/NOT FOR DISTRIBUTION IN
Rent Collection
To date, Cominar has collected approximately 68% of billed gross rent for the month of
Office Portfolio
To date, Cominar has collected approximately 88% of billed office gross rent for the month of
Industrial Portfolio
To date, Cominar has collected approximately 78% of billed industrial gross rent for the month of
Retail Portfolio
Tenants representing approximately 80% of the REIT's annual retail portfolio's gross rent are currently not open or operating. To date, Cominar has collected approximately 38% of billed retail gross rent for the month of
Federal Government Tenant and
On
Capital Expenditure and Expense Management
In order to ensure that the REIT minimizes the impact on free cash flow in the face of pressures on revenues related to the pandemic, Cominar is focused on reducing operating expenses and capital expenditures. Various initiatives to reduce or defer operating expenses and investments have been put in place including, putting new development starts on hold, reductions in tenant incentives and capital investments, deferral of property taxes and hydro payments, temporary layoffs and operating cost reductions as energy costs, cleaning services and maintenance. Operating initiatives are expected to reduce the REIT's Q2 2020 budgeted operating expenses by $15 million or 28%. The REIT also intends to reduce capital expenditures including investments in developments by
Enhanced Liquidity Position
Cominar had a strong liquidity position of
The REIT has
In addition to available liquidity and further to the closing in Q1 2020 of previously announced refinancing transactions, the REIT's assets, with an IFRS value of approximately
Virtual Annual and Special Meeting of Unitholders
For the first time and given the exceptional circumstances of this unprecedented public health impact of the COVID-19 pandemic, Cominar's annual and special meeting will be held in a virtual format, which means online only. The meeting of unitholders will be held on May 13, 2020 at
COVID-19 Risks
Although the ultimate impact of COVID-19 on the economy and its duration remains uncertain, disruptions caused by the pandemic may materially adversely affect the performance of the REIT. Any additional changes in operations in response to COVID-19 could materially impact the financial results of the REIT and may include tenants' ability to pay rent in full or at all, consumer demand for tenants' products or services, temporary or long-term interruption of development projects, temporary or long-term labour shortages or disruptions, temporary or long-term impacts on supply chains, increased risks to IT systems and networks and the REIT's ability to access capital on acceptable terms or at all. Uncertain economic conditions resulting from the COVID-19 pandemic may, in the short or long term, materially adversely impact operations and the financial performance of the REIT including property valuation.
Human Capital and
In these unprecedented times, our top priority has been the health and safety of our employees, clients and customers. We have continued to apply the rigorous protocols tied to maintaining services for essential businesses and workers. We have established regular communication with our staff and have deployed an array of resources to facilitate their personal and professional lives, including readings, webinars and remote social activities.
We have been remained in touch with the communities we operate in and created a virtual family activity for Easter, which also raised funds for our annual partnership with Operation
Finally, in keeping with this spirit of solidarity and our pledge to reach out to those in need, our top executives have unanimously agreed to donate a portion of amounts allocated to them as a result of their salary review to charitable endeavours tackling the impacts of the COVID-19 crisis. In addition to our corporate contribution, our organization and leadership team will donate a total of
Profile as at
Cominar is one of the largest diversified real estate investment trusts in
Forward-Looking Statements
This press release may contain forward-looking statements with respect to Cominar and its operations, strategy, financial performance and financial condition. These statements generally can be identified by the use of forward-looking words such as "may", "will", "expect", "estimate", "anticipate", "intend", "believe" or "continue" or the negative thereof or similar variations. The actual results and performance of Cominar discussed herein could differ materially from those expressed or implied by such statements. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Some important factors that could cause actual results to differ materially from expectations include, among other things, general economic and market factors, competition, changes in government regulation and the factors described under "Risk Factors" in the Annual Information Form of Cominar. The cautionary statements qualify all forward-looking statements attributable to Cominar and persons acting on its behalf. Unless otherwise stated, all forward-looking statements speak only as of the date of this press release.
SOURCE
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