CAPREIT Deploys $293 Million Into Strategic Acquisitions

This news release constitutes a “designated news release” for the purposes of CAPREIT’s prospectus supplement dated May 15, 2025, to its short form base shelf prospectus dated May 15, 2025.

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TORONTO, Dec. 16, 2025 (GLOBE NEWSWIRE) -- Canadian Apartment Properties Real Estate Investment Trust (“CAPREIT”) (TSX:CAR.UN) announced today that since its last update on November 6, 2025, it has closed on the acquisition of six strategically aligned rental properties in Canada for combined gross consideration of $292.5 million. CAPREIT also announced that, as of today, it has deployed approximately $94.0 million into its Normal Course Issuer Bid (“NCIB”) program since the end of Q3 2025. All amounts disclosed herein exclude transaction costs and other customary adjustments.

Yesterday, CAPREIT completed the acquisition of a newly built rental property located in Laval, a suburb in the Greater Montréal Area of Québec. Constructed in 2020 and 2023, the two-building complex contains 436 modern residential suites with large layouts and a wide range of amenities for residents to enjoy. The premium-quality site is situated in close walking proximity to Marché 440 public market and nearby CF Carrefour Laval. It is also a 5-minute drive to Highways 15 and 440 and less than 10 minutes to Montmorency metro station, providing easy access to downtown Montréal. The recently constructed property was purchased for $178.0 million, with CAPREIT assuming the $29.5 million mortgage, which carries interest at an annual rate of 3.3% for a remaining term to maturity of approximately 7.2 years.

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CAPREIT also closed yesterday on the acquisition of a recently constructed portfolio comprising 187 residential suites in Regina, Saskatchewan. The properties were built between 2012 and 2015 in the Hawkstone and Skyview neighbourhoods, surrounded by parks, playgrounds, restaurants, stores, services and future schools. The three buildings were acquired for a purchase price of $41.0 million, and CAPREIT assumed the combined $17.6 million mortgage, which carries interest at a weighted average rate of 2.9% per annum for a weighted average term to maturity of approximately 3.8 years.

Furthermore, last week, CAPREIT completed the purchase of a 51-suite property built in 2024 in Vancouver, British Columbia. The property is near grocery stores, parks and schools, as well as many easily accessible public transit options. This location is also within a 10-minute walk of two Skytrain stations, a 5-minute train ride to Metropolis at Metrotown, and a 25-minute drive to downtown Vancouver. The new build property was purchased for $35.0 million, and CAPREIT assumed the outstanding mortgage of $27.2 million, which carries interest at an annual rate of 3.2% for a remaining term to maturity of approximately 5.0 years.

In addition to these recently built acquisitions, CAPREIT has capitalized on compelling opportunities to purchase three well-maintained, high-growth, low-rise vintage properties, two of which are strategically located directly adjacent to its existing properties owned in some of British Columbia’s most sought-after communities. This includes the early December acquisition of a 35-suite building in Mount Pleasant, one of the most dynamic neighbourhoods of East Vancouver, and the November purchases of two properties comprising a total of 98 suites in the attractive James Bay area of Victoria. The three individual acquisitions were completed for combined gross consideration of $38.5 million, with CAPREIT assuming $12.6 million in aggregate mortgage debt, which carries interest at a weighted average rate of 2.1% per annum for a weighted average term to maturity of approximately 4.1 years.

“These transactions bring our 2025 acquisition volume to a total of $659 million in highly strategic, primely located assets, which come with low capital requirements and strong return profiles,” commented Mark Kenney, President and Chief Executive Officer of CAPREIT. “We’re also continuing to purchase our recently constructed buildings at appealing pricing per square foot compared to replacement cost. This ongoing transformation is further strengthening the quality and cash flow performance of our irreplaceable rental apartment portfolio in Canada.”

“These latest acquisitions were purchased at a high-4% weighted average cap rate, with relatively attractive capex characteristics,” added Julian Schonfeldt, Chief Investment Officer. “In addition, we’ve deployed capital into our NCIB program at a mid-5% cap rate, with $94 million invested since the end of Q3 2025.”

ABOUT CAPREIT
CAPREIT is Canada's largest publicly traded provider of quality rental housing. As at September 30, 2025, CAPREIT owns approximately 45,000 residential apartment suites and townhomes that are well-located across Canada and, to a lesser extent, the Netherlands, with a total fair value of approximately $14.5 billion. For more information about CAPREIT, its business and its investment highlights, please visit our website at www.capreit.ca and our public disclosures which can be found under our profile at www.sedarplus.ca.
                
CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING INFORMATION
Certain statements contained in this press release constitute forward-looking information within the meaning of applicable Canadian securities laws, which reflect CAPREIT’s current expectations and projections about future results. Forward-looking information generally can be identified by the use of forward-looking terminology such as “outlook”, “objective”, “may”, “will”, “expect”, “intent”, “estimate”, “anticipate”, “believe”, “consider”, “should”, “plans”, “predict”, “estimate”, “forward”, “potential”, “could”, “likely”, “approximately”, “scheduled”, “forecast”, “variation” or “continue”, or similar expressions suggesting future outcomes or events. The forward-looking information in this press release relates only to events or information as of the date on which the statements are made in this press release. Actual results and developments may differ, and may differ materially, from those expressed or implied by the forward-looking information contained in this press release. Any number of factors could cause actual results to differ materially from this forward-looking information. Although CAPREIT believes that the expectations reflected in forward-looking information are reasonable, it can give no assurances that the expectations of any forward-looking information will prove to be correct. Such forward-looking information is based on a number of assumptions that may prove to be incorrect, including with regards to the expected future performance of the acquisitions. Accordingly, readers should not place undue reliance on forward-looking information.

Forward-looking information in this press release is subject to certain risks and uncertainties, many of which are beyond CAPREIT’s control, which could result in actual results differing materially from this forward-looking information. These risks and uncertainties include, but are not limited to, the risks and uncertainties described under the heading “Risks and Uncertainties” in CAPREIT’s 2024 Annual Report and under the heading “Risk Factors” in CAPREIT’s Annual Information Form for the year ended December 31, 2024, each of which is available under CAPREIT’s profile on SEDAR+ at www.sedarplus.ca.

Except as specifically required by applicable Canadian securities laws, CAPREIT does not undertake any obligation to update or revise publicly any forward-looking information, whether as a result of new information, future events or otherwise, after the date on which the information is provided or to reflect the occurrence of unanticipated events. This forward-looking information should not be relied upon as representing CAPREIT’s views as of any date subsequent to the date of this press release.