Trez Capital's Fourth Quarter Results Close Out Successful Year

Trez Capital produces strong results for investors in both debt and equity funds

Q4 2022 Highlights

• $5.5 CAD billion assets under management (AUM), up over 30% from $4.2 billion year-over-year (YOY)
• Trez Capital Private Real Estate Fund Trust (TPREF) is now a qualified investment for deferred plans (including RRSPs, RRIFs, DPSPs, RDSPs, RESPs, and TFSAs)
• Another distribution increase announced for all debt funds, effective January 2023

VANCOUVER, BC, Feb. 15, 2023 /CNW/ - Trez Capital, one of North America's leading non-bank commercial real estate lenders and asset managers, is proud to announce a successful fourth quarter to round out a successful year in 2022. Trez Capital continues to expand its business and has reached over $5.5 billion CAD in assets under management (AUM) up over 30% from $4.2 billion year-over-year (YOY).  

"Trez Capital continues to deliver reliable results to our investors, which was seen throughout 2022. We have seen sustained growth and solid operational performance," said Dean Kirkham, President & Chief Operating Officer, Trez Capital.

Trez Capital produces strong results for investors in both debt and equity funds

Post this

John Maragliano, Chief Financial Officer, Trez Capital added, "In a year where bond and equity returns were down over 20%, Trez Capital continued to deliver attractive returns to our investors. We are pleased to have demonstrated how uncorrelated alternative investments backed by real estate can enhance portfolio returns."

2022 marked Trez Capital's 25^th anniversary. As the firm looks to the future the best opportunities for debt and equity real estate investing will continue to be presented to investors. 

Trez Capital's leadership team continues to work together to accomplish the firm's goals, and best serve its investors and borrowers. Trez Capital is committed to meeting investor demands through diverse fund offerings, in all market conditions.

Debt Funds Update
The continued interest rate increases in Canada and the United States positively impact the floating-rate mortgage portfolio returns for Trez Capital. As a result, multiple distribution rate increases went into effect for the firm's open-ended debt funds throughout 2022, Trez Capital Prime Trust, Trez Capital Yield Trust, Trez Capital Yield Trust U.S. (CAD) and Trez Capital Yield Trust U.S. (USD). An additional increase was announced in December, effective January 31, 2023.

Effective annual distribution yield, as of January 2023 for each Trez Capital open-ended debt funds are as follows¹:

• Trez Capital Prime Trust to 6.1%
• Trez Capital Yield Trust to 7.2%
• Trez Capital Yield Trust U.S. (CAD) series to 7.8%
• Trez Capital Yield Trust U.S. (USD) series to 7.8%

Trez Capital continues to provide investors with strong, reliable, and rising returns that are uncorrelated to the volatility of other asset classes. The firm continues to invest in markets with strong population, employment, and gross domestic product (GDP) growth. Trez Capital remains cautious with lending parameters and works with top-tier borrowers to mitigate risk.

Equity Fund Update
Trez Capital Private Real Estate Fund Trust (TPREF) is now a qualified investment for deferred plans (including RRSPs, RRIFs, DPSPs, RDSPs, RESPs, and TFSAs).

TPREF finished 2022 on a strong note with remarkable results for its investors, with the net asset value (NAV), increasing monthly throughout the course of the year, for a total gain of over 17%.  The portfolio includes investments in a diverse set of projects that are forecasted to be worth over $2 billion USD once completed. In the fund's first year, a multi-family development in Red Oak, Texas, began leasing, and a 25-home single-family for-rent portfolio in Phoenix, Arizona, reached stabilization.

About Trez Capital
Founded in 1997, Trez Capital is a diversified real estate investment firm and preeminent provider of commercial real estate debt and equity financing solutions in Canada and the United States. Trez Capital offers private and institutional investors strategies to invest in a variety of opportunistic, fully secured mortgage investment funds, syndication offerings and real estate joint-venture investments; and provides property developers with quick approvals on flexible short- to mid-term financing.

With offices across North America, Trez Corporate Group has over $5.5* billion CAD in assets under management and has funded over 1,700 transactions totalling more than $17 billion CAD since inception. For more information, visit www.trezcapital.com. (*Trez Corporate Group AUM includes assets held by all Trez-related entities as well as $3.0 billion Manager AUM (Trez Capital Fund Management Limited Partnership)).

These materials are for informational purposes only and do not constitute an offer to sell or a solicitation to buy securities. Past results are not indicative of future performance. Forward-looking statements are included. Actual results, performance and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained above. Such forward-looking statements are based on a number of assumptions which may prove to be incorrect including, but not limited to: the ability of the Funds to acquire and maintain a portfolio of mortgages capable of generating the necessary annual yield or returns to enable the Funds to achieve their investment objectives, the ability of the Funds to establish and maintain relationships and agreements with key financial partners, the maintenance of prevailing interest rates at favorable levels, the ability of borrowers to service their obligations under the mortgages, the ability of the Manager to effectively perform its obligations to the Funds, anticipated costs and expenses, competition, and changes in general economic conditions. While the Funds anticipate that subsequent events and developments may cause its views to change, the Manager specifically disclaims any obligation to update these forward-looking statements, except as required by applicable law.

___________________________

¹ Listed distribution rates are based off a $10 unit value. As at January 31, 2023, based on F series, effective annual distribution yield.

SOURCE Trez Capital

Trez Capital Media Contact, Sarah Haney, 647.460.2029, [email protected]