INFINITE POSSIBILITIES - INVESTOR PRESENTATION Q2 2019 - SmartCentres

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INFINITE POSSIBILITIES - INVESTOR PRESENTATION Q2 2019 - SmartCentres
INFINITE
POSSIBILITIES…
INVESTOR PRESENTATION
Q2 2019
INFINITE POSSIBILITIES - INVESTOR PRESENTATION Q2 2019 - SmartCentres
NOTICE TO READER

Readers are cautioned that certain terms used in this Investor Presentation (“Presentation”) such as Funds from Operations ("FFO"), Adjusted
Cashflow from Operations ("ACFO"), "Gross Book Value", "Payout Ratio", "Interest Coverage", "Total Debt to Adjusted EBITDA" and any related per
Unit amounts used by management to measure, compare and explain the operating results and financial performance of the Trust 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. These terms are defined in this Presentation and reconciled to the consolidated financial information of
the Trust in the Management’s Discussion and Analysis (“MD&A”) for the three months ended June 30, 2019. Such terms do not have a standardized
meaning prescribed by IFRS and may not be comparable to similarly titled measures presented by other publicly traded entities.

Certain statements in this Presentation are "forward-looking statements" that reflect management's expectations regarding the Trust's future growth,
results of operations, performance and business prospects and opportunities. More specifically, certain statements contained in this Presentation,
including statements related to the Trust's maintenance of productive capacity, estimated future development plans and costs, view of term mortgage
renewals including rates and upfinancing amounts, timing of future payments of obligations, intentions to secure additional financing and potential
financing sources, and vacancy and leasing assumptions, and statements that contain words such as "could", "should", "can", "anticipate", "expect",
"believe", "will", "may" and similar expressions and statements relating to matters that are not historical facts, constitute "forward-looking statements".
These forward-looking statements are presented for the purpose of assisting the Trust's Unitholders and financial analysts in understanding the
Trust's operating environment, and may not be appropriate for other purposes. Such forward-looking statements reflect management's current beliefs
and are based on information currently available to management. However, such forward-looking statements involve significant risks and
uncertainties. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements.
Although the forward-looking statements contained in this Presentation are based on what management believes to be reasonable assumptions, the
Trust cannot assure investors that actual results will be consistent with these forward-looking statements. The forward-looking statements contained
herein are expressly qualified in their entirety by this cautionary statement. These forward-looking statements are made as at the date of this
Presentation and the Trust assumes no obligation to update or revise them to reflect new events or circumstances unless otherwise required by
applicable securities legislation.

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION
                                                                                                                                                       2
INFINITE POSSIBILITIES - INVESTOR PRESENTATION Q2 2019 - SmartCentres
CONTENTS

▪ Overview                                          Page 4
▪ Intensification & Development                     Page 6
▪ Featured Initiatives                              Page 21
▪ Retail Portfolio                                  Page 65
▪ Financial Highlights                              Page 73

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION
                                                              3
INFINITE POSSIBILITIES - INVESTOR PRESENTATION Q2 2019 - SmartCentres
OUR EVOLUTION CONTINUES…
  1989-1994                           1999                    2003                     2014
  MITCHELL GOLDHAR                    WALMART                 FIRST TRANSACTION        PENGUIN PICKUP
  HELPS BRING                         JOINT VENTURE           WITH CALLOWAY REIT       CONCEPT IS
  WALMARTTO CANADA                    WITH SMARTCENTRES       (CWT ASSETS $100M CAD)   INTRODUCED
  (WMT SALES $21B USD)

   Canada

 2015                                  2016                   2018
  CALLOWAY REIT                        SMARTCENTRES           SMARTCENTRES FORMS JV PARTNERSHIPS
  ACQUIRES                             STRATEGIC FOCUS
  SMARTCENTRES                         EXTENDS TO MIXED USE

   REAL ESTATE INVESTMENT TRUST                                                                         4

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION
INFINITE POSSIBILITIES - INVESTOR PRESENTATION Q2 2019 - SmartCentres
ON OUR JOURNEY OF
INFINITE POSSIBILITIES
94 properties on which intensification opportunities have been identified
256 individual development projects (e.g. an apartment, office, seniors’ residence,
           self-storage facility, hotel, condominium or townhouses project)

34.4M SF income producing retail portfolio
$9.7B dynamic real estate portfolio value

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                 5
INFINITE POSSIBILITIES - INVESTOR PRESENTATION Q2 2019 - SmartCentres
CONTENTS

