Allied Properties Real Estate Investment Trust ("Allied") (TSX:
"AP.UN") today announced results for its fourth quarter and year
ended December 31, 2021. “2021 was a strong year operationally and
financially for Allied,” said Michael Emory, President & CEO.
“FFO per unit came in at $2.405 and AFFO per unit at $2.091, in
both cases at record levels and at the high end of the range
contemplated in our internal forecast. NAV per unit was $50.30 at
year-end, up 3.6% from year-end 2020. Leasing activity exceeded our
expectations for the year, with the result that our average
in-place net rent per occupied square foot rose in all four
quarters, finishing at $24.64 in the fourth quarter compared to
$23.88 in the comparable quarter last year.
Operations
Gross quarterly rent billed in the fourth
quarter was $175.5 million. 1.4% of the total amount due derives
from parking use, 8.0% from retail use, 16.2% from
urban-data-centre (UDC) use and 74.5% from office use. Allied
collected 97.6% of the total amount due in the quarter and afforded
deferrals aggregating $4.2 million, primarily to storefront retail
users, at least $1.5 million of which Management expects to collect
from the Canada Emergency Rent Subsidy (CERS) and other government
subsidies. Management continues the process of scaling down its
pandemic-related deferral program through extensive case-by-case
discussions with Allied’s storefront retail users, most of which
are exceptionally well located in downtown Toronto. Accordingly,
Allied did not adjust its general provision in the quarter, which
remains $3 million. Allied has not yet utilized any portion of this
provision.
Leasing
The occupied area of Allied’s rental portfolio
at the end of the fourth quarter was 89.9%, with leased area at
90.4%, down slightly from the third quarter due to known
non-renewals at Cité Multimedia in Montréal aggregating 77,300
square feet of GLA. Given the scale of Allied’s rental portfolio,
upgrade activity is now constant in all markets, particularly
Montréal, Toronto and Vancouver. The goal of the upgrade activity
is to serve users better and to boost net rent per occupied square
foot over time. At the end of the fourth quarter, Allied’s rental
portfolio was comprised of (i) 13,465,789 square feet of GLA in
buildings that are largely stabilized and (ii) 768,702 square feet
of GLA in buildings that are undergoing active upgrade. The
occupied area of the former was 91.1%, with leased area at 91.6%.
The occupied and leased area of the latter was 68.0% and 68.4%,
respectively. Management fully expects the occupied and leased
areas of its entire rental portfolio to increase in 2022, with
corresponding increases in same-asset NOI and net rent per occupied
square foot.
Allied's average in-place net rent per occupied
square foot rose again in the fourth quarter, coming in at $24.64
compared to $23.88 in the comparable quarter last year. Space
available for sub-lease in Allied's portfolio continued to decline
in the fourth quarter, as expected.
Allied renewed or replaced leases for 30.9% of
the space that matured in the quarter, considerably lower than
normal because of the known non-renewals at Cité Multimedia in
Montréal. This resulted in the following overall increases in net
rent per square foot from the affected space: (i) 9.4% in the first
year of the new term compared to the last year of the prior term;
and (ii) 18.3% on the annual average in the new term compared to
the annual average in the prior term. It also resulted in a
weighted-average lease term of 5.6 years for the entire rental
portfolio.
