BUILDING VALUE THROUGH DEVELOPMENT

BUILDING VALUE THROUGH DEVELOPMENT

DELIVERING LONG-TERM RETURNS GWL Realty Advisors is a leading real estate investment advisor providing comprehensive asset management, property management, development management and specialized real estate advisory services to pension funds and institutional clients. We are recognized as a green star leader currently ranked second overall in Canada and in the top 10 per cent globally among real estate management firms by the Global Real Estate Sustainability Benchmark. Over the years, GWL Realty Advisors has earned a reputation as one of Canada s premier developers by securing and executing on a wide range of commercial, residential and institutional projects. Alignment with both our clients objectives and those of the communities in which we develop ensures long-term interests are achieved and value is added. During the development process GWL Realty Advisors applies a variety of critical assessments to deliver quality properties that are characterized by economic performance, leading design and technological innovation, and that are socially and environmentally responsible. $12.3B assets under management 241 properties under management 8.6% 10-Yr. portfolio rate of return (2016) DEVELOPING PREMIER REAL ESTATE $6B completed, active and pre-development projects $700M value created for clients ABOVE: Vancouver Centre II COVER: Southcore Financial Centre

WHO AND WHERE WE ARE The GWL Realty Advisors development team comprises more than 25 real estate professionals focused on property development and redevelopment. Staffed regionally, the group functions effectively on a national basis, in core markets. CURRENT PROJECTS OFFICE INDUSTRIAL MIXED-USE MULTI-RESIDENTIAL 377K sq. ft. 1.1M sq. ft. 390 hotel rooms 305 apartment units 3,051 apartment units $2B+ LEGEND current development projects UNDERWAY AND PLANNED Office Mixed-use Industrial Multi-residential Leveraging its depth of experience, the development team s accomplishments are guided by the company s business priorities long-term returns and value creation, operational excellence, environmental sustainability and community enhancement and rooted in trust and integrity. APPLYING EXPERIENCE AND EXPERTISE TO A COMPLEX PROCESS LEADERSHIP CREATIVITY RELATIONSHIPS RISK ANALYSIS VISION PROBLEM-SOLVING EXPERIENCE 01

OUR ADVANTAGE INTEGRATED RELATIONSHIPS The integration of expertise and relationships is important at GWL Realty Advisors. From a project s inception to completion, the development team ensures success by leveraging the company s regional management model and its extensive network of local professionals and experts. Local Presence, Expertise and Relationships BROKERAGE FIRMS Integrated, Internal Functional Groups ASSET MANAGEMENT CONSULTANTS LOCAL COMMUNITY CONTRACTORS LEASING AND PROPERTY MANAGEMENT PORTFOLIO MANAGEMENT AND RESEARCH MUNICIPAL STAFF INVESTMENTS DIVERSE EXPERIENCE With over $6B of property developments completed or underway, the development team s accomplishments are highlighted across a broad variety of markets and asset classes. It is this experience that ensures the delivery of hallmark, investment grade properties and the creation of fundamental value for clients. OFFICE PROPERTIES MULTI-RESIDENTIAL PROPERTIES OTHER PROPERTIES INDUSTRIAL PROPERTIES RETAIL PROPERTIES 33% 32% 17% 16% 2% 02

OUR PROCESS A PROVEN APPROACH The development team leads and synchronizes an extremely complex process from inception to completion. It is through the course of this fully integrated process where the depth and value of our relationships, knowledge and experience differentiates GWL Realty Advisors. 1. Establish the Opportunity Maximize prospects with local presence to leverage relationships Complete full acquisition and due diligence Undertake feasibility assessments applying an economic and research focus to identify risks Collaborate with internal and external specialists to confirm merits 3. Municipal Planning Navigate city requirements and engage with staff early and often Engage tenant, public and community stakeholders Unlock significant value creation through culmination of project visioning into reality Mitigate risk by improving predictability of bureaucratic complexities 5. Leasing and Marketing Translate visioning into marketing and branding materials Engage partners in an optimal industry and public relations strategy Coordinate promotion milestone events and tenant move-ins Support lease negotiations and administration Maximize absorption, occupancy and revenues 2. Planning and Design Management Establish context in relation to policy, site and community Create project visioning by coordinating interests and defining key elements Develop a path to completion, harmonizing team members and project milestones 4. Construction Adhere to a critical path that synchronizes team members Oversee budget and payment processes Monitor pro-forma versus evolving market conditions Coordinate transition planning and phased turnovers Administer achievement of operational performance 6. Asset and Property Management Coordinate asset and property management teams in advance to ensure project continuity Optimize design, value and performance Instill accountability in capital and income return optimization 03

OUR SUCCESSES - CASE STUDY 1.4M sq. ft. of LEED Gold certified office space in two towers 567 - room flagship Delta Hotel Toronto, ON Mixed-use 04

