on(s) to y delete sonably on the strictly

Offering Process
Brookfield
kfi ld Financial
i
i l Reall Estate Group has
h been
b
retained
i d by
b the
h Vendor
d on an exclusive
l i basis
b i to seekk
proposals for the purchase of the T&T Portfolio (the “Portfolio”, the “Properties”). The Vendor has
adopted a proposal call sale process. Interested parties are invited to submit a letter of intent on a date
to be communicated by the Advisor,
Advisor estimated to be the week of October 22nd, 2012.
2012 The Vendor will
accept, in order of preference, offers for the entire Portfolio, offers for strategic geographic clusters of
assets within the Portfolio, and offers for individual assets. Parties will be required to submit the
Vendor’ss form of Confidentiality Agreement prior to receiving information on the Property.
Vendor
Property
Exclusive Advisors
Brookfield Financial Real Estate Group Limited
Leonard Abramsky
416.956.5220 [email protected]
John Cardiff
403.770.7219 [email protected]
Nurit Altman
416.956.5225 [email protected]
Peter Zorbas
403.770.7218 [email protected]
Alexandra Khazzam
416.956.5159 [email protected]
Tony Sandhu
416.956.5211
[email protected]
Disclaimer: This message, including any attachments, may contain information that is proprietary, privileged and/or confidential and is intended exclusively for the person(s) to
whom it is addressed. If you are not the intended recipient or have received this message in error, please notify the sender immediately by reply email and permanently delete
the original transmission from the sender, including any attachments, without making a copy. This message is being sent to and is directed only at persons who are reasonably
believed to be investment professionals, high net worth individuals or entities, or other sophisticated investors. If you are not such a person you must not act or rely on the
information in this communication. Any use, copying, retention or disclosure by any person other than the intended recipient or the intended recipient's designees is strictly
prohibited and to do so could violate state and federal privacy laws. Thank you for your cooperation.
Introduction
Investment Highlights
The T&T Portfolio presents investors the opportunity to acquire a critical mass of market‐dominant retail
g q
y office p
properties
p
and development
p
land located in some of Western Canada’s
centres,, high‐quality
fastest growing markets. In total, the Portfolio comprises 2.1 million square feet, including three
enclosed regional shopping centres, 13 unenclosed retail centres, one mixed‐use property, two high‐
quality office properties, and 145 acres of development land.
 Strong Western Canadian Markets ‐ The Portfolio is located in two of Canada’s strongest provincial
economies, Alberta and Saskatchewan, experiencing GDP growth in 2011 of 4.0% and 4.8%,
respectively.
Portfolio Summary
# of Properties
24
Locations
Alberta (94%)
(94%)‐ Edmonton
dmonton (4), Calgary (5), Medicine Hat (6), Lethbridge
ethbridge ((2),
), Fort
McMurray (3), Olds (1), Lloydminster (1), AB
Saskatchewan (6%)‐ Saskatoon (2), SK
Area
2,083,782 sq.ft.
Type
Regional Malls (3) ‐ 1,188,224 sq.ft. (57%)
Unenclosed Centres (13) ‐ 601,060 sq.ft. (29%)
,
sq.ft.
q ((5%))
Mixed‐Use ((1)) ‐ 103,351
Office (2) ‐ 191,147 sq.ft. (9%)
p
Development
Land
144.62 acres,, in five p
parcels
Major Tenants
 Rapidly Growing Populations ‐ The Properties are located in some of Canada’s fastest growing
markets, including Calgary, Edmonton, Saskatoon, Fort McMurray, Medicine Hat and Lethbridge. All
of these markets have experienced double‐digit population growth since 2006.
 Located in Affluent Trade Areas ‐ The Properties benefit from prominent locations in the heart of
affluent trade areas.
areas Each trade area is home to a population with an average household income of
greater than $85,000, with Fort McMurray at over $190,000.