▪ Overview                                          Page 4
▪ Intensification & Development                     Page 6
▪ Featured Initiatives                              Page 21
▪ Retail Portfolio                                  Page 65
▪ Financial Highlights                              Page 73

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION
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INFINITE POSSIBILITIES - INVESTOR PRESENTATION Q2 2019 - SmartCentres
BEST POSITIONED FOR
INTENSIFICATION
               BEST PORTFOLIO IN THE COUNTRY
                         EASY ACCESS                       FLEXIBLE STRUCTURES

                  MAJOR INTERSECTIONS                       ONLY 25% COVERAGE

                  TRANSIT CONNECTIVITY                      2,775 UNBUILT ACRES

                                        STRONG TENANT RELATIONSHIPS

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                 7
INFINITE POSSIBILITIES - INVESTOR PRESENTATION Q2 2019 - SmartCentres
BEST POSITIONED FOR
INTENSIFICATION

  DEVELOPMENT                                        DEVELOPMENT         THIS TEAM

60M                                                  155             86%
   IN OUR DNA                                          TEAM OF          DEVELOPED
                                SF

      DEVELOPED                                 IN-HOUSE RESOURCES    OF OUR CURRENT
       SINCE 1989                                    FOCUSED ON         RETAIL AREA
                                                   INTENSIFICATION

PLANNERS / DEVELOPERS • ENGINEERS • GOVERNMENT RELATIONS • LEASING • ENVIRONMENTAL / GEOTECH
SPECIALISTS • CONSTRUCTION • ARCHITECTS • LAWYERS • FINANCE / FINANCIAL ANALYSTS • MARKETING
 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                             8
INFINITE POSSIBILITIES - INVESTOR PRESENTATION Q2 2019 - SmartCentres
$9.7B     IN REAL ESTATE ASSETS

                     +
$12.1B          IN PLANNED INTENSIFICATION
                (REIT SHARE $5.5B)

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   9
INFINITE POSSIBILITIES - INVESTOR PRESENTATION Q2 2019 - SmartCentres
94 PROPERTIES
 IDENTIFIED FOR INTENSIFICATION…
                       BRITISH
                      COLUMBIA        ALBERTA     SASKATCHEWAN   MANITOBA   ONTARIO   QUEBEC   ATLANTIC   TOTAL

     MARKED FOR
  INTENSIFICATION
                        6              3               2          2 61 20 0 94
UNDER REVIEW FOR
  INTENSIFICATION       8              4               3          1 34 3 10 63
            TOTAL
        PROPERTIES      14               7             5            3        95        23       10        157

                                                                 …AND MORE TO COME10
   SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION
EACH INDIVUDUAL PROJECT REPRESENTS
DEVELOPMENT STATUS

        94
                                                    ONE OF THE FOLLOW:

                PROPERTIES                          RENTAL APARTMENTS (88)                SENIORS (45)

       256
                  WITH

                                                    CONDOS (46)         TOWNHOUSES (14)

                                                                                          OFFICE BUILDINGS (10)
              INDIVIDUAL
             DEVELOPMENT
               PROJECTS

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   SELF-STORAGE (48)                     HOTELS (5)     11
256 DEVELOPMENT PROJECTS

                               34                           71               151 256
                               UNDERWAY                      ACTIVE             FUTURE               TOTAL

   CONSTRUCTION
INITIATION (YEARS)             1        2              3        4       5         6+

                                    33                         32                  74                139
       PLANNING
 ENTITLEMENTS(#)

     PROJECT SF                1 13,300,000
                                       2               3     14,000,000
                                                               4     5          32,000,000          59,300,000
        REIT SHARE                    6,000,000                  6,400,000          15,500,000         27,900,000

POTENTIAL VALUE
    CREATION ($)             $995,100,000                  $667,800,000      $1,783,900,000      $3,446,800,000
       REIT SHARE                  $473,200,000               $199,400,000        $705,100,000      $1,377,700,000

   SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                                          12
VALUE CREATION

                       $3.0B                         POTENTIAL
                                                     VALUE
                                                     CREATION

                       $3.6B
                                                TO
                                                     FROM THE 256
                                                     INTENSIFICATION
                                                     PROJECTS

                           REIT SHARE: $1.3B-$1.5B

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                      13
VALUE CREATION EXAMPLE
1900 EGLINTON AVE E
28 ACRES ∙ 380,000 SF

  SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   14
VALUE CREATION EXAMPLE
1900 EGLINTON AVE E
PLANNING ENTITLEMENTS FOR
5.3 MILLION SF (INCL. 14 TOWERS > 20 STORIES)

