Mr. Ben Lui reports

YORKTON EQUITY GROUP INC. ANNOUNCES REMOVAL OF ALL CONDITIONS ON ACQUISITION OF THE DWELL, A 188-UNIT LUXURY MULTI-FAMILY RESIDENTIAL COMPLEX IN EDMONTON, ALBERTA, AND AMENDMENT OF THE CLOSING DATE

Yorkton Equity Group Inc., after completing a thorough due diligence and evaluation process, has removed all buyer's conditions for the acquisition of The Dwell, a very recently constructed 188-unit multi-family residential complex comprising two luxury condominium grade buildings situated on approximately 3.31 acres of land located in the Schonsee neighbourhood at 5530 and 5538 Schonsee Dr. NW, Edmonton, Alta., with a purchase price of $41,736,000.

In addition, the closing date for the acquisition of The Dwell has been amended from 30 days following the waiver or satisfaction of all of the conditions to March 2, 2023, or sooner, at the discretion of the company.

The property comprises 32 one-bedroom-with-one-bathroom suites, nine one-bedroom-plus-den-with-one-bathroom suites, 143 two-bedroom-with-two-bathroom suites and four three-bedroom with two-bathroom suites. Each suite is equipped with in-suite laundry, six piece energy efficient stainless steel appliances, designer cabinetry with quartz counter tops and full height tile backsplash, luxury flooring and lighting packages, upgraded bathroom and plumbing fixtures, air conditioning in select units, nine-foot ceilings in all suites, energy-efficient windows throughout, together with one 191 heated underground parking stalls and 73 surface parking stalls. The buildings are equipped with elevators serving all levels, with a designated elevator and loading zone for move in/out access and featuring extra wide corridors and spacious lobby for ease of wheelchair access. The property also includes amenities such as a social room for entertaining, fitness centre, two pet wash stations, a bicycle storage room, heated storage lockers on each floor, and enhanced security and safety features. A video of the property is available at the following link on Yorkton's website.

The property was very recently constructed in 2022 and is expected to have low operating costs; it has already achieved 100 per cent occupancy with a projected total annual revenue of approximately $3.4-million based on the current rent roll. It is expected to yield a capitalization rate of approximately 5 per cent, or an annual net operating income (NOI) of about $2.1-million, with potential to grow in the coming years.

The company has paid an initial deposit of $200,000 and a second non-refundable payment of $1-million. The remaining amount of the purchase price, subject to the usual adjustments, will be paid on the closing date.

Ben Lui, president and chief executive officer of Yorkton, comments: "As we broaden our investment strategy from mid-market rental properties to include luxury rental properties that are tailored to more affluent renters, we are very excited to announce our commitment to the acquisition of this highly sought-after luxury property by tendering the total non-refundable deposit of $1.2-million and removing all buyer's conditions. We look forward to continuing our accretive acquisitions to diversify our portfolio with additional high-quality properties of a similar size, and believe that our experience and ability together with access to favourable mortgage financing will position us well to continue the rapid growth of Yorkton's portfolio. Please stay tuned for further press release which will be disseminated upon the closing of this beautiful property, as well as additional acquisitions."

About Yorkton Equity Group Inc.

Yorkton Equity Group is a growth-oriented real estate investment company committed to providing shareholders with growing assets through accretive acquisitions, organic growth and the active management of multifamily rental properties with significant upside potential. The company's current geographical focus is in secondary markets in Alberta and British Columbia with diversified and growing economies, and strong population in-migration. The company's business objectives are to achieve growing net operating income, as well as net asset value (NAV) within the company's multifamily rental property portfolio in strategic markets across Canada.

We seek Safe Harbor.