 Rare Opportunity to Buy A Critical Mass of Regional Malls ‐ The Portfolio offers investors a rare
opportunity to acquire a critical mass of enclosed regional shopping centres in Alberta. The three
enclosed malls in the Portfolio, namely Sherwood Park Mall (Edmonton, AB), Medicine Hat Mall
(Medicine Hat, AB) and Peter Pond Mall (Fort McMurray, AB), represent 57% of the GLA of the
P f li and
Portfolio,
d 59% off its
i NOI.
NOI
 Managed to Exceptionally High Standards ‐ The Portfolio has been managed to exceptional
standards by the T&T Properties team. Since 2009, more than $16 million has been invested in
upgrading and modernizing various properties within the Portfolio.
 Exceptionally Strong Sales Performance ‐ The Portfolio boasts high sales per square foot, with strong
yyear‐over‐year
y
sales ggrowth. Rollingg 12 month sales at Peter Pond Mall were over $
$900 p
psf for the
period ending June, 2012.
 Low GROC Ratios Avail Upside in Rents ‐ The tenants within the Portfolio’s three enclosed malls have
exceptionally low GROC ratios.
ratios With each mall
mall’ss average at less than 12%,
12% the Properties offer a
definite opportunity to increase rents as tenant leases expire.
 Strong Occupancy ‐ The Portfolio is currently 99.2% occupied, on a long‐term basis, with an average
l
lease
term off 5.4 years.
O
Occupied
i d Area
A
99 2% (2,067,503
99.2%
(2 067 503 sq.ft.)
ft )
Vacant Area
0.8% (16,279 sq.ft.)
Avg. Lease Term
5.4 years
Avg Rent PSF
Avg.
$21 24
$21.24
Year‐1 NOI
Approx. $47 Million
 Diversified Tenant Base ‐ The Portfolio is occupied by a diversified tenant base, with no single tenant
occupying more than 9% of the GLA or 6% of the base rental income, protecting potential investors
from any significant tenant related downside risk.
 Strong Anchor Tenants ‐ The top tenants in the Portfolio include such national covenants as Target,
y, Shoppers
pp
Drugg Mart and The Bay.
y These tenants occupy
py 44% of the GLA,, and represent
p
Safeway,
24% of its base rental income.
 Opportunity to Lock In Financing at Historically Low Rates ‐ As at December 31st, 2012, $37 million
of debt will be outstanding on the Portfolio,
Portfolio on only four properties.
properties The proportionally low level of
debt allows investors to take advantage of the current low interest rate environment by placing new
financing on the majority of the Portfolio at today’s low rates.
Introduction
Investment Highlights
The T&T Portfolio presents investors the opportunity to acquire a critical mass of market‐dominant retail
g q
y office p
properties
p
and development
p
land located in some of Western Canada’s
centres,, high‐quality
fastest growing markets. In total, the Portfolio comprises 2.1 million square feet, including three
enclosed regional shopping centres, 13 unenclosed retail centres, one mixed‐use property, two high‐
quality office properties, and 145 acres of development land.
 Strong Western Canadian Markets ‐ The Portfolio is located in two of Canada’s strongest provincial
economies, Alberta and Saskatchewan, experiencing GDP growth in 2011 of 4.0% and 4.8%,
respectively.
Portfolio Summary
# of Properties
24
Locations
Alberta (94%)
(94%)‐ Edmonton
dmonton (4), Calgary (5), Medicine Hat (6), Lethbridge
ethbridge ((2),
), Fort
McMurray (3), Olds (1), Lloydminster (1), AB
Saskatchewan (6%)‐ Saskatoon (2), SK
Area
2,083,782 sq.ft.
Type
Regional Malls (3) ‐ 1,188,224 sq.ft. (57%)
Unenclosed Centres (13) ‐ 601,060 sq.ft. (29%)
,
sq.ft.
q ((5%))
Mixed‐Use ((1)) ‐ 103,351
Office (2) ‐ 191,147 sq.ft. (9%)
p
Development
Land
144.62 acres,, in five p
parcels
Major Tenants
 Rapidly Growing Populations ‐ The Properties are located in some of Canada’s fastest growing
markets, including Calgary, Edmonton, Saskatoon, Fort McMurray, Medicine Hat and Lethbridge. All
of these markets have experienced double‐digit population growth since 2006.