FULL 20-YEAR BUILD-OUT WOULD YIELD $250M IN POTENTIAL VALUE ABOVE THE CURRENT IFRS VALUE.
VALUE CREATION EXAMPLE
1900 EGLINTON AVE E
PHASE 1: 2 APARTMENTS
POTENTIAL VALUE CREATION: $7 MILLION

                     ONLY PHASE 1 OF THIS REDEVELOPMENT IS INCLUDED
   IN TOTAL PROJECT COUNT (256) & POTENTIAL VALUE CREATION ($3.0B - $3.6B) CALCULATIONS.
INDIVIDUAL
DEVELOPMENT
PROJECTS
                                                               SELF-STORAGE (48)
                                                                                                  OFFICE BUILDINGS (10)

RECURRING                 RECURRING                  TOTAL
NON-RETAIL                   NON-                   PROJECT
 (SOSHAL)                 RECURRING                  COUNT

196 + 60 = 256                                                 APARTMENTS LIVING (88)
                                                                                                  SENIORS (45)

         (77%)                     (23%)              (100%)

                                                                                                  HOTELS (5)
                                                               CONDOS (46)      TOWNHOUSES (14)
SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                                                 17
MAJOR MIXED-USE
REAL ESTATE INITIATIVES                                                                                                    Estimated Costs ($M)                        Estimated Gain on Final Sale

                                                                                        GLA       Completion    SRU         100%
Site                                 Project                     Type                ('000sf) /     Year       % Share      Share       SRU Share        Yield     Profit %    SRU Share       Timing
                                                                                        Units

1. VMC (Office Towers)               a. KPMG (T#1)               Office               360sf         2016        50%         $180          $90.0           5.7%       —             —             —
                                     b. PwC-YMCA (T#2)           Office               105sf         2019        50%          $65          $32.5        4.5%-5.5%     —             —             —
                                     c. Office (T#3)             Office               600sf         2024        50%         $375          $187.5       4.8%-5.5%     —             —             —
                                     d. Office (T#4)             Office               300sf         2026        50%         $210          $105.0       4.8%-5.5%     —             —             —
                               (1)
2. Montreal Premium Outlets          Phase II (JV)               Retail               140sf       2022-2023     50%          $56           $28.0        9%-10%       —             —             —
                                     (Simon Property Group)

3. New Premium Outlets               Premium (JV)                Retail               360sf         2022        50%         $136           $68.0       8.0%-8.5%     —             —             —
                                     (Simon Property Group)
                  (2)
4. Laval Centre                      Jadco (2 Bldgs)             Apartments         338 Units     2020-2022     50%          $82           $41.0       5.3%-5.8%     —             —             —

5. VMC (Condos)                      CentreCourt                 Transit   City 1   551   Units   2020-2021     25%         $181           $45.3         N/A       25%-30%        25%        2020-2021
                                     CentreCourt                 Transit   City 2   559   Units   2020-2021     25%         $189           $47.3         N/A       25%-30%        25%        2020-2021
                                     CentreCourt                 Transit   City 3   631   Units     2021        25%         $190           $47.5         N/A       20%-25%        25%          2021
                                     CentreCourt                 Transit   City 4   498   Units     2023        25%         $210           $52.5         N/A       20%-25%        25%          2023
                                     CentreCourt                 Transit   City 5   528   Units     2023        25%         $225           $56.3         N/A       20%-25%        25%          2023
                         (2)
6. VMC (Apartments)                  VMC Rental Apartments       Apartments         451 Units     2023-2024     50%         $220          $110.0       4.2%-4.8%     —             —             —

7. Vaughan NW                        Fieldgate                   Low/Mid Rise       175 Units     2022-2023     50%      $100-$120      $50.0-$60.0      N/A       10%-15%        50%        2022-2023
                                                                 Residential
                        (2)
8. Ottawa Laurentian                 Selection Group (2 Bldgs)   Apartments/        410 Units       2022        50%         $150           $75.0       6.0%-7.0%     —             —             —
                                                                 Retirement
                                                                 Residence
                        (2)
9. Multiple Locations                Self-Storage (JV)           Self-Storage       500sf built   2019-2025     50%       $60M per       $30M per      7.0%-8.5%     —             —             —
   (6 Approved Projects –            (SmartStop)                 (4 to 5 new        per year in                          year in each   year in each
    Toronto (Leaside), Oshawa,                                   facilities each      each of                            of years 1-5   of years 1-5
    Brampton (2 projects),                                       year)               years 1-5
    Vaughan, Toronto
    (Scarborough))

