Q4 2019 Investor Presentation
Q4 2019 Investor Presentation
2©AllRightsReserved-MAINSTREETEQUITYCORP.TSX:MEQ
Q3 Investor Pitchbook
Forward-Looking Information
Certainstatementscontainedhereinconstitute“forward-lookingstatements”assuchtermisusedinapplicableCanadiansecuritieslaws.Thesestatementsrelatetoanalysisandotherinformationbasedonforecastsoffutureresults,estimatesofamountsnotyetdeterminableandassumptionsofmanagement.Inparticular,statementsconcerningestimatesrelatedtofutureacquisitions,dispositionsandcapitalexpenditures,reductionofvacancyrate,increaseofrentalrates,futureprofitability,timingofrefinancingofdebtandcompletionofrenovations,increasedcashflow,theCorporation’sliquidityandfinancialcapacity,theCorporation’santicipatedfundingsourcestomeetvariousoperatingandcapitalobligations,expansionintotheUnitedStates,andotherfactorsandeventsdescribedinthisdocumentshouldbeviewedasforward-lookingstatementstotheextentthattheyinvolveestimatesthereof.Anystatementsthatexpressorinvolvediscussionswithrespecttopredictions,expectations,beliefs,plans,projections,objectives,assumptionsoffutureeventsorperformance(often,butnotalways,usingsuchwordsorphrasesas“expects”or“doesnotexpect”,“isexpected”,“anticipates”or“doesnotanticipate”,“plans”,“estimates”or“intends”,orstatingthatcertainactions,eventsorresults“may”,“could”,“would”,“might”or“will”betaken,occurorbeachieved)arenotstatementsofhistoricalfactandshouldbeviewedasforward-lookingstatements.Suchforward-lookingstatementsinvolveknownandunknownrisks,uncertaintiesandotherfactorsthatmaycausetheactualresults,performanceorachievementsoftheCorporationtobemateriallydifferentfromanyfutureresults,performanceorachievementsexpressedorimpliedbysuchforward-lookingstatements.Suchrisksandotherfactorsinclude,amongothers,costsandtimingofthedevelopmentofexistingproperties,availabilityofcapitaltofundstabilizationprograms,otherissuesassociatedwiththerealestateindustryincluding,butwithoutlimitation,fluctuationsinvacancyrates,unoccupiedunitsduringrenovations,fluctuationsinutilityandenergycosts,creditrisksoftenants,fluctuationsininterestratesandavailabilityofcapital,andothersuchbusinessrisksasdiscussedherein.AlthoughtheCorporationhasattemptedtoidentifyimportantfactorsthatcouldcauseactualactions,eventsorresultstodiffermateriallyfromthosedescribedinforward-lookingstatements,otherfactorsmaycauseactions,eventsorresultstobedifferentthananticipated,estimatedorintended.Therecanbenoassurancethatsuchstatementswillprovetobeaccurateasactualresultsandfutureeventscouldvaryordiffermateriallyfromthoseanticipatedinsuchstatements.Accordingly,readersshouldnotplaceunduerelianceonforward-lookingstatementscontainedherein.
Forward-lookingstatementsarebasedonmanagement’sbeliefs,estimatesandopinionsonthedatethestatementsaremade,andtheCorporationundertakesnoobligationtoupdateforward-lookingstatementsifthesebeliefs,estimatesandopinionsshouldchangeexceptasrequiredbyapplicablesecuritieslaws.
NoSolicitation
ThepresentationisnotasolicitationtopurchasesecuritiesoftheCorporationandshouldnotbeconsideredanofferingorsolicitationdocumenttopurchasesecuritiesoftheCorporation.
Cautionary Statement
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WeareaCorporationnotaREIT
Weareanadd-valueconsolidatorofmid-marketmulti-familyapartmentbuildings
Mid-MarketCharacteristics§ Typicallylessthan100units§ FragmentedMom&Popownership§ Ownerneglectandmismanagement§ Greaterdeferredmaintenance§ Ownershavelimitedaccesstocapital§ Highervacancy/Lowerrents
ListedontheTSXin2000
YTDweownandmanage13,034unitsand1warehouseinEdmontonwithamarketvalueof$2billion
Q3 Investor Pitchbook
Mainstreet Equity Corp.
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Q3 Investor Pitchbook
Q3 Investor Pitchbook
Existing rental apartments trading significantly below replacement cost.