Southcore Financial Centre The Challenge Acquired in 2006, the development site at 18 York St., south of the financial core, was considered to be fringe for an office development and posed concerns about the building s marketability to establish core tenant users. The Opportunity In 2007, Phase I began after a high profile anchor tenant, PwC Canada, was secured. As a result of increased leasing activity in the immediate area, the remainder of the block to the west was acquired in 2009, and zoned for residential and hotel use (Phase II). Delta Hotels & Resorts was secured as operator for what would be their flagship hotel and centrepiece for their new brand. Control in ownership over the entire block allowed for flexibility and integration of a seamlessly connected complex. The Approach GWL Realty Advisors successfully rezoned the Phase II lands to commercial use and added 400,000 square feet of density through a streamlined minor variance approval. Phase II received development approval for both the office tower and hotel together. The complex was developed in two phases over eight years, involved various stakeholders, and required ongoing negotiations to meet client and project objectives. GWL Realty Advisors worked seamlessly with City Staff, economic development and neighbouring property owners to secure agreements and approvals to facilitate a project of this magnitude. The Result Southcore Financial Centre is now a premier mixed-use complex connected to the financial core, PATH, abundant amenities and public transit. It is comprised of 1,366,500 square feet of office space in two new generation office towers with an efficient floor plate and sustainable features which enhanced the marketability of the complex and lowered operating costs. The hotel is a flagship 567-room Delta with a full service restaurant, meeting rooms, fitness facilities and more. BENEFITS Added an entire city block of high-quality, sustainable, Class A product to the client s portfolio. Contributed outsized returns and financial performance. Significant value was created for the owner. 05

OUR SUCCESSES - CASE STUDY 320,000 sq. ft. developed in four phases across six buildings 80 -unit residential building North Vancouver, BC Mixed-use 06

Northwoods Village The Challenge In 2003, GWL Realty Advisors acquired 24 acres of industrial land on behalf of a client for the development of a multi-phase business park. In addition to formulating the initial development plan, we sought opportunities to enhance the value beyond our original underwriting. The Opportunity While developing Northwoods Business Park, a 320,000 square foot business park within six buildings and constructed in four phases, GWL Realty Advisors identified a lack of new housing and retail amenities in the immediate area to meet the demographics of the changing area. This evolving environment created the opportunity to re-envision the remaining undeveloped quadrant at Northwoods Business Park to allow for higher and better uses. The Approach Following substantial market research and reviewing the investment objectives of the project, the company worked with the municipal government to achieve the objectives of intensifying the land uses. An active community engagement process was also implemented. The Result GWL Realty Advisors was successful in amending the community plan to include retail and residential uses and an increase in development density. Northwoods Village comprises a shopping centre integrated with an 80-unit apartment rental building. The pedestrian-oriented village, anchored by a community grocer, lifestyle businesses and other services, functions as a community gathering place and supports significant intensification and redevelopment of the surrounding residential neighbourhood. THE BENEFITS An immediate increase in land value upon rezoning. Diversification of asset classes within the client s portfolio, including multi-residential rental, a highly sought-after but difficult asset to develop or acquire in BC. Significantly increased cash flow, and more than three times the created value relative to the original development plan from the time of acquisition. Provided a substantial amenity set to the tenants and employees of Northwoods Business Park, enhancing its appeal and marketability and ultimately value. 07

OUR PROJECTS UNDER CONSTRUCTION The Livmore Toronto, ON Multi-residential 43 storeys 595 units 5,500 sq. ft. of retail space LEED Status Designed to target LEED Silver certification 08

Calgary Marriott & Apartment Tower Calgary, AB Mixed-use (hotel and multi-residential) Two 30-storey towers 305 units 390 guest rooms Marriott Residence Inn 7,200 sq. ft. of retail space Grenadier Square Toronto, ON Multi-residential Two 25-storey towers 528 units LEED Status Designed to target LEED Gold certification Delta iport Delta, BC Industrial 1,100,000 sq. ft. 09

OUR PROJECTS UNDER CONSTRUCTION VANCOUVER Vancouver CENTRE Centre II II Vancouver, BC Office 32 storeys 371,000 sq. ft. LEED Status Designed to target LEED Platinum certification 10

OUR PROJECTS PLANNING High Park Village Toronto, ON Multi-residential 4 towers 1,031 units 11

OUR PROJECTS PLANNING Lower Lonsdale North Vancouver, BC Multi-residential 6 storeys 160 units 1500 Robson Vancouver, BC Multi-residential 21 storeys 127 units The Brewery District Edmonton, AB Multi-residential Phase 1: 17 storeys Phase 2: 28 storeys Phase 3: 21 storeys Total: up to 700 units 12

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