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                                                                                                                                        18
MAJOR MIXED-USE
REAL ESTATE INITIATIVES
                                                                                                                                Estimated Costs ($M)                            Estimated Gain on Final Sale

                                                                                         GLA       Completion     SRU           100%
 Site                                  Project                   Type                 ('000sf) /     Year        % Share        Share       SRU Share          Yield        Profit %     SRU Share         Timing
                                                                                         Units

10. StudioCentre (Toronto)             SRU-Penguin JV           Mixed-Use              150sf       2022-2023       50%           $53           $26.5        6.0%-7.0%          —              —              —
                                                                (Office, Studio,
                                                                Hotel)

                                 (2)
11. Pointe-Claire (Apartments)         Rental Apartments        Apartments           300 Units     2022-2023       50%           $115          $57.5        4.5%-5.0%          —              —              —
                                       (2 Bldgs)

12. Pointe-Claire (Condo)              Condo                    Condo                200 Units       2024          50%           $55           $27.4           N/A         10%-15%           50%            2024

                       (2)
13. Multiple Locations                 Retirement Living        Retirement           600sf built   2022-2025       50%        $100M per      $50M per       6.0%-7.5%          —              —              —
    (3 Approved Projects –             Residences               Residences &         per year in                             year per site year per site
    Vaughan (2 projects),              (JV) (Revera)            Seniors                each of                                in each of    in each of
    Oakville)                                                   Apartments            years 1-5                                years 1-5     years 1-5
                                                                (3 to 5 new
                                                                facilities each
                                                                year)

Notes:
(1) The Phase II expansion for the Montreal Premium Outlets is included in the future development pipeline as Developments.
(2) Stabilization is estimated to be 1 to 3 years after completion.
(3) Estimated Transactional FFO Gains on Sale related to parcel sales of land into Joint Ventures estimated at 1%-2% of annual FFO at SmartCentres' ownership share.

In addition to the projects set out in the table above (with the exception of the projects listed in Note 1), SmartCentres' pipeline also includes approximately 3.3 million square feet of future developments. Also
in addition to the above, SmartCentres has a further mixed-use development pipeline estimated at 4.5 million square feet in projects that are underway or active. Further, SmartCentres will initiate activities in
the short-term to work towards development of a further estimated 12.5 million to 15 million square feet in mixed-use initiatives that will be completed in the longer-term.

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                                                                                                                                                   19
RECENT EVENTS
                                                                           ANNOUNCEMENTS
   ANNOUNCED                                         SOON TO BE
                                                                            EXPECTED BY
SEPTEMBER 12, 2019                                   ANNOUNCED
                                                                            Q4 REPORTING

       NEW APARTMENT JV
                                                    +2
                                              2
        PARTNER ON NEW                                 NEW                       JOINT VENTURE
        PROPERTY                                       JOINT VENTURE             PROJECTS

                                                    +5
                                                       SENIORS’ PROJECTS
        7.8 ACRE
                                                GTA
                                                  IN                            JOINT VENTURE
        BARRIE LAKEFRONT

                                                    +4
                                                                                PROJECTS
        APARTMENT                                THE
        COMMUNITY                                                               APARTMENT &
                                                                                CONDO PROJECTS
 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                           20
CONTENTS

▪ Overview                                          Page 4
▪ Intensification & Development                     Page 6
▪ Featured Initiatives                              Page 21
▪ Retail Portfolio                                  Page 65
▪ Financial Highlights                              Page 73

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION
                                                              21
FEATURED INITIATIVES
1.   VMC (VAUGHAN METROPOLITAN CENTRE), TORONTO | 100 ACRES – Page 24

2.   VAUGHAN NORTH WEST, TORONTO | 42 ACRES – Page 37

3.   OAKVILLE NORTH, TORONTO | 52 ACRES – Page 40

4.   OAKVILLE SOUTH, TORONTO | 21 ACRES – Page 43

5.   WESTSIDE MALL, TORONTO | 12 ACRES – Page 46

6.