Managementbelieves:
Currentmarketrentsdonotjustifynewconstructionduetohighcosts
Increasingdemandandlimitedsupplywillcontinuetocreatefavourablerentalmarketconditions
Mainstreet’sPurchasePrice MarketValue ReplacementCost*(Buildcostofcomparablenew
apartments)
The #1 Driver in the Apartment Business Apartment Business Driver
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Q3 Investor Pitchbook
CalculationofOwnershipPremiumAssumptions:Calculationsofmonthlycarryingcostsbasedon:5-yearpostedmortgagerate;Averageresaleprice;25-yearamortization,5%downonpurchaseprice.
AllnumbersobtainedfromCMHC,CREA.(CMHCcalculations).
Apartment Demand
EDMONTON
RentalUniverse:69,070(2018)[Mid-market:54,085(78%)](2018)VacancyRate:4.3%(2021F)
PopulationGrowth:22,510(2020F)[33%oftotalrentaluniverse]CalculationofownershipPremium=Principal&InterestforAvg.ResaleHomeminusAvg.2-bedroomApt.Rent:$831(Fall2019)
CALGARY
RentalUniverse:39,567(2018)[Mid-market:26,205(66%)](2018)VacancyRate:2.8%(2021F)
PopulationGrowth:39,400(2020F)[99.6%oftotalrentaluniverse]CalculationofownershipPremium=Principal&InterestforAvg.ResaleHomeminusAvg.2-bedroomApt.Rent:$1,212(Fall2019)
REGINA
RentalUniverse:13,316(2018)[Mid-market:12,715(95%)](2018)VacancyRate:6.6%(2021F)
PopulationGrowth:4,700(2020F)[35%oftotalrentaluniverse]CalculationofownershipPremium=Principal&InterestforAvg.ResaleHomeminusAvg.2-bedroomApt.Rent:$593(Fall2019)
SASKATOON
RentalUniverse:14,123(2018)[Mid-market:12,723(90%)](2018)VacancyRate:6.0%(2021F)
PopulationGrowth:6,500(2020F)[46%oftotalrentaluniverse]CalculationofownershipPremium=Principal&InterestforAvg.ResaleHomeminusAvg.2-bedroomApt.Rent:$748(Fall2019)
ABBOTSFORD
RentalUniverse:4,043(2018)[Mid-market:3,859(95%)](2018)VacancyRate:1.5%(2020f)
PopulationGrowth:2,575(2019f)[64%oftotalrentaluniverse]CalculationofownershipPremium=Principal&InterestforAvg.ResaleHomeminusAvg.2-bedroomApt.Rent:$2,415
SURREY
RentalUniverse:5,603(2018)[Mid-market:4,986(89%)](2018)VacancyRate:0.4%(actualOct.2018)
PopulationGrowth:NA[NA]CalculationofownershipPremium=Principal&InterestforAvg.ResaleHomeminusAvg.2-bedroomApt.Rent:NA
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ACQUISITIONSIdentifyandbuyunder-performingrentalunitsatpriceswellbelowreplacementcosts.
CAPITAL IMPROVEMENTS IncreasetheassetvalueofMainstreet’sportfoliobyrenovatingacquiredproperties.
OPERATIONAL EFFICIENCIES Minimizeoperatingcoststhroughprofessionalmanagement,efficienttechnologyandenergy-savingequipment.
VALUE ENHANCEMENT Repositionrenovatedpropertiesinthemarket,asaMainstreetbrandedproduct,forhigherrents,andmaintainandbuildcustomerloyaltythroughhighlevelsofservice.
FINANCINGMaintainasoundcapitalstructurewithaccesstocapitalmarkets.
DIVESTITURESOccasionallysellmaturerealestatepropertiestoredirectcapitalintonewer,higherpotentialproperties.
Q4 2019, 10,524 units are stabilized out of the portfolio of 12,901 units.