Fourth-Quarter and Year-End
Results
Allied’s financial and operating results are
summarized below:
|
As at December 31 |
(In
thousands except for per unit and % amounts) |
|
2021 |
|
|
2020 |
|
Change |
% Change |
Investment properties (1)(4) |
$ |
9,527,105 |
|
$ |
8,687,375 |
|
$ |
839,730 |
|
9.7 |
% |
Unencumbered
investment properties (2) |
$ |
9,064,010 |
|
$ |
6,463,680 |
|
$ |
2,600,330 |
|
40.2 |
% |
Total Assets
(1)(4) |
$ |
10,384,691 |
|
$ |
9,400,768 |
|
$ |
983,923 |
|
10.5 |
% |
Cost of PUD as a % of
GBV (2) |
|
11.2 |
% |
|
9.0 |
% |
|
2.2 |
% |
— |
|
NAV per unit
(6) |
$ |
50.30 |
|
$ |
48.54 |
|
$ |
1.76 |
|
3.6 |
% |
Debt
(1) |
$ |
3,453,284 |
|
$ |
2,725,462 |
|
$ |
727,822 |
|
26.7 |
% |
Total indebtedness
ratio (2) |
|
33.5 |
% |
|
29.2 |
% |
|
4.3 |
% |
— |
|
Adjusted
EBITDA (2) |
$ |
365,050 |
|
$ |
349,023 |
|
$ |
16,027 |
|
4.6 |
% |
Net debt as a multiple
of Adjusted EBITDA
(2) |
|
9.4x |
|
|
7.7x |
|
|
1.7x |
|
— |
|
Interest-coverage ratio including capitalized interest and
excluding financing prepayment costs
(2)(3) |
|
3.4x |
|
|
3.4x |
|
|
— |
|
— |
|
|
For the three months ended December 31 |
(In
thousands except for per unit and % amounts) |
|
2021 |
|
|
2020 |
|
Change |
% Change |
Rental Revenue (1)(4) |
$ |
146,722 |
|
$ |
145,173 |
|
$ |
1,549 |
|
1.1 |
% |
Net income
(1) |
$ |
159,921 |
|
$ |
83,842 |
|
$ |
76,079 |
|
90.7 |
% |
Net income excluding
fair value adjustments and financing prepayment costs
(2)(3)(5) |
$ |
64,444 |
|
$ |
62,240 |
|
$ |
2,204 |
|
3.5 |
% |
Adjusted
EBITDA (2) |
$ |
90,843 |
|
$ |
90,498 |
|
$ |
345 |
|
0.4 |
% |
Same asset NOI -
rental portfolio (2) |
$ |
84,915 |
|
$ |
83,624 |
|
$ |
1,291 |
|
1.5 |
% |
Same asset NOI - total
portfolio (2) |
$ |
85,869 |
|
$ |
85,104 |
|
$ |
765 |
|
0.9 |
% |
FFO
(2) |
$ |
75,691 |
|
$ |
74,742 |
|
$ |
949 |
|
1.3 |
% |
All amounts below are
excluding condominium related items and financing prepayment
costs (2)(3) |
|
|
|
|
FFO |
$ |
76,520 |
|
$ |
74,969 |
|
$ |
1,551 |
|
2.1 |
% |
FFO per unit (diluted) |
$ |
0.600 |
|
$ |
0.589 |
|
$ |
0.011 |
|
1.9 |
% |
FFO pay-out ratio |
|
70.9 |
% |
|
70.0 |
% |
|
0.9 |
% |
— |
|
AFFO |
$ |
66,076 |
|
$ |
64,623 |
|
$ |
1,453 |
|
2.2 |
% |
AFFO per unit (diluted) |
$ |
0.518 |
|
$ |
0.508 |
|
$ |
0.01 |
|
2.0 |
% |
AFFO pay-out ratio |
|
82.1 |
% |
|
81.2 |
% |
|
0.9 |
% |
— |
|
|
For the year ended December 31 |
(In
thousands except for per unit and % amounts) |
|
2021 |
|
|
2020 |
|
Change |
% Change |
Rental Revenue (1)(4) |
$ |
568,886 |
|
$ |
560,327 |
|
$ |
8,559 |
|
1.5 |
% |
Net income
(1) |
$ |
443,151 |
|
$ |
500,729 |
|
$ |
(57,578 |
) |
(11.5 |
%) |
Net income excluding
fair value adjustments and financing prepayment costs
(2)(3)(5) |
$ |
261,854 |
|
$ |
238,135 |
|
$ |
23,719 |
|
10.0 |
% |
Adjusted
EBITDA (2) |
$ |
365,050 |
|
$ |
349,023 |
|
$ |
16,027 |
|
4.6 |
% |
Same asset NOI -
rental portfolio (2) |
$ |
314,125 |
|
$ |
308,354 |
|
$ |
5,771 |
|
1.9 |
% |
Same asset NOI - total
portfolio (2) |
$ |
325,734 |
|
$ |
313,554 |
|
$ |
12,180 |
|
3.9 |
% |
FFO
(2) |
$ |
253,376 |
|
$ |
284,732 |
|
$ |
(31,356 |
) |
(11.0 |
%) |
All amounts below are
excluding condominium related items and financing prepayment