 Located in Affluent Trade Areas ‐ The Properties benefit from prominent locations in the heart of
affluent trade areas.
areas Each trade area is home to a population with an average household income of
greater than $85,000, with Fort McMurray at over $190,000.
 Rare Opportunity to Buy A Critical Mass of Regional Malls ‐ The Portfolio offers investors a rare
opportunity to acquire a critical mass of enclosed regional shopping centres in Alberta. The three
enclosed malls in the Portfolio, namely Sherwood Park Mall (Edmonton, AB), Medicine Hat Mall
(Medicine Hat, AB) and Peter Pond Mall (Fort McMurray, AB), represent 57% of the GLA of the
P f li and
Portfolio,
d 59% off its
i NOI.
NOI
 Managed to Exceptionally High Standards ‐ The Portfolio has been managed to exceptional
standards by the T&T Properties team. Since 2009, more than $16 million has been invested in
upgrading and modernizing various properties within the Portfolio.
 Exceptionally Strong Sales Performance ‐ The Portfolio boasts high sales per square foot, with strong
yyear‐over‐year
y
sales ggrowth. Rollingg 12 month sales at Peter Pond Mall were over $
$900 p
psf for the
period ending June, 2012.
 Low GROC Ratios Avail Upside in Rents ‐ The tenants within the Portfolio’s three enclosed malls have
exceptionally low GROC ratios.
ratios With each mall
mall’ss average at less than 12%,
12% the Properties offer a
definite opportunity to increase rents as tenant leases expire.
 Strong Occupancy ‐ The Portfolio is currently 99.2% occupied, on a long‐term basis, with an average
l
lease
term off 5.4 years.
O
Occupied
i d Area
A
99 2% (2,067,503
99.2%
(2 067 503 sq.ft.)
ft )
Vacant Area
0.8% (16,279 sq.ft.)
Avg. Lease Term
5.4 years
Avg Rent PSF
Avg.
$21 24
$21.24
Year‐1 NOI
Approx. $47 Million
 Diversified Tenant Base ‐ The Portfolio is occupied by a diversified tenant base, with no single tenant
occupying more than 9% of the GLA or 6% of the base rental income, protecting potential investors
from any significant tenant related downside risk.
 Strong Anchor Tenants ‐ The top tenants in the Portfolio include such national covenants as Target,
y, Shoppers
pp
Drugg Mart and The Bay.
y These tenants occupy
py 44% of the GLA,, and represent
p
Safeway,
24% of its base rental income.
 Opportunity to Lock In Financing at Historically Low Rates ‐ As at December 31st, 2012, $37 million
of debt will be outstanding on the Portfolio,
Portfolio on only four properties.
properties The proportionally low level of
debt allows investors to take advantage of the current low interest rate environment by placing new
financing on the majority of the Portfolio at today’s low rates.
T&T Properties Real Estate Portfolio
S
Sherwood Park Mall Complex
Sherwood Park,
Park AB
470,625 sq.ft.
Major Tenants: Target (Coming 2013),
Safeway, Galaxy Cinemas
Sherwood Park Plaza
Sherwood Park,
Park AB
44,267 sq.ft.
Major Tenants: Mac’s, Cooperators Group
Gatewood Blvd & Georgian Way Land
Sherwood Park,
Park AB
4.47 acres
Olds Shoppers Drug Mart
Olds AB
Olds,
19,777 sq.ft.
Major Tenants: Shoppers Drug Mart
T&T Lloydminster
Lloydminster AB
Lloydminster,
30,717 sq.ft.
Major Tenants: The Brick, Premier Spas
Medicine Hat Mall
Medicine Hat
Hat, AB
517,951 sq.ft.