Our Value Creation
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Q3 Investor Pitchbook
5 Pillar Competitive Advantage
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The Mainstreet ‘Spec’
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Mainstreet: Adding Value
Vintage Squared, Calgary Mainstreet Tower, Edmonton
Sunalta 1913, Calgary Sunalta 1913, Calgary
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Mainstreet: Adding Value Mainstreet Place, Calgary Mainstreet Park, Edmonton
Avenue Tower, Calgary Lincoln Terrace, Calgary
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EXPENSE REDUCTION 1. Mainstreet’saggressiverenovationprogramhasresultedinsignificantexpensereductionsinkey
areassuchas:§ Electrical(installcompactfluorescentbulbs:LEDbulbsforemergencyexitsigns)§ Water(‘Ultra-highefficiency’toilets;low-flowaeratorsinstalledonshowersandalltaps)§ Installenergyefficientwindows/exterior(newsiding)/newinsulation
2. Averaging40%savingsbyinstallingenergysavingwaterflowdevices(InstalledinmostSaskatoonpropertiesandcurrentlybeguninstallationinourCalgary,EdmontonandAbbotsfordportfolios)
3. Averaging30%savingsbyinstallingLEDlights(9wattvs60watt)inallpropertiesacrossWesternCanada
4. Estimated30%savingsingasconsumptionbyinstallingEndoThermTM(Pilottestin22propertiesinAlberta)
5. Themajorityoftheexistingunitshavebeenupgradedwithenergyefficientdevices6. Sub-meteringallpropertiesthatarenotcurrentlyset-upinthismanner;savingsonutilitiesfor
MEQ7. Abilitytoachieveeconomiesofscale
§ Fixedpricegascontracts§ Nationaldealonbulkpurchasingdiscountforconstructionsupplies
8. Automateddebitofmonthlyrents9. Software(‘real-time’,web-based,nationaloperationssystem)10. Advertising&Marketing(reducedcostsby:internalizingmarketing&advertising;
shiftadvertisingfromprinttoonline;investincompanywebsitetodriverentals)11. FinancialReporting(internalizedesignandproductionforannual&quarterlyreports)
Operating Efficiencies
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HigheroperatingmarginsversuslargerconcretecomplexesLowrisepropertieshaverelativelylessoperatingexpensessuchas:
§ Limitedornoelevatormaintenance§ Norepairheatormaintenanceofundergroundparkinggarage§ Amenities
Lowerrealtytaxesversuslargerstructures
LowerhydrocostresultingfromEliminationofheating/heatlossfromelevatorshaftsEliminationofheatingofundergroundparkinggaragesLesscommonareastoheatandcool
Mid-Market Efficiencies
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Weachievedthisthrough:Clusteringassetswithina5blockradius
RequiringfewerresidentmanagersleadingtoreducedHRcosts
Reducethecostofhavingmultiplepropertymaintenancecontracts
Createdominantbrandrecognitioninneighbourhoodstoreduceadvertisingcosts
Clustering Strategy
Abbotsford Calgary
Saskatoon
Edmonton
Regina Surrey
ThroughclusteringassetsMainstreethasmaximizedefficienciesandgrowth,transformingasingleassetintoanetworkofapartmentcomplexes.
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ICE District Strategy
101Properties[2,913units]
9
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TargetMarketsRentalApartmentUniverse
<100Units/building
TotalRentalUniverse %Mid-Market
Abbotsford 3,859 4,043 95%
Surrey 4,986 5,603 88%
CalgaryCMA 26,205 39,567 66%
EdmontonCMA 54,085 69,070 78%
Saskatoon 12,723 14,123 90%
Regina 12,715 13,316 95%
Mainstreet’s Target Markets 114,573 145,722 78%
Market Growth Potential
Mainstreet's strategy benefits from a large target market with less competition.
*NumbersobtainedfromCMHC*YTD
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*NumbersobtainedfromCMHC*YTD
13,034 14,894
16,040 17,186
18,332 19,477
20,623 21,769
22,915
0
5,000
10,000
15,000
20,000
25,000
11.4% 13.0% 14.0% 15.0% 16.0% 17.0% 18.0% 19.0% 20.0%
Uni
ts
Estimated Potential Rental Apartment Total Mid-Market Share
Potential Target Market Growth
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Note:InOctober2004,MEQraised$33min7.25%convertibledebentureswitha7yeartermand$6.25conversionprice.
A ‘Value Creation’ Company
§ ListedontheTSXin2000,Mainstreethasgrownitsportfoliofrom272unitswithamarketvalueof$17millionto13,011units(YTD)withamarketvalueof$2billionwithlimited
equitydilution.
