foundations
0
FORWARD-LOOKING STATEMENTS
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This investor presentation includes certain forward-looking statements. All statements, other than statements of
historical fact, included herein, including, without limitation, statements and future plans and objectives of BTB Real Estate
Investment Trust (BTB), are forward-looking statements that involve various risks, assumptions, estimates and
uncertainties. These statements reflect the current internal projections, expectations or beliefs of BTB and are based on
information currently available to BTB. There can be no assurance and no representation or warranty is made by any
person that such statements will prove to be accurate, and actual results and future events could differ materially from
those anticipated in such statements. All of the forward looking statements contained in this presentation are qualified by
these cautionary statements described above. Furthermore, all such statements are made as of the date this presentation
is given and BTB assumes no obligation to update or revise these statements other than as required by applicable laws.
BTB cannot assure investors that actual results will be consistent with these forward looking statements and BTB assumes
no obligation to update or revise the forward looking statements contained in this confidential investor presentation to
reflect actual events or new circumstances.
An investment in BTB is highly speculative due to the nature of BTB's business. The ability of BTB to carry out its
business plan and achieve its objectives as described in this confidential investor presentation is dependant on many
factors, including BTB obtaining additional capital. There is no assurance that BTB will be able to successfully raise the
capital required or to complete each of the growth initiatives described. Investors must rely upon the ability, expertise,
judgment, discretion, integrity and good faith of the management of BTB .
BTB is subject to significant risks and uncertainties which may cause the actual results, performance or
achievements of BTB to be materially different from any future results, performance or achievements expressed or implied
by the forward looking statements contained in this release. A description of a number of these risk factors can be found in
the BTB s Annual Information Form dated March 30, 2017 which can be found at www.sedar.com.
By accepting delivery of this confidential investor presentation, the Investor agrees, (i) to keep strictly confidential
the contents of this confidential investor presentation and not to disclose such contents to any third party or otherwise use
the contents for any purpose other than evaluation by such offeree of an investment in the securities; (ii) not to copy all or
any portion of this confidential investor presentation; and (iii) to return this confidential investor presentation to BTB upon
request of BTB .
1
BTBS OBJECTIVES
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i) to expand its real estate asset base and increase its net operating
income to fund distributions through an accretive acquisition and
property management program;
ii) to increase its asset value and maximize long-term unit value
through active portfolio management; and
2
ACQUISITION STRATEGY
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3
CONTINUED GROWTH
____________________________________________________________________________________________________________________________________________________________
60 000
48 118
50 000
41 459
40 000 34 595
30 325
27 906
30 000
20 000
10 995
10 000
302
-
4
CONTINUED GROWTH
____________________________________________________________________________________________________________________________________________________________
45 000 41 339
41 294
40 000 37 983
35 336
35 000
30 000
26 996
25 000
22 122
19 357
20 000 17 509
15 241
15 000
10 000
6 640
5 000
207
-
5
CONTINUED GROWTH
____________________________________________________________________________________________________________________________________________________________
130%
120%
112.1%
110%
100% 98.1%
90%
83,4%
82.6%
80% 77.9% 77.3%
70%
60%
2010 2011 2012 2013 2014 2015 2016
6
CONTINUED GROWTH
____________________________________________________________________________________________________________________________________________________________
292 758
300 000
227 716 214 480
191 007
200 000
100 000
36 239
80
71 71 72
69
70 65
60
54
49
50
43 43
40
32
30
20
10
2
0
8
CONTINUED GROWTH
____________________________________________________________________________________________________________________________________________________________
6 000
5 095 5 144
4 821
5 000
4 580
4 341
4 000
3 271
2 857
3 000
2 269 2 269
1 863
2 000
1 000
124
-
9
BTBs PERFORMANCE
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10
BTBs PERFORMANCE
(on the markets)
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11
BTBs PORTFOLIO
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TOTAL 100%
TOTAL 100%
Sherbrooke Mixed-use
Greater
Montreal
Greater
Montreal Office Industrial
London
Region
Ottawa
Region
Retail
12
BTB - TOP 10 TENANTS
(at December 31, 2016)
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13
BTB - LEASE MATURITY
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45%
40% 30.9%
35%
30%
25%
20% 21.1 %
18.2%
15% 14.9%
10%
8.3%
6.6%
5%
0%
2017 2018 2019 2020 2021 2022
and after
14
BTB LONG TERM DEBT
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As at December 31, 2016, the weighted average contractual interest rate of the REITs long-
term debt stood at 4.16%, i.e. 3.79% for mortgages payable and 7.03% for convertible
debentures. The average maturity of mortgage loans is 5.9 years.
15
SIGNIFICANT EVENT IN 2016
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On June 30, 2016, and July 19, 2016, on the exercising of the overallotment
option, the Trust issued approximately 7.2 million units at $4.55 by public
subscription, for approximately $31 million in proceeds, net of underwriting
fees and issue expenses.
The proceeds of issue were used to redeem the Series D debentures in the
amount of $23 million bearing interest at 7.25% and a portion of the
acquisition line of credit in the amount of $6.1 million bearing interest at
5.95%.
These transactions reduced the Trusts overall debt rate by 400 basis points.
These transactions also reduced the per-unit ratios by 1.2 per quarter and
significantly increased the various payout ratios, FFO by 10% and AFFO by
6%.
16
SIGNIFICANT EVENT IN 2016 (contd)
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17
HIGHLIGHTS 2016
____________________________________________________________________________________________________________________________________________________________
Slight increase
Slight decrease
In the total debt ratio (from 71% to 65.7%) and the average interest rate
on mortgage debt.
18
HIGHLIGHTS 2016
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Leasing activities
More than 520,000 square feet of leases renewed and new leases signed
during the year.
5.6% increase in the average rental rate of renewed leases during the
year.
Financing activities
19
BTBs INTERNAL GROWTH
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BTB increased its rental revenues by 5.6% for its 2016 lease renewals and
by 10.1% for its lease renewals for Q4-2016.
20
BTBs INTERNAL GROWTH
____________________________________________________________________________________________________________________________________________________________
21
BOARD OF TRUSTEES
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22
BOARD OF TRUSTEES
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23
BOARD OF TRUSTEES/MANAGEMENT
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24
MANAGEMENT
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25
TSX: BTB.UN
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