costs (2)(3) |
|
|
|
|
FFO |
$ |
306,559 |
|
$ |
285,784 |
|
$ |
20,775 |
|
7.3 |
% |
FFO per unit (diluted) |
$ |
2.405 |
|
$ |
2.295 |
|
$ |
0.110 |
|
4.8 |
% |
FFO pay-out ratio |
|
70.6 |
% |
|
71.9 |
% |
|
(1.3 |
%) |
— |
|
AFFO |
$ |
266,517 |
|
$ |
248,003 |
|
$ |
18,514 |
|
7.5 |
% |
AFFO per unit (diluted) |
$ |
2.091 |
|
$ |
1.991 |
|
$ |
0.100 |
|
5.0 |
% |
AFFO pay-out ratio |
|
81.2 |
% |
|
82.8 |
% |
|
(1.6 |
%) |
— |
|
(1) This measure is presented on an IFRS basis.(2) This is a
non-IFRS measure. Refer to the Non-IFRS Measures section below and
on page 14 of the Management's Discussion and Analysis of Results
of Operations and Financial Condition (the "MD&A") as at
December 31, 2021.(3) For the three months and year ended
December 31, 2021, Allied incurred $721 and $52,610,
respectively (December 31, 2020 - $nil and $nil, respectively)
of financing prepayment costs in connection with the favourable
refinancing of unsecured debentures and first mortgages.(4) Prior
to Q4 2021, the comparative figures for investment properties,
total assets, and rental revenue were reported on a proportionate
share basis. The comparative figures for the prior period have been
revised to an IFRS basis.(5) Prior to Q4 2021, the comparative
figure for net income excluding fair value adjustments and
financing prepayment costs was calculated on a proportionate share
basis. The comparative figure for the prior period has been revised
to be calculated on an IFRS basis.(6) Net asset value per Unit is
calculated as follows: total Unitholders' equity as at the
corresponding period ended, (per the consolidated balance sheets)
divided by the actual number of Units outstanding at period
end.
The operating results are summarized below:
|
For the year ended December 31 |
|
|
2021 |
|
|
2020 |
|
Change |
% Change |
Leased area |
|
90.4 |
% |
|
92.5 |
% |
|
(2.1 |
%) |
— |
|
Occupied
area |
|
89.9 |
% |
|
92.1 |
% |
|
(2.2 |
%) |
— |
|
Average in-place net
rent per occupied square foot |
$ |
24.64 |
|
$ |
23.88 |
|
$ |
0.76 |
|
3.2 |
% |
Renewal and
replacement rate for leases maturing in the period |
|
57.0 |
% |
|
78.3 |
% |
|
(21.3 |
%) |
— |
|
Increase in net rent on maturing leases |
|
10.1 |
% |
|
17.2 |
% |
|
(7.1 |
%) |
— |
|
In the fourth quarter, same-asset NOI for the
rental portfolio was up 1.5%, FFO per unit was up 1.9% and AFFO per
unit was up 2.0% from the comparable quarter last year. In
addition, NAV per unit increased by 3.6% from the comparable
quarter last year.
Allocation of Capital and
Funding
Allied completed its acquisition of the Dominion
Building in Vancouver in the fourth quarter. It will enhance
Allied’s ability to provide distinctive urban workspace to the
growing ecosystem of knowledge-based organizations in the area of
Downtown Vancouver east of Granville Street.
Allied continues to allocate large amounts of
capital to development activity with completion and return
estimates remaining intact. Management estimates that current
developments will increase Allied’s annual EBITDA by approximately
$80 million upon stabilization of occupancy with an expected
timeframe of three to five years, and have a weighted average lease
term of 12.4 years.