§ AsofSeptember30,2019thenumberofcommonshares(9,381,730)ascomparedto8,883,333commonsharesonthedateofTSXlisting
§ FromOctober2006toOctober2010wepurchasedback4.5millionsharesthroughNCIBandSCIB,atanavg.priceof$6.87
§ In2016wepurchased1.4millionsharesthroughNCIBandSIBatanavg.priceof$35.99
§ In2017wepurchased53,569sharesthroughNCIBatanavg.priceof$36.80§ In2018wepurchased3,659sharesthroughNCIBatanavg.priceof$37.02
SIGNIFICANT GROWTH WITH LIMITED EQUITY DILUTION (YTD)
272904 1,370 1,667
2,280 2,606 2,7343,550
4,2865,250 5,562
5,939 6,4197,362
8,180 8,4788,780
9,3199,878
10,480
11,77612,901
13,034
-
2,000
4,000
6,000
8,000
10,000
12,000
14,000
20%CAGR(YTD)
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Value-Add Case Studies
Edmonton, AB § Mainstreet Park § Mainstreet Tower Lethbridge, AB § Highland Park Townhouses British Columbia § Mainstreet Estates (Surrey) § Cameron (New Westminster) Calgary, AB § Vintage Squared § Huntsville Saskatoon, SK § Portfolio
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Mainstreetpurchasedtheaboveproperty(178units)inAugust2016.Ittookapproximately12monthstocompletethestabilizationprocessandwefinancedthepropertyinNovember2017.Financialresultsforthepropertybeforeandafterstabilizationandfinancingaresummarizedasfollows:
Atacquisition Afterstabilization %increase
Annualizedrentalincome 632 2,095 231%
AnnualizedNOI (281) 1,373 Infinite
Appraisedvalue 26,700
Valuecreated 11,208 72%
(000’s)
Purchaseprice 13,350
Capitalexpenditure 2,142
Totalinvestmentincludingcapitalexpenditure 15,492
Mortgageloanafterfinancing 19,865
Equityraised 4,373
Returnonequity(NOI) Infinite
Value-Add Model: Mainstreet Park, Edmonton, AB
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Atacquisition Afterstabilization %increase
Annualizedrentalincome 3,590 4,767 33%
AnnualizedNOI 1,543 3,493 126%
Appraisedvalue 59,450
Valuecreated 16,767 39%
(000’s)
Purchaseprice 39,270
Capitalexpenditure 3,413
Totalinvestmentincludingcapitalexpenditure 42,683
Mortgageloanafterfinancing 36,137
Equityinvested 6,546
Returnonequity(NOI) 53%
Mainstreetpurchasedtheaboveproperty(359units)onMay31,2013.Ittookapproximately12monthstocompletethestabilizationprocessandwefinancedthepropertyinJune2014.
Financialresultsforthepropertybeforeandafterstabilizationandrefinancingaresummarizedasfollows:
Value-Add Model: Mainstreet Tower, Edmonton, AB
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Mainstreetpurchasedtheaboveproperty(156units)onJuly15,2015.Ittookapproximately12monthstocompletethestabilizationprocessandwefinancedthepropertyinJuly2016.
Financialresultsforthepropertybeforeandafterstabilizationandrefinancingaresummarizedasfollows:
Atacquisition Afterstabilization %increase
Annualizedrentalincome 1,735 1,905 10%
AnnualizedNOI 672 1,310 95%
Appraisedvalue 20,400
Valuecreated 6,950 52%
(000’s)
Purchaseprice 13,400
Capitalexpenditure 50
Totalinvestmentincludingcapitalexpenditure 13,450
Mortgageloanafterfinancing 15,300
Equityextracted (1,850)
Returnonequity(NOI) Infinite
Value-Add Model: Highland Park, Lethbridge, AB
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Mainstreetpurchasedtheaboveproperty(331unitswith5buildings)inJanuary2015.Ittookapproximately6monthstocompletethestabilizationprocessandwefinancedthepropertyinNovember2016.
Financialresultsforthepropertybeforeandafterstabilizationandrefinancingaresummarizedasfollows:
Atacquisition Afterstabilization %increase
Annualizedrentalincome 1,900 3,485 83%
AnnualizedNOI 69 2,340 3,291%
Appraisedvalue 51,400
Valuecreated 17,750 30%
(000’s)
Purchaseprice 33,650
Capitalexpenditure 3,928
Totalinvestmentincludingcapitalexpenditure 37,578
Mortgageloanafterfinancing 36,908
Equityinvested 678
Returnonequity(NOI) 345%
Value-Add Model: Mainstreet Estates, Surrey, BC
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Mainstreetpurchasedtheaboveproperty(84units)inJuly2012.Ittookapproximately36monthstocompletethestabilizationprocessandwefinancedthepropertyinSeptember2015.
