Padlock Partners UK Fund I Continues UK Growth by Exercising its Purchase Option on a Self Storage Development Property in Wimbledon, England

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TORONTO, April 15, 2021 /CNW/ - Padlock Partners UK Fund I (the "Trust") announced today it has exercised the previously disclosed purchase option and completed its freehold acquisition of 668 Garratt Lane, London, SW17 ONP (the "Wimbledon Property") for £3,400,000 exclusive of costs. The Wimbledon Property is located within the M25 in the London MSA. The transaction was satisfied by way of cash from the proceeds of the Trust's recently closed debt facility. The Trust indirectly acquired a freeholder interest in the Wimbledon Property via a direct purchase of the property.

The Trust intends to construct a new self storage warehouse on the property upon full planning consent expected this month. The finished development will consist of 41,000 gross square feet of Class A storage space across 5 internal floors at a cost of approximately £3,500,000. The new units are expected to be available in the first quarter of 2022.

This transaction marks the 6^th Padlock Partners UK Fund I location in the United Kingdom. The Trust has previously acquired sites in Letchworth, Leighton Buzzard, Newmarket, Bicester and Chippenham.

"We are excited to expand our footprint in the London MSA and complete this freehold purchase in Wimbledon. We look forward to providing a much-needed service to the area and contributing to an already wonderful local community. This completion allows us to continue to execute on our strategic priority to build a strong self-storage and mixed-use income producing portfolio in the UK," said Padlock Partners UK Fund I CEO, John Stevenson.

About Padlock Partners UK Fund I

The Trust is an unincorporated investment trust and was established for the primary purpose of investing in a diversified portfolio of income producing commercial real estate properties in the United Kingdom with a focus on self-storage and mixed-use properties. Currently, the Trust has acquired three operating self-storage properties in Letchworth, Leighton Buzzard and Bicester, development properties in London and Newmarket, and one conversion property in Chippenham which has recently commenced operations.

Forward-looking Statements

This news release contains statements that include forward-looking information within the meaning of Canadian securities laws. These forward-looking statements reflect the current expectations of the Trust regarding future events, including statements concerning the Trust's plans for the Wimbledon Property. In some cases, forward-looking statements can be identified by terms such as "may", "might", "will", "could", "should", "would", "occur", "expect", "plan", "anticipate", "approximate", "believe", "intend", "seek", "aim", "estimate", "target", "project", "predict", "forecast", "potential", "continue", "likely", "schedule", or the negative thereof or other similar expressions concerning matters that are not historical facts.

Material factors and assumptions used by management of the Trust to develop the forward-looking information include, but are not limited to, the Trust's current expectations about: the development and fit out of the Wimbledon Property; the development timeline; the availability of debt financing; the capital structure of the Trust; the global and United Kingdom economic environment; foreign currency exchange rates; and governmental regulations or tax laws. While management considers these assumptions to be reasonable based on currently available information, they may prove to be incorrect.

Although management believes the expectations reflected in such forward-looking statements are reasonable and represent the Trust's internal projections, expectations and beliefs at this time, such statements involve known and unknown risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities may not be achieved. A variety of factors, many of which are beyond the Trust's control, could cause actual results in future periods to differ materially from current expectations of estimated or anticipated events or results expressed or implied by such forward-looking statements. Readers are cautioned against placing undue reliance on forward-looking statements. Except as required by applicable Canadian securities laws, the Trust undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events.

SOURCE Padlock Partners UK Fund I

John Stevenson, Chief Executive Officer, Padlock Partners UK Fund I, 480-309-6184, [email protected]; Matthew Collins, Chief Financial Officer, Padlock Partners UK Fund I, 480-428-0152, [email protected]