7.
     BRADFORD, TORONTO | 57 ACRES – Page 50

     PICKERING, TORONTO | 48 ACRES - Page 53
                                                    404.5 / 3,569
                                                         ACRES      TOTAL ACREAGE
8.   CHILLIWACK, VANCOUVER | 15.5 ACRES – Page 56

9.   LAVAL CENTRE, MONTREAL | 35 ACRES – Page 59

10. POINTE CLAIRE, MONTREAL | 22 ACRES – Page 63                                    22
1. VMC
       VAUGHAN METROPOLITAN
       CENTRE, TORONTO
▪ Long term build (10 – 15 years)

▪ A 50:50 JV between SmartCentres and Penguin
  Properties. Mitchell Goldhar intimately involved in
  all aspects of the project

▪ Potential density of 19M sf. of residential, office
  and retail development for the whole 100-acre site

▪ At its 50% ownership, SmartCentres lands
  (approximately 25 acres) represent 4.5M – 5.5M
  sf. of potential development

▪ Transit infrastructure, including TTC subway and
  VIVA bus opened in December 2017, and York
  regional bus station to open Fall 2019

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION       23
YONGE & BLOOR
 PRE VS POST SUBWAY

 1940s

 1950s

                                                    1960s
SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION       24
100 ACRES
501,254 SF
19 MILLION SF OF POTENTIAL
SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   25
SETTING THE
STAGE…
              26
…FOR A NEW
CITY CENTRE
SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   27
VMC VISION…

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   28
                                                          28
…BECOMING REALITY

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   29
KPMG TOWER
365,000 SF

                                   RENDERING          REALITY

  SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION
                                                                100% LEASED   30
PWC/YMCA  TOWER
 PWC / YMCA                                                                                 *
220,000 SF

                                                                                            *

                                                      100% LEASED

RENDERING                                               REALITY

  SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                        31
                                                                  *Pending certification
FUTURE

         32
1, 2 & 3

                     RENDERING      REALITY                  SOLD OUT

  TOWER 1, 2 & 3
                          RETURN              MILLION IN PROFIT
PROFITS EXCEED
  EXPECTATIONS     >35%   ON COST    +$30     OVER ORIGINAL APPROVAL
THE EAST BLOCK

                 RENTAL
               RESIDENTIAL

                           &
               TRANSIT CITY
                  4&5
                       SOLD OUT

         CONSTRUCTION BEGINS FALL 2019

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   34
A NEW CITY CENTRE…& BEYOND
170+ ACRES ∙ 26+ MILLION SF OF POTENTIAL
                  (REIT SHARE 10.5 MILLION SF)

                               HWY 407

  SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION
2. VAUGHAN
   NORTHWEST,
        TORONTO
▪ Existing Walmart anchored shopping centre at
  Major Mackenzie Drive and Weston Road in
  Vaughan

▪ JV with Fieldgate on 16-acre site for 230-300
  freehold townhomes. Construction to commence
  in 2020; possession in 2021 and 2022

▪ JV with SmartStop for a self-storage facility

▪ JV with Revera for two towers – seniors
  apartments and retirement residences

▪ In the process of obtaining approvals on the
  remaining 6 acres to add mixed-use density
  including 800,000 sf. of seniors housing,
  condominium and rental accommodation

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   36
VAUGHAN NW
42 ACRES ∙ 177,906 SF

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   37
VAUGHAN NW
1.7 MILLION SF OF POTENTIAL

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   38
3. OAKVILLE NORTH
       (DUNDAS & TRAFALGAR),
       TORONTO
▪ An existing 461,000 sf. shopping centre on 52 acres at
  Highway 5 and Trafalgar Road in Oakville. Anchored
  by a 195,000 sf. Walmart Supercentre and a 120,000
  sf. Real Canadian Superstore

▪ Located within the Uptown Core area in the Town of
  Oakville, intended to provide a mix of uses, with
  uncapped densities and permissions allowing for
  residential, office, retail and commercial uses

▪ The Town recently initiated an Official Plan review for
  the Uptown Core. SmartCentres is seeking increased
  height permissions through this process; Targeting up
  to 30 stories

▪ The master plan demonstrates an average density of
  4.4 FSI and over 7 million sf. of residential, retail and
  mixed use

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION             39
OAKVILLE NORTH
52 ACRES ∙ 461,226 SF

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   40
OAKVILLE NORTH
PLANNING ENTITLEMENTS
FOR 5.5 MILLION SF

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   41
4. OAKVILLE SOUTH,
        TORONTO
We have initiated discussions with
municipalities, tenants and potential partners
to evolve this site into:
▪ A 180,000 sf. shopping centre, anchored
  by strong retailers such as Metro food
  store, Shoppers Drug Mart, LCBO,
  Winners and Goodlife Fitness
▪ A JV for a Revera seniors’ residence, and
▪ A townhouse development

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   42
OAKVILLE SOUTH
21 ACRES ∙ 330,000 SF

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   43
OAKVILLE SOUTH
430,000 SF OF POTENTIAL

