Company Profile

PIRET is an unincorporated, open-ended investment trust that owns and operates a diversified portfolio of income-producing industrial properties in leading markets. PIRET is an internally managed REIT that focuses exclusively on investing in industrial properties.

Business Strategy

Long-Term Objectives

  1. Generate stable and growing cash distributions
  2. Maximize the long-term value of PIRET's properties through active management
  3. Grow in size and increase distributable income through accretive acquisitions
  4. Select dispositions of non-core assets

Acquisition Strategy

  • Target properties in primary markets
  • Diversify geographically across Canada, with emphasis on Toronto and Western Canada, and select markets of the U.S.A.
  • Buy in clusters and asset sizes that will ensure regional economies of scale
  • Target primarily functional distribution warehouse assets
  • Acquire properties with strong tenant bases, low vacancy rates and existing long-term leases
  • Acquire properties with good to superior physical condition with little to no deferred maintenance

Financing Strategy

  • Maximize return on equity while mitigating financial risk and maintaining stable cash flows
  • Primarily 5, 7, 10, and 20-year fixed rate property level amortizing debt
  • Interest only and floating rate loans to be used in certain circumstances
  • 70% maximum overall indebtedness permitted under PIRET's Declaration of Trust
  • PIRET intends to prudently manage the REIT's overall financial leverage within a range of 45%-50%, with a long-term target to decrease financial leverage to 40%

Portfolio Management Strategy

  • Maintain strong tenant relations and re-lease premises as leases expire
  • Enhance property values through strategic management, upgrades and re-leasing, if applicable
  • Acquire assets with medium to long term leases to high quality tenants
  • Stagger lease termination dates across the portfolio to minimize rollover risk
  • Manage all assets and properties internally so to align management interests with  the interest of unitholders