In the fourth quarter, Allied established an
at-the-market equity program (the "ATM Program") that allows it to
issue and sell up to $300 million of Allied units to the public,
from time to time, at its discretion. The ATM Program is designed
to provide additional financing flexibility which may be used in
conjunction with other existing funding sources. Allied intends to
use the net proceeds from the ATM Program for development,
repayment of indebtedness and general trust purposes. During the
quarter ended December 31, 2021, Allied issued 477,100 Units under
the ATM Program at a weighted average price of $44.07 per Unit for
gross proceeds of $21.0 million. Subsequent to December 31, 2021,
Allied issued 211,800 Units under the ATM Program at a weighted
average price of $44.02 per Unit for gross proceeds of $9.3
million.
Outlook
Allied’s internal forecast for 2022 calls for
low-to-mid-single-digit percentage growth in each of same-asset
NOI, FFO per unit and AFFO per unit. While Allied does not forecast
NAV per unit growth, it does expect to propel further growth in
2022. Allied also expects to allocate a large amount of capital in
2022 with the same strategic coherence and discipline it
demonstrated in prior years.
Allied continues to have deep confidence in, and
commitment to, its strategy of consolidating and intensifying
distinctive urban workspace and network-dense UDCs in Canada’s
major cities. Allied firmly believes that its strategy is
underpinned by the most important secular trends in Canadian and
global real estate. Allied also firmly believes that it has the
properties, the financial strength, the people and the platform
necessary to execute its strategy for the ongoing benefit of its
unitholders and other constituents.
Non-IFRS MeasuresManagement
uses financial measures based on International Financial Reporting
Standards ("IFRS") and non-IFRS measures to assess Allied's
performance. Non-IFRS measures do not have any standardized meaning
prescribed under IFRS, and therefore, should not be construed as
alternatives to net income or cash flow from operating activities
calculated in accordance with IFRS. Refer to the Non-IFRS Measures
section on page 14 of the MD&A as at December 31, 2021,
available on www.sedar.com, for an explanation of the composition
of the non-IFRS measures used in this press release and their
usefulness for readers in assessing Allied's performance. Such
explanation is incorporated by reference herein.
Reconciliations of Non-IFRS
Measures
The following tables reconcile the non-IFRS
measures to the most comparable IFRS measures for the three months
and year ended December 31, 2021 and the comparable periods in
2020. These terms do not have any standardized meaning prescribed
under IFRS and may not be comparable to similarly titled measures
presented by other publicly traded entities.
Adjusted Earnings Before Interest,
Taxes, Depreciation and Amortization ("Adjusted
EBITDA")The following table reconciles Allied's net income
and comprehensive income to Adjusted EBITDA, a non-IFRS measure,
for the three months and years ended December 31, 2021, and
December 31, 2020.
|
Three months ended |
Year ended |
|
December 31, 2021 |
|
December 31, 2020 |
|
December 31, 2021 |
|
December 31, 2020 |
|
Net income and comprehensive income for the period |
$ |
159,921 |
|
$ |
83,842 |
|
$ |
443,151 |
|
$ |
500,729 |
|
Interest expense |
|
17,454 |
|
|
17,774 |
|
|
120,351 |
|
|
72,603 |
|
Amortization of other
assets |
|
273 |
|
|
341 |
|
|
1,167 |
|
|
1,467 |
|
Amortization of improvement
allowances |
|
8,259 |
|
|
8,072 |
|
|
32,424 |
|
|
32,522 |
|
Fair value gain on investment
properties and investment properties held for sale |
|
(95,070 |
) |
|
(14,809 |
) |
|
(215,693 |
) |
|
(276,294 |
) |
Fair value loss (gain) on
derivative instruments |
|
6 |
|
|
(4,722 |
) |
|
(16,350 |
) |
|
17,996 |
|
Adjusted EBITDA |
$ |
90,843 |
|
$ |
90,498 |
|
$ |
365,050 |
|
$ |
349,023 |
|
Net income excluding fair value
adjustments and financing prepayment costsThe following
table reconciles Allied's net income and comprehensive income to
net income excluding fair value adjustments and financing
prepayment costs, a non-IFRS measure, for the three months and
years ended December 31, 2021, and December 31, 2020.