Major Tenants: Target (Coming 2013),
Safeway, The Bay, Sears
Namao Centre
Edmonton, AB
33,580 sq.ft.
Major Tenants: Shoppers Drug Mart,
Quizno’s, M&M Meats
Braeside Shopping Centre
Calgary, AB
45,653 sq.ft.
Major Tenants: Shoppers Drug Mart, Scotia
Bank, Dairy Queen
Parke at Fish Creek
Calgary, AB
61,224 sq.ft.
Major Tenants: MRKT Management, RBC
Dominion Securities
Trans-Canada
Trans
Canada Plaza
Medicine Hat, AB
20,115 sq.ft.
Major Tenants: Future Shop
Dunmore Plaza
Medicine Hat, AB
31,747 sq.ft.
Major Tenants: Lammle’s, Wok Box, Easy
Home
Park Plaza
Medicine Hat, AB
60,504 sq.ft.
Major Tenants: Sport Mart, XS Cargo
Parke at Fish Creek Land
Calgary, AB
1 acre
,
Big Springs Land
Cochrane, AB
123 acres
,
Cochrane Lakes Land
Cochrane, AB
17 acres
Carry Drive Plaza
Medicine Hat
29,581 sq.ft.
Major Tenants: Original Joe’s, BMO,
Toys “R” Us
Scotia Plaza
Medicine Hat, AB
11,366 sq.ft.
Major Tenants: Scotiabank, Pet Valu, Sally
Beauty
West Highland Towne Centre
Lethbridge, AB
29,293 sq.ft.
Major Tenants: Shoppers Drug Mart, BMO,
CIBC
Peter Pond Mall
Fort McMurray, AB
199,648 sq.ft.
Major Tenants: Atmosphere, La Senza,
Aldo, People’s Jewelers
Clearwater Landing
Fort McMurray, AB
143,054 sq.ft.
Major Tenants: Sobeys, Mark’s, The Brick,
Sport Chek
River City Centre
Fort McMurray, AB
103,351 sq.ft.
Major Tenants: Shoppers Drug Mart, TD
Canada Trust
West Lethbridge Towne Centre
Lethbridge, AB
101,406 sq.ft.
Major Tenants: Safeway, Home Hardware,
Scotiabank, McDonalds
,
T&T Towers,
Saskatoon, SK
129,923 sq.ft.
Major Tenants: CRA (Government of
Canada), City of Saskatoon
,
Downtown Land
Saskatoon, SK
17,500 sq.ft.
S
Sherwood Park Mall Complex
Sherwood Park,
Park AB
470,625 sq.ft.
Major Tenants: Target (Coming 2013),
Safeway, Galaxy Cinemas
Sherwood Park Plaza
Sherwood Park,
Park AB
44,267 sq.ft.
Major Tenants: Mac’s, Cooperators Group
Gatewood Blvd & Georgian Way Land
Sherwood Park,
Park AB
4.47 acres
Olds Shoppers Drug Mart
Olds AB
Olds,
19,777 sq.ft.
Major Tenants: Shoppers Drug Mart
T&T Lloydminster
Lloydminster AB
Lloydminster,
30,717 sq.ft.
Major Tenants: The Brick, Premier Spas
Medicine Hat Mall
Medicine Hat
Hat, AB
517,951 sq.ft.
Major Tenants: Target (Coming 2013),
Safeway, The Bay, Sears
Namao Centre
Edmonton, AB
33,580 sq.ft.
Major Tenants: Shoppers Drug Mart,
Quizno’s, M&M Meats
Braeside Shopping Centre
Calgary, AB
45,653 sq.ft.
Major Tenants: Shoppers Drug Mart, Scotia
Bank, Dairy Queen
Parke at Fish Creek
Calgary, AB
61,224 sq.ft.
Major Tenants: MRKT Management, RBC
Dominion Securities
Trans-Canada
Trans
Canada Plaza
Medicine Hat, AB
20,115 sq.ft.