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   44
5. WESTSIDE MALL,
       TORONTO
▪ 12-acre urban redevelopment site
▪ Currently a 140,000 sf shopping centre
▪ New Eglinton Crosstown Light Rapid Transit
  (LRT) station to open on site
▪ New links to existing GO network will
  connect new East:West to existing
  North:South transit framework
▪ Long-term project to add principally new
  residential development, with select retail

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   45
SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   46
WESTSIDE MALL
12 ACRES ∙ 144,405 SF

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   47
WESTSIDE MALL
PLANNING ENTITLEMENTS
FOR 3 MILLION SF

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   48
6. BRADFORD,
       TORONTO
▪ 57 acre Walmart-anchored site in the
  growing community of Bradford
▪ Currently a 280,000 sf shopping centre.
▪ Preliminary intensification plans include a
  hotel, a seniors residence, town homes,
  and mid-rise residential apartments and/or
  condominiums
▪ Early consultations are underway for
  municipal approval

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   49
BRADFORD
57 ACRES ∙ 278,860 SF

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   50
BRADFORD
565,000 SF OF POTENTIAL

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   51
7. PICKERING,
      TORONTO
▪ 48 acre Walmart-anchored site in the rapidly
  growing City of Pickering
▪ Adjacent to Hwy 401; 5 minutes from the
  Pickering Go Station and Durham Live
▪ Currently a 546,000 sf shopping centre;
  Potential for 7.8 million sf.
▪ Preliminary intensification plans include
  high-rise condominiums, townhouses, a
  seniors’ residence, residential apartments
  and a hotel
▪ Early consultations are underway for
  municipal approval

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   52
PICKERING
48 ACRES ∙ 546,000 SF

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   53
PICKERING
8 MILLION SF OF POTENTIAL

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   54
8. CHILLIWACK,
        VANCOUVER
▪ Official Community Plan and Rezoning
  Approval by Council Sept. 2019
▪ Proposal included demolition of the current
  enclosed mall to accommodate:
  o 162,798 sf of Commercial
  o 2.63 acres of Residential
  o 3 6-storey residential towers with 200+
    units
  o Structured at grade parking

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   55
CHILLIWACK
15.5 ACRES ∙ 124,865 SF

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   56
CHILLIWACK
325,000 SF OF POTENTIAL

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   57
9. LAVAL CENTRE,
       MONTREAL
▪ Lands designated by City as “Centre-Ville”,
  due to highway and transit access
▪ Anchored by a 160,000 square foot
  Walmart Supercentre
▪ Parcels of land sold to others for a seniors’
  residence, hotel and an office
  development
▪ JV with Jadco for Equinoxe Daniel-
  Johnson; 338 unit rental residential towers
▪ Remaining land to be developed for
  mixed-use

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   58
LAVAL CENTRE
35 ACRES ∙ 159,779 SF

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   59
LAVAL CENTRE
4.5 MILLION SF OF POTENTIAL

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   60
LAVAL CENTRE
RENTAL RESIDENTIAL APARTMENTS

                                         RENDERING   REALITY

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                              61
                                                               DANIEL-JOHNSON
10. POINTE-CLAIRE,
         MONTREAL
▪ Walmart and Home Depot anchored site in
  West Montreal purchased in 2016

▪ Very well-located site – transit (new light rail
  transit line to downtown) and road access

▪ Master planning activities moving forward with
  strong support from council

▪ Secured zoning for a multitude of uses
  including residential, seniors housing and
  office on the perimeter of the property

▪ First rental apartment building expected to be
  completed in 2022

▪ Significant NAV accretion potential from
  entitlements achieved to date

  SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   62
POINTE-CLAIRE
22 ACRES ∙ 384,915 SF

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   63
POINTE-CLAIRE
2 MILLION SF OF POTENTIAL

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   64
CONTENTS

▪ Overview                                          Page 4
▪ Intensification & Development                     Page 6
▪ Featured Initiatives                              Page 21
▪ Retail Portfolio                                  Page 65
▪ Financial Highlights                              Page 73

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION
                                                              65
OUR RETAIL IS…

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                    66
…STILL ROCKIN’
Toronto Premium Outlets

    SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                67
34.4 MILLION SF PORTFOLIO
  AVERAGE PROPERTY AGE: 15 YEARS

                                                                            GROCERY/
                       CENTRES                        NOI   OCCUPANCY   TENANT    PHARMA
                          #                            %        %         %          %

 G-VECTOM                 98                     73         97.5 71.2            100
  PRIMARY
                          32                     16         98.4 77.4            100
SECONDARY
                          27                     11         98.9 86.6            100
         TOTAL             157                  100%          98%        74%      100%
  SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                         68
HIGH-QUALITY
TENANTS…
                               TOP 6 TENANTS         ANNUAL RENT
                                                                                  $200,400,000