|
Three months ended |
Year ended |
|
December 31, 2021 |
|
December 31, 2020 |
December 31, 2021 |
December 31, 2020 |
|
Net income and comprehensive income |
$ |
159,921 |
|
$ |
83,842 |
$ |
443,151 |
$ |
500,729 |
|
Less: Fair value gain on
investment properties and investment properties held for sale |
|
96,204 |
|
|
16,880 |
|
217,557 |
|
280,590 |
|
Less: Fair value (loss) gain
on derivative instruments |
|
(6 |
) |
|
4,722 |
|
16,350 |
|
(17,996 |
) |
Add:
Financing prepayment costs |
|
721 |
|
|
— |
|
52,610 |
|
— |
|
Net income excluding fair value adjustments and financing
prepayment costs |
$ |
64,444 |
|
$ |
62,240 |
$ |
261,854 |
$ |
238,135 |
|
Same Asset NOISame asset NOI, a
non-IFRS measure, is measured as the net operating income for the
properties that Allied owned and operated for the entire duration
of both the current and comparative period. Same asset NOI of the
assets held for sale for the three months and year ended
December 31, 2021, consists of three investment properties
that Allied classified as assets held for sale on September 30,
2021 and intends to sell to third parties within the next nine
months. The following table reconciles Allied's same asset NOI to
operating income for the three months and years ended
December 31, 2021, and December 31, 2020.
|
Three months ended |
Change |
|
December 31, 2021 |
|
December 31, 2020 |
|
$ |
|
% |
|
Rental Portfolio - Same Asset NOI |
$ |
84,915 |
|
$ |
83,624 |
|
$ |
1,291 |
|
1.5 |
% |
Development Portfolio - Same Asset NOI |
$ |
574 |
|
$ |
988 |
|
$ |
(414 |
) |
(41.9 |
%) |
Assets Held for Sale - Same Asset NOI |
$ |
380 |
|
$ |
492 |
|
$ |
(112 |
) |
(22.8 |
%) |
Total Portfolio - Same Asset NOI |
$ |
85,869 |
|
$ |
85,104 |
|
$ |
765 |
|
0.9 |
% |
Acquisitions |
|
1,441 |
|
|
4 |
|
|
1,437 |
|
|
Lease terminations |
|
268 |
|
|
542 |
|
|
(274 |
) |
|
Development fees and corporate items |
|
2,660 |
|
|
3,716 |
|
|
(1,056 |
) |
|
NOI |
$ |
90,238 |
|
$ |
89,366 |
|
$ |
872 |
|
1.0 |
% |
Amortization of improvement allowances |
|
(8,259 |
) |
|
(8,072 |
) |
|
(187 |
) |
|
Amortization of straight-line rents |
|
1,141 |
|
|
1,596 |
|
|
(455 |
) |
|
Operating income, proportionate basis |
$ |
83,120 |
|
$ |
82,890 |
|
$ |
230 |
|
0.3 |
% |
Less: investment in joint venture |
$ |
315 |
|
$ |
138 |
|
$ |
177 |
|
128.3 |
% |
Operating income, IFRS basis |
$ |
82,805 |
|
$ |
82,752 |
|
$ |
53 |
|
0.1 |
% |
|
Year ended |
Change |
|
December 31, 2021 |
|
December 31, 2020 |
|
$ |
|
% |
|
Rental Portfolio - Same Asset NOI |
$ |
314,125 |
|
$ |
308,354 |
|
$ |
5,771 |
|
1.9 |
% |
Development Portfolio - Same Asset NOI |
$ |
10,074 |
|
$ |
3,325 |
|
$ |
6,749 |
|
203.0 |
% |
Assets Held for Sale - Same Asset NOI |
$ |
1,535 |
|
$ |
1,875 |
|
$ |
(340 |
) |
(18.1 |
)% |
Total Portfolio - Same Asset NOI |
$ |
325,734 |
|
$ |
313,554 |
|
$ |
12,180 |
|
3.9 |
% |
Acquisitions |
|
20,146 |
|
|
16,735 |
|
|
3,411 |
|
|
Lease terminations |
|
1,281 |
|
|
1,163 |
|
|
118 |
|
|
Development fees and corporate items |
|
11,558 |
|
|