Financialresultsforthepropertybeforeandafterstabilizationandrefinancingaresummarizedasfollows:
Atacquisition Afterstabilization %increase
Annualizedrentalincome 734 910 24%
AnnualizedNOI 95 580 510%
Appraisedvalue 12,800
Valuecreated 3,036 31%
(000’s)
Purchaseprice 7,550
Capitalexpenditure 2,214
Totalinvestmentincludingcapitalexpenditure 9,764
Mortgageloanafterfinancing 9,060
Equityinvested 704
Returnonequity(NOI) 82%
Value-Add Model: Cameron, New Westminster , BC
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Mainstreetpurchasedtheaboveproperty(32units)inJuly2011.Ittookapproximately12monthstocompletethestabilizationprocessandwefinancedthepropertyinJuly2014.
Financialresultsforthepropertybeforeandafterstabilizationandrefinancingaresummarizedasfollows:
Atacquisition Afterstabilization %increase
Annualizedrentalincome 302 435 44%
AnnualizedNOI 190 323 70%
Appraisedvalue 6,400
Valuecreated 2,522 64%
(000’s)
Purchaseprice 3,600
Capitalexpenditure 338
Totalinvestmentincludingcapitalexpenditure 3,938
Mortgageloanafterfinancing 3,977
Equityextracted (39)
Returnonequity(NOI) Infinite
Value-Add Model: Vintage Squared, Calgary
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Mainstreetpurchasedtheaboveproperty(52units)inApril2012.Ittookapproximately29monthstocompletethestabilizationprocessandwefinancedthepropertyinSeptember2014.
Financialresultsforthepropertybeforeandafterstabilizationandrefinancingaresummarizedasfollows:
Atacquisition Afterstabilization %increase
Annualizedrentalincome Nil 743 Infinite
AnnualizedNOI Nil 586 Infinite
Appraisedvalue 12,100
Valuecreated 5,440 82%
(000’s)
Purchaseprice 5,500
Capitalexpenditure 1,160
Totalinvestmentincludingcapitalexpenditure 6,600
Mortgageloanafterfinancing 6,759
Equityextracted (99)
Returnonequity(NOI) Infinite
Value-Add Model: Huntsville, Calgary, AB
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MainstreetacquireditsfirstpropertyinthecityofSaskatoon(165units)inNovember2006.AsofJune2019,Mainstreetowns55properties(2,003units)foratotalconsiderationof$167million.
44properties(1,158units)havebeenstabilizedandfinanceduptoJune30,2019.Financialresultsforthepropertybeforeandafterstabilizationandrefinancingaresummarizedasfollows:
4 Atacquisition Afterstabilization %increase
Annualizedrentalincome 6,868 12,290 79%
AnnualizedNOI 3,299 7,284 121%
Appraisedvalue 118,618
Valuecreated 40,765 52%
7
Purchaseprice 65,892
Capitalexpenditure 11,961
Totalinvestmentincludingcapitalexpenditure 77,853
Mortgageloanafterfinancing 91,062
Equityextracted (13,209)
Returnonequity(NOI) Infinite
Value-Add Model: Saskatoon, SK
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*NumbersobtainedfromCMHC
ThemortgageloansoutstandingasofSeptember30,2019were$1.038billion.ThecashbalanceatSeptember30,2019was$70,000.TheestimatedNetAssetValuebasedontheappraisalvalueof$2.04billion,asofSeptember30,2019,was$764million($102perbasicshare).
Growing The Portfolio
ASSET GROWTH ($MM)
$11 $37 $66 $78 $111 $136 $142$189
$250$316 $354 $395
$451$543
$633$684
$731$809
$885$976
$1,148
$1,293 $1,297
$17 $50 $90 $105 $145 $170 $178
$309
$520
$710$625
$679$752
$908
$1,051$1,150
$1,259
$1,386 $1,400
$1,632
1,866
$2,020 $2,040
$0
$500
$1,000
$1,500
$2,000
$2,500GrossBookValue AppraisedValue
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Risk Management
CMHC INSURED MORTGAGES 2019
§ AsofSeptember30,2019,Mainstreethas$1.038billionofmortgages,ofwhich$946million(91%)areCMHCinsured(fixed&floatingrate)atanaverageinterestrateof2.96%andthebalanceof$92millionarefixedconventionalmortgageswithanaverageinterestrateof3.04%.