Major Tenants: Future Shop
Dunmore Plaza
Medicine Hat, AB
31,747 sq.ft.
Major Tenants: Lammle’s, Wok Box, Easy
Home
Park Plaza
Medicine Hat, AB
60,504 sq.ft.
Major Tenants: Sport Mart, XS Cargo
Parke at Fish Creek Land
Calgary, AB
1 acre
,
Big Springs Land
Cochrane, AB
123 acres
,
Cochrane Lakes Land
Cochrane, AB
17 acres
Carry Drive Plaza
Medicine Hat
29,581 sq.ft.
Major Tenants: Original Joe’s, BMO,
Toys “R” Us
Scotia Plaza
Medicine Hat, AB
11,366 sq.ft.
Major Tenants: Scotiabank, Pet Valu, Sally
Beauty
West Highland Towne Centre
Lethbridge, AB
29,293 sq.ft.
Major Tenants: Shoppers Drug Mart, BMO,
CIBC
Peter Pond Mall
Fort McMurray, AB
199,648 sq.ft.
Major Tenants: Atmosphere, La Senza,
Aldo, People’s Jewelers
Clearwater Landing
Fort McMurray, AB
143,054 sq.ft.
Major Tenants: Sobeys, Mark’s, The Brick,
Sport Chek
River City Centre
Fort McMurray, AB
103,351 sq.ft.
Major Tenants: Shoppers Drug Mart, TD
Canada Trust
West Lethbridge Towne Centre
Lethbridge, AB
101,406 sq.ft.
Major Tenants: Safeway, Home Hardware,
Scotiabank, McDonalds
,
T&T Towers,
Saskatoon, SK
129,923 sq.ft.
Major Tenants: CRA (Government of
Canada), City of Saskatoon
,
Downtown Land
Saskatoon, SK
17,500 sq.ft.
Fort McMurray Portfolio
Medicine Hat Portfolio
Property Type Area Property Type Area Peter Pond Mall Enclosed Regional Mall 199,648 sq.ft.
Medicine Hat Mall Enclosed Regional Mall 517,951 sq.ft.
Cl
Clearwater Landing L di
G
Grocery Anchored,
A h d New Format Centre N F
C
143 054 f
143,054 sq.ft.
T
Trans Canada Plaza C d Pl
F
Freestanding Future Shop di F
Sh
20 115 f
20,115 sq.ft.
River City Centre Mixed‐Use Retail, Office and Medical 103,351 sq.ft.
Scotia Plaza Unenclosed Plaza 11,366 sq.ft.
446,053 sq.ft.
446,053 sq.ft.
Carry Drive Plaza
Carry Drive Plaza Unenclosed Plaza
Unenclosed Plaza 29,581 sq.ft.
29,581 sq.ft.
Dunmore Plaza Unenclosed Plaza 31,747 sq.ft.
Park Plaza Unenclosed Plaza 60,504 sq.ft.
TOTAL FORT MCMURRAY PORTFOLIO
TOTAL FORT
MCMURRAY PORTFOLIO
TOTAL MEDICINE HAT PORTFOLIO 671,264 sq.ft.
Fort McMurray Portfolio
Medicine Hat Portfolio
Property Type Area Property Type Area Peter Pond Mall Enclosed Regional Mall 199,648 sq.ft.
Medicine Hat Mall Enclosed Regional Mall 517,951 sq.ft.
Cl
Clearwater Landing L di
G
Grocery Anchored,
A h d New Format Centre N F
C
143 054 f
143,054 sq.ft.
T
Trans Canada Plaza C d Pl
F
Freestanding Future Shop di F
Sh
20 115 f
20,115 sq.ft.
River City Centre Mixed‐Use Retail, Office and Medical 103,351 sq.ft.
Scotia Plaza Unenclosed Plaza 11,366 sq.ft.
446,053 sq.ft.
446,053 sq.ft.