                                                          $37,200,000
                                                                          RENTAL INCOME
                                                        $33,000,000         FROM TOP 6
                                                                             TENANTS
                                                                                 $329,200,000
                                                       $21,800,000

                                                      $18,600,000
                                                                        75% 42%
                                                                        TOP 25                  TOP 6
                                                      $18,200,000

 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                                      69
STABLE RETAIL
INCOME BASE….
  LEASE MATURITY BY AREA
  (in millions of square feet)
  Average roll of 2.3M sf. annually (6.9% of total GLA per year)

                                          1.6                       1.8
                                                       2.3
                              1.6
                  1.8
                                          0.9                       0.6
                              0.8                                                                       0.6
                                                       0.7
                  0.8                                                                                   0.4
                                                                                0.8         0.7
                                          1.9                       2.0                                             0.6
                              1.4                      1.4                      0.2                                 0.2
                  1.1                                                                       0.5         1.2
      0.5                                                                       0.7                                 0.6                     0.7
                                                                                            0.3                                   0.3
    2019        2020        2021         2022        2023          2024        2025        2026        2027        2028        Month-to-   Vacant
                                                                                                                                month
                                                       Walmart        Other Anchor       Non-anchor

 ▪ Average lease term of 5.2 years                               ▪ Average remaining lease term excluding Walmart is 4.5 years
 ▪ Average remaining lease term of 6.1 years for Walmart,        ▪ 2,861,648 sf. or 80.0% of 2019 lease maturities have been
   with multiple renewal options of up to 80 years                 renewed or near completion
                                                                 ▪ Average “same property” NOI growth is 1.0% to 1.5% p.a.
 SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                                                                                  70
…& CONTINUED
 EXPANSION

        51%
      REPLACEMENT

        49%     NEW

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION   71
ONGOING SERVICES INNOVATION…

5G CELL TOWERS

EV CHARGING STATIONS

DIGITAL SIGNAGE

PENGUIN PICKUP

                                                    … NEW REVENUE SOURCES
SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                       72
CONTENTS

▪ Overview                                          Page 4
▪ Intensification & Development                     Page 6
▪ Featured Initiatives                              Page 21
▪ Retail Portfolio                                  Page 65
▪ Financial Highlights                              Page 73

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION
                                                              73
TOTAL RETURNS TO UNIT HOLDERS
CONTINUE TO GROW
$1,200
              15.0% AVERAGE ANNUAL RETURN SINCE IPO
              (as of September 3, 2019)                                                    $1,057.49
$1,000

 $800

 $600                                                                                      $580.63

 $400                                                                                      $407.15

 $200

    $0

                                          SmartCentres   TSX Capped REIT   TSX Composite

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                              74
CONTINUED GROWTH IN RENTAL
REVENUE & FFO PER UNIT (AS OF DECEMBER 31, 2018)
RENTAL REVENUE                                        FFO
(in millions of $)                                    ($ per unit)

6.8% CAGR                                             4.0% CAGR
since 2014                                            since 2014
                                                                                                                       2.28
                                               790                                          2.17                2.20
                                    747                                     2.10
                            728
                                                            1.95
                     670
   608

  2014               2015   2016   2017        2018         2014            2015           2016*            2017       2018

                                                            * Excludes $0.06 per unit of non-recurring income
SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                                                             75
STABLE CASHFLOW
                                                                    84.7%      81.1%             83.1%             81.8%               83.0%
                               PAYOUT RATIO*

                                                                    2014       2015               2016              2017               2018
    in thousands of dollars, except per Unit information)
    FFO per Unit(1)                                                  1.95       2.10             2.17(3)             2.20                2.28
    AFFO/ACFO per Unit(2)                                            1.84       1.99             2.00(3)             2.10                2.13
    Distributions per Unit                                           1.56       1.61              1.66               1.71                1.76
    DRIP participation rate                                         15.4%      19.1%             20.9%              22.0%               23.4%
    Distributions reinvested through DRIP                           28,814     39,137            46,212             50,719              56,656
    Surplus of AFFO/ACFO over distributions paid(2)                 68,390     95,117           109,333            111,803             115,384
    ▪    Distributions fully funded from operating cashflow
    ▪    Annual distribution increases announced in each of 2014, 2015, 2016, 2017, 2018, and 2019 of $0.05 per unit. Current annual
         distribution per unit is $1.80 and will increase to $1.85 effective October 2019
*       2014-2015 (AFFO) and 2016-2018 (ACFO)
(1)     FFO with one-time adjustment and before Transactional FFO
(2)     AFFO/ACFO with one-time adjustment and Transactional FFO
(3)     Excludes $0.06 per unit of non-recurring income