11,020 |
|
|
538 |
|
|
NOI |
$ |
358,719 |
|
$ |
342,472 |
|
$ |
16,247 |
|
4.7 |
% |
Amortization of improvement allowances |
|
(32,424 |
) |
|
(32,522 |
) |
|
98 |
|
|
Amortization of straight-line rents |
|
4,729 |
|
|
10,132 |
|
|
(5,403 |
) |
|
Condominium profits |
|
— |
|
|
178 |
|
|
(178 |
) |
|
Operating income, proportionate basis |
$ |
331,024 |
|
$ |
320,260 |
|
$ |
10,764 |
|
3.4 |
% |
Less: investment in joint venture |
$ |
1,633 |
|
$ |
1,245 |
|
$ |
388 |
|
31.2 |
% |
Operating income, IFRS basis |
$ |
329,391 |
|
$ |
319,015 |
|
$ |
10,376 |
|
3.3 |
% |
Funds from operations ("FFO") and
Adjusted funds from operations ("AFFO")The following table
reconciles Allied's net income to FFO, FFO excluding condominium
related items and financing prepayment costs, AFFO, and AFFO
excluding condominium related items and financing prepayment costs,
which are non-IFRS measures, for the three months and years ended
December 31, 2021, and December 31, 2020.
|
Three months ended |
|
December 31, 2021 |
|
December 31, 2020 |
|
Change |
Net income and comprehensive income |
$ |
159,921 |
|
$ |
83,842 |
|
$ |
76,079 |
|
Adjustment to fair value of
investment properties and investment properties held for sale |
|
(96,204 |
) |
|
(16,880 |
) |
|
(79,324 |
) |
Adjustment to fair value of
derivative instruments |
|
6 |
|
|
(4,722 |
) |
|
4,728 |
|
Incremental leasing costs |
|
2,249 |
|
|
1,745 |
|
|
504 |
|
Amortization of improvement
allowances |
|
8,129 |
|
|
7,959 |
|
|
170 |
|
Adjustments relating to joint
venture: |
|
|
|
Adjustment to fair value on investment properties |
|
1,134 |
|
|
2,071 |
|
|
(937 |
) |
Amortization of improvement allowances |
|
130 |
|
|
113 |
|
|
17 |
|
Interest expense (1) |
|
326 |
|
|
614 |
|
|
(288 |
) |
FFO |
$ |
75,691 |
|
$ |
74,742 |
|
$ |
949 |
|
Condominium marketing
costs |
|
108 |
|
|
227 |
|
|
(119 |
) |
Financing prepayment costs |
|
721 |
|
|
— |
|
|
721 |
|
FFO excluding condominium related items and financing prepayment
costs |
$ |
76,520 |
|
$ |
74,969 |
|
$ |
1,551 |
|
Amortization of straight-line
rents |
|
(902 |
) |
|
(1,203 |
) |
|
301 |
|
Regular leasing
expenditures |
|
(3,253 |
) |
|
(3,849 |
) |
|
596 |
|
Regular maintenance capital
expenditures |
|
(1,566 |
) |
|
(1,939 |
) |
|
373 |
|
Incremental leasing costs
(related to regular leasing expenditures) |
|
(1,574 |
) |
|
(1,221 |
) |
|
(353 |
) |
Recoverable maintenance
capital expenditures |
|
(2,910 |
) |
|
(1,741 |
) |
|
(1,169 |
) |
Adjustment relating to joint
venture: |
|
|
|
Amortization of straight-line rents |
|
(239 |
) |
|
(393 |
) |
|
154 |
|
AFFO excluding condominium related items and financing prepayment
costs |
$ |
66,076 |
|
$ |
64,623 |
|
$ |
1,453 |
|
|
|
|
|
Weighted average number of
Units |
|
|
|
Basic |
|
127,441,142 |
|
|
127,256,661 |
|
|
184,481 |
|
Diluted |
|
127,611,273 |
|
|
127,298,000 |
|
|
313,273 |
|
|
|
|
|
Per Unit - basic |
|
|
|
FFO |
$ |
0.594 |
|
$ |
0.587 |
|
$ |
0.007 |
|
FFO excluding condominium
related items and financing prepayment costs |
$ |
0.600 |
