SmartREIT Announces New Credit Facilities Totaling $500 Million

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Smart Real Estate Investment Trust (“SmartREIT”) (TSX:SRU.UN) has
announced that it has entered into an agreement with a syndicate of Canadian financial institutions, led by
The Toronto-Dominion Bank and Canadian Imperial Bank of Commerce, for a new unsecured credit facility (the
“Credit Facility”) totaling $500 million with an accordion option for up to an additional $250 million. The new
Credit Facility replaces the existing $350 million unsecured credit facility maturing in September 2017 and has a
five-year term maturing on May 31, 2022. Participating financial institutions in the Credit Facility include The
Toronto-Dominion Bank, Canadian Imperial Bank of Commerce, Bank of Montreal, Bank of Nova Scotia, Royal
Bank of Canada, Fédération des caisses Desjardins du Québec, HSBC Bank Canada, and National Bank of Canada.
Historically, SmartREIT’s existing unsecured credit facilities have been largely unused. However, the Credit
Facility is now expected to provide shorter term flexibility to support SmartREIT’s multiple growth-oriented
initiatives. The Credit Facility will represent one element of SmartREIT’s funding strategy, which will be coupled
with SmartREIT’s ready access to secured and unsecured financing alternatives from multiple financial institutions
and investors at competitive rates. In addition, SmartREIT’s increasing development pipeline and associated
construction activities are expected to be largely funded by dedicated construction facilities provided by various
banking syndicates at attractive rates for appropriate terms commensurate with each respective project. These
multiple growth-oriented initiatives are being further supported by SmartREIT’s growing unencumbered pool of
high quality shopping centres, equity contributions resulting from SmartREIT’s popular distribution re-investment
program (DRIP), and increasingly through equity ‘creation’ resulting from the realization of significant inherent
value in SmartREIT’s substantial land portfolio.

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