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                                                                                76
TOTAL ASSETS VALUED AT $9.7B
TOTAL ASSETS
(in billions of $)

31.3% CAGR                                                                                            9.4   9.5   9.7
since 2002
                                                                                          8.5   8.7

                                                                              7.1   7.1
                                                                        6.5
                                                                  6.0

                                                4.2   4.2   4.4
                                  3.6   3.9
                            2.6

                      1.0
     0.1        0.2

   2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018                            Q2
                                                                                                                  2019

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                                                        77
DEBT / MATURITY LEVERAGE
 DEBT MATURITY
 (in millions of $)

 400                                                                                          371
                                        350
                                                                                                                    320
                                                        300
 300                                          275
                            250                                                                                           250           250
                                  203                                   200
 200                                                          180
                                                                                                        160
                      140
                                                                              119       100
        74                                                                                                     87
 100                                                                                                                                                           45
                                                                                                                                                3
    0
             2019       2020        2021          2022      2023        2024      2025        2026                                2027              2028       BEYOND
                               Secured Debt        Unsecured Bank Loans      Unsecured Debentures
                                        ▪   Interest costs on refinancing available with 10 year unsecured rates around 4% and secured rates below that
                                        ▪   Interest Coverage: 3.3X                                            (Target: 2.5X – 3.0X)
                                        ▪   Debt to adjusted EBITDA: 7.8X                                      (Target: 8.0X – 8.5X)
                                        ▪   Unencumbered pool: $4.5B (2.05X unsecured coverage)                (Target: 1.3X unsecured coverage)
                                        ▪   Debt to GBV: 48.5%                                                 (Target: 50% - 60% long-term trend to continue to de-lever)
                                        ▪   Debt to Aggregate Assets: 41.8%
                                        ▪   Weighted Avg Interest Rate (Secured Debt): 4.05%
                                        ▪   Weighted Avg Term to Maturity (Secured Debt): 4.4 years
                                        ▪   DBRS rating of BBB with a Stable trend

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                                                                                                            78
LEVERAGE PROFILE
                                                                             Jun. 30   Dec. 31   Dec. 31    Dec. 31
                                                                              2019      2018      2017       2016

 Debt to Aggregate Assets                                                    41.8%     43.9%     45.4%(1)   44.3%

 Ratio of Secured Debt to Unsecured Debt                                      0.9X      1.1X      1.4X       2.0X

 Unencumbered Assets                                                         $4.5B     $4.3B      $3.4B     $2.7B

 Debt to Adjusted EBITDA                                                      7.8X      8.2X      8.4X       8.4X

 Interest Coverage                                                            3.3X      3.3X      3.1X       3.1X

 Liquidity: Cash Resources                                                   $582M     $399M     $646M      $355M

 Weighted Average Interest Rate (Total Debt)                                 3.69%     3.73%     3.69%      3.72%

 Weighted Average Term to Maturity (Total Debt)                              4.7 yrs   4.9 yrs   5.1 yrs    5.2 yrs

(1)   Leverage increased during 2017 in support of the OneREIT acquisition

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                                                     79
CONSERVATIVE CAPITAL STRUCTURE
                Secured Mortgage Financing
     18.7%      Amount - $1.9B
                Weighted Avg Interest Rate – 4.05%
                                                                  $9.6B
                Weighted Avg Term to Maturity – 4.4 years         Total Enterprise Value
                Unsecured Debentures
                Amount - $1.9B                                    Focused on:
     19.7%
                Weighted Avg Interest Rate – 3.28%
                Weighted Avg Term to Maturity – 4.3 years
                                                                  ▪ Lowering interest rates on renewals
                Debt on Equity Accounted Investments
                Amount - $141M                                    ▪ Maintaining maximum flexibility
      1.5%
                Weighted Avg Interest Rate – 3.92%
                Weighted Avg Term to Maturity – 16.6 years        ▪ Reducing leverage over time
                Operating Lines / Bank Loans / Outstanding LC’s
                Operating Line – $23M
                                                                  ▪ Rebalancing unsecured and secured debt
      4.2%                                                          ratios
                Bank Loans – $320M
                Letters of Credit – $62M

                Equity (as at September 3, 2019)
                Units Outstanding – 170M
     55.9%
                Share Price – $31.79
                Market Capitalization – $5.4B

SMARTCENTRES REIT | Q2 2019 INVESTOR PRESENTATION                                                            80
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