|
$ |
0.589 |
|
$ |
0.011 |
|
AFFO excluding condominium
related items and financing prepayment costs |
$ |
0.518 |
|
$ |
0.508 |
|
$ |
0.010 |
|
|
|
|
|
Per Unit - diluted |
|
|
|
FFO |
$ |
0.593 |
|
$ |
0.587 |
|
$ |
0.006 |
|
FFO excluding condominium
related items and financing prepayment costs |
$ |
0.600 |
|
$ |
0.589 |
|
$ |
0.011 |
|
AFFO excluding condominium
related items and financing prepayment costs |
$ |
0.518 |
|
$ |
0.508 |
|
$ |
0.010 |
|
|
|
|
|
Pay-out Ratio |
|
|
|
FFO |
|
71.6 |
% |
|
70.2 |
% |
|
1.4 |
% |
FFO excluding condominium
related items and financing prepayment costs |
|
70.9 |
% |
|
70.0 |
% |
|
0.9 |
% |
AFFO
excluding condominium related items and financing prepayment
costs |
|
82.1 |
% |
|
81.2 |
% |
|
0.9 |
% |
(1) This amount represents interest expense on Allied's joint
venture investment in TELUS Sky and is not capitalized under IFRS,
but is allowed as an adjustment under REALPAC's definition of
FFO.
|
Year ended |
|
December 31, 2021 |
|
December 31, 2020 |
|
Change |
Net income and comprehensive income |
$ |
443,151 |
|
$ |
500,729 |
|
$ |
(57,578 |
) |
Adjustment to fair value of
investment properties and investment properties held for sale |
|
(217,557 |
) |
|
(280,590 |
) |
|
63,033 |
|
Adjustment to fair value of
derivative instruments |
|
(16,350 |
) |
|
17,996 |
|
|
(34,346 |
) |
Incremental leasing costs |
|
8,038 |
|
|
7,069 |
|
|
969 |
|
Amortization of improvement
allowances |
|
32,305 |
|
|
32,193 |
|
|
112 |
|
Adjustments relating to joint
venture: |
|
|
|
Adjustment to fair value on investment properties |
|
1,864 |
|
|
4,296 |
|
|
(2,432 |
) |
Amortization of improvement allowances |
|
119 |
|
|
329 |
|
|
(210 |
) |
Interest expense (1) |
|
1,806 |
|
|
2,710 |
|
|
(904 |
) |
FFO |
$ |
253,376 |
|
$ |
284,732 |
|
$ |
(31,356 |
) |
Condominium revenue |
|
— |
|
|
(178 |
) |
|
178 |
|
Condominium marketing
costs |
|
573 |
|
|
1,230 |
|
|
(657 |
) |
Financing prepayment costs |
|
52,610 |
|
|
— |
|
|
52,610 |
|
FFO excluding condominium related items and financing prepayment
costs |
$ |
306,559 |
|
$ |
285,784 |
|
$ |
20,775 |
|
Amortization of straight-line
rents |
|
(3,682 |
) |
|
(7,856 |
) |
|
4,174 |
|
Regular leasing
expenditures |
|
(17,177 |
) |
|
(11,016 |
) |
|
(6,161 |
) |
Regular maintenance capital
expenditures |
|
(4,327 |
) |
|
(5,908 |
) |
|
1,581 |
|
Incremental leasing costs
(related to regular leasing expenditures) |
|
(5,626 |
) |
|
(4,950 |
) |
|
(676 |
) |
Recoverable maintenance
capital expenditures |
|
(8,183 |
) |
|
(5,775 |
) |
|
(2,408 |
) |
Adjustment relating to joint
venture: |
|
|
|
Amortization of straight-line rents |
|
(1,047 |
) |
|
(2,276 |
) |
|
1,229 |
|
AFFO excluding condominium related items and financing prepayment
costs |
$ |
266,517 |
|
$ |
248,003 |
|
$ |
18,514 |
|
|
|
|
|
Weighted average number of
Units |
|
|
|
Basic |
|
127,305,384 |
|
|
124,427,715 |
|
|
2,877,669 |
|
Diluted |
|
127,455,829 |
|
|
124,536,634 |
|
|
2,919,195 |
|
|
|
|
|
Per Unit - basic |
|
|
|
FFO |
$ |
1.990 |
|
$ |
2.288 |
