96.8-million and 31 cents in the prior year, a decrease of 52.9 per cent and 51.6 per cent year over year, respectively. The prior-year result included $50.3-million of net performance fees earned on the sale of the U.S. multifamily rental portfolio.
• Same home net operating income growth for the single-family rental portfolio in Q4 2023 was 6.2 per cent year over year, and same home NOI margin was 69.3 per cent. Same home operating metrics remained consistently strong, including occupancy of 97.4 per cent, annualized turnover of 14.8 per cent and blended rent growth of 6.0 per cent.
• The company acquired 264 homes during the quarter for a total acquisition cost of $75.6-million and disposed of 135 non-core homes for total proceeds of $49.2-million.
• On Jan. 19, 2024, the company announced that it had entered into an arrangement agreement, under which Blackstone Real Estate Partners X LP, together with Blackstone Real Estate Income Trust Inc., will acquire all outstanding common shares of the company, and each holder of common shares (other than Blackstone and dissenting shareholders) will be entitled to receive $11.25 per common share in cash. The transactions contemplated by the arrangement agreement are expected to be completed in the second quarter of 2024, and are subject to customary closing conditions, including court approval, the approval of Tricon shareholders, and regulatory approval under the Canadian Competition Act (which was obtained on Feb. 19, 2024) and Investment Canada Act. Subject to and upon completion of the transaction, the company expects that the common shares will no longer be listed on the New York Stock Exchange or Toronto Stock Exchange and that the company will apply to cease to be a reporting issuer under applicable Canadian securities laws.

"Tricon ended 2023 on a high note, with strong same home NOI growth of 6.2 per cent and core FFO per share of 56 cents for the year, solidly within the range of our financial guidance. We achieved these results in the face of economic uncertainty and rising interest rates, while delivering an exceptional resident experience," said Gary Berman, president and chief executive officer of Tricon. "I would like to commend the entire Tricon team for their commitment to resident satisfaction and operational excellence that are instrumental to our success."

2023 guidance update

The attached guidance table shows the most recent guidance and actual results for the company's core FFO per share, same home metrics and acquisitions for the year ended Dec. 31, 2023. Tricon achieved core FFO per share and same home results that were near the midpoint of guidance, and slightly exceeded its acquisitions guidance for the year.

Quarterly dividend

Pursuant to and during the pendency of the arrangement agreement, the company intends that its regularly quarterly dividend will not be declared and has agreed that the dividend reinvestment plan will be suspended. If the arrangement agreement is terminated, the company intends to resume declaring and paying regular quarterly dividends on the common shares and to reinstate its dividend reinvestment plan.

About this press release

This press release should be read in conjunction with the company's financial statements and management's discussion and analysis for the year ended Dec. 31, 2023, which are available on Tricon's website and have been filed under the company's profile on SEDAR+, as well as with the Securities and Exchange Commission as part of the company's annual report filed on Form 40-F. The financial information therein is presented in U.S. dollars. Shareholders have the ability to receive a hard copy of the complete audited financial statements free of charge upon request. The company will not be holding a conference call following the release.

The company has also made available on its website supplemental information for the three and 12 months ended Dec. 31, 2023.

More information concerning the transaction can be found in the company's management information circular dated Feb. 15, 2024, which has been filed under the company's profile on SEDAR+ and EDGAR.

About Tricon Residential Inc.

Tricon (NYSE: TCN and TSX: TCN) is an owner, operator and developer of a growing portfolio of approximately 38,000 single-family rental homes in the U.S. Sunbelt and multifamily apartments in Canada. Its 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. Its development programs are also delivering thousands of new rental homes and apartments as part of its commitment to help solve the housing supply shortage. At Tricon, it imagines a world where housing unlocks life's potential.

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