Carry Drive Plaza
Carry Drive Plaza Unenclosed Plaza
Unenclosed Plaza 29,581 sq.ft.
29,581 sq.ft.
Dunmore Plaza Unenclosed Plaza 31,747 sq.ft.
Park Plaza Unenclosed Plaza 60,504 sq.ft.
TOTAL FORT MCMURRAY PORTFOLIO
TOTAL FORT
MCMURRAY PORTFOLIO
TOTAL MEDICINE HAT PORTFOLIO 671,264 sq.ft.
Sherwood Park (Edmonton) Portfolio
Lethbridge Portfolio
Property Type Area Property Type Area Sherwood Park Mall & Park Place Professional Centre
Place Professional
Enclosed Regional Mall & Office Building
470,625 sq.ft.
West Lethbridge Towne Centre
Grocery Anchored Strip Centre
101,406 sq.ft.
West Highland Towne Centre
Unenclosed Strip Centre
29,293 sq.ft.
Sherwood Park Plaza
Unenclosed Strip Plaza
44,267 sq.ft.
Gatewood Boulevard & Georgian Way Land
Development Land
4.47 acres
TOTAL SHERWOOD PARK PORTFOLIO
514,892 sq.ft.
4.47 ac. of development land
TOTAL LETHBRIDGE PORTFOLIO 130,699 sq.ft.
Sherwood Park (Edmonton) Portfolio
Lethbridge Portfolio
Property Type Area Property Type Area Sherwood Park Mall & Park Place Professional Centre
Place Professional
Enclosed Regional Mall & Office Building
470,625 sq.ft.
West Lethbridge Towne Centre
Grocery Anchored Strip Centre
101,406 sq.ft.
West Highland Towne Centre
Unenclosed Strip Centre
29,293 sq.ft.
Sherwood Park Plaza
Unenclosed Strip Plaza
44,267 sq.ft.
Gatewood Boulevard & Georgian Way Land
Development Land
4.47 acres
TOTAL SHERWOOD PARK PORTFOLIO
514,892 sq.ft.
4.47 ac. of development land
TOTAL LETHBRIDGE PORTFOLIO 130,699 sq.ft.
Offering Process
Brookfield
kfi ld Financial
i
i l Reall Estate Group has
h been
b
retained
i d by
b the
h Vendor
d on an exclusive
l i basis
b i to seekk
proposals for the purchase of the T&T Portfolio (the “Portfolio”, the “Properties”). The Vendor has
adopted a proposal call sale process. Interested parties are invited to submit a letter of intent on a date
to be communicated by the Advisor,
Advisor estimated to be the week of October 22nd, 2012.
2012 The Vendor will
accept, in order of preference, offers for the entire Portfolio, offers for strategic geographic clusters of
assets within the Portfolio, and offers for individual assets. Parties will be required to submit the
Vendor’ss form of Confidentiality Agreement prior to receiving information on the Property.
Vendor
Property
Exclusive Advisors
Brookfield Financial Real Estate Group Limited
Leonard Abramsky
416.956.5220 [email protected]
John Cardiff
403.770.7219 [email protected]
Nurit Altman
416.956.5225 [email protected]
Peter Zorbas
403.770.7218 [email protected]
Alexandra Khazzam
416.956.5159 [email protected]
Tony Sandhu
416.956.5211
[email protected]
Disclaimer: This message, including any attachments, may contain information that is proprietary, privileged and/or confidential and is intended exclusively for the person(s) to
whom it is addressed. If you are not the intended recipient or have received this message in error, please notify the sender immediately by reply email and permanently delete
the original transmission from the sender, including any attachments, without making a copy. This message is being sent to and is directed only at persons who are reasonably
believed to be investment professionals, high net worth individuals or entities, or other sophisticated investors. If you are not such a person you must not act or rely on the
information in this communication. Any use, copying, retention or disclosure by any person other than the intended recipient or the intended recipient's designees is strictly
prohibited and to do so could violate state and federal privacy laws. Thank you for your cooperation.