|
$ |
(0.298 |
) |
FFO excluding condominium
related items and financing prepayment costs |
$ |
2.408 |
|
$ |
2.297 |
|
$ |
0.111 |
|
AFFO excluding condominium
related items and financing prepayment costs |
$ |
2.094 |
|
$ |
1.993 |
|
$ |
0.101 |
|
|
|
|
|
Per Unit - diluted |
|
|
|
FFO |
$ |
1.988 |
|
$ |
2.286 |
|
$ |
(0.298 |
) |
FFO excluding condominium
related items and financing prepayment costs |
$ |
2.405 |
|
$ |
2.295 |
|
$ |
0.110 |
|
AFFO excluding condominium
related items and financing prepayment costs |
$ |
2.091 |
|
$ |
1.991 |
|
$ |
0.100 |
|
|
|
|
|
Pay-out Ratio |
|
|
|
FFO |
|
85.5 |
% |
|
72.1 |
% |
|
13.4 |
% |
FFO excluding condominium
related items and financing prepayment costs |
|
70.6 |
% |
|
71.9 |
% |
|
(1.3 |
%) |
AFFO
excluding condominium related items and financing prepayment
costs |
|
81.2 |
% |
|
82.8 |
% |
|
(1.6 |
%) |
(1) This amount represents interest expense on Allied's joint
venture investment in TELUS Sky and is not capitalized under IFRS,
but is allowed as an adjustment under REALPAC's definition of
FFO.
Cautionary Statements
This press release may contain forward-looking
statements with respect to Allied, its operations, strategy,
financial performance and condition and the expected impact of the
global pandemic and consequent economic disruption. These
statements generally can be identified by use of forward-looking
words such as "forecast", “may”, “will”, “expect”, “estimate”,
“anticipate”, “intends”, “believe” or “continue” or the negative
thereof or similar variations. Allied’s actual results and
performance 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, including the effect of the global
pandemic and consequent economic disruption. 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 regulations and the factors
described under “Risk Factors” in Allied’s Annual Information Form
which is available at www.sedar.com. The cautionary statements
qualify all forward-looking statements attributable to Allied and
persons acting on its behalf. Unless otherwise stated, all
forward-looking statements speak only as of the date of this press
release, and Allied has no obligation to update such
statements.
About Allied
Allied is a leading owner operator of (i)
distinctive urban workspace in Canada’s major cities and (ii)
network-dense urban data centres in Toronto that form Canada’s hub
for global connectivity. Allied’s business is providing
knowledge-based organizations with distinctive urban environments
for creativity and connectivity.
FOR FURTHER INFORMATION, PLEASE
CONTACT:
Michael EmoryPresident & Chief Executive Officer(416)
977-0643memory@alliedreit.com
Tom BurnsExecutive Vice President & Chief Operating
Officer(416) 977-9002tburns@alliedreit.com
Cecilia WilliamsExecutive Vice President & Chief Financial
Officer(416) 977-9002cwilliams@alliedreit.com
Allied Properties Real E... (TSX:AP.UN)
Graphique Historique de l'Action
De Fév 2024 à Mar 2024
Allied Properties Real E... (TSX:AP.UN)
Graphique Historique de l'Action
De Mar 2023 à Mar 2024