LONG-TERM FIXED INTEREST MORTGAGES
§ 98%ofMainstreet’sdebtisatafixedlong-termrate.
MortgageMaturityasofSeptember30,2019
*millionsofdollars
InterestRate Description Debt
2.94% FixedCMHC 922
3.04% Fixednon-CMHC 92
3.79% Floating-CMHC 24
2.97% Total 1,038
AverageTermtoMaturity:5.42yearsWeightedAvg.Rate:2.97%
InterestRate3.20%
InterestRate3.94%
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2019 Drivers
§ Stabilizationofexistingnon-stabilizedportfoliowhichequatesto18%ofthetotalportfolio.
§ AchieveOptimumPotentialNetOperatingIncome
§ $150Mliquidity
Every1%dropinvacancyrateequals$1.6MinNOI
VacancyRate(inclusiveofunstabilizedgrowth)
2019NOIgrowthaftercompleterentincreaseandstabilization
AnnualizedNOIbasedonQ32019
results
AnnualizedAdditionalNOIat95%occupancy
rate
AnnualizedAdditionalNOI
withoutconcession
AnnualizedAdditionalNOIatfullmarketrent
AnnualizedOptimum
potentialNOI Difference
Calgary $22,216 $3,542 $928 $26,686 $4,470
Edmonton $25,184 $1,192 $4,808 $407 $31,591 $6,407
Surrey $17,265 $5,700 $22,965 $5,700
Abbotsford $8,025 $2,091 $10,116 $2,091
Regina $4,838 $253 $1,122 $49 $6,262 $1,424
Saskatoon $12,057 $1,498 $3,157 $940 $17,652 $5,595
Totalfromoperations 89,585 2,943 12,629 10,115 115,272 25,687
7.8% 8.4% 8.0% 6.7% 6.9% 7.5% 8.0% 7.5% 7.8% 8.3% 9.2% 10.2% 9.7% 10.7% 10.6% 10.9% 11.1% 11.3% 10.0%7.8% 6.7% 6.5% 6.4% 5.7%
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2017 Acquisitions
Q12017Acquisitions
City Address #ofUnits PurchasePrice AppraisedValue Priceperdoor
Edmonton 10435156StreetNW 12 1,200,000 1,270,000 100,000
Edmonton 10625113StreetNW 22 1,980,000 2,650,000 90,000
Edmonton 10741108StreetNW 22 1,980,000 2,520,000 90,000
Saskatoon 404,525AveXS 1 61,000 120,000 61,000
Saskatoon 402,525AveXS 1 60,000 120,000 60,000
TotalQ12017 58 5,281,000 91,051
Q22017Acquisitions
Edmonton 107VillageAcres 185 17,800,000 19,750,000 94,680
Edmonton 11742127StreetNW 12 945,000 1,168,000 78,750
Calgary 1805–17StreetSW 15 2,075,000 2,300,000 138,333
Saskatoon 2010–22StreetW 31 2,025,000 2,650,000 65,323
Edmonton 307,10635–115St.NW 1 125,000 120,000 125,000
TotalQ22017 244 22,970,000 94,139
Q32017Acquisitions
Saskatoon #107529AveXSouth 1 50,000 120,000 50,000
Edmonton 10615111St.NW 33 3,366,000 3,620,000 102,000
Calgary #130511223St.SE 1 255,000 255,000 255,000
Calgary 2121-17St.SW 45 5,650,000 7,500,000 125,555
Calgary 127–13Ave.SW 24 3,960,000 5,050,000 165,000
TotalQ32017 104 13,281,000 127,701
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2017 Acquisitions - Continued
Q42017Acquisitions
City Address #ofUnits PurchasePrice AppraisedValue Priceperdoor
Calgary 807RoyalAvenueSW 28 4,336,000 4,750,000 154,857
Saskatoon #206,529AveXS 1 50,000 120,000 (notincludedinavg)50,000
Saskatoon 31057St.East 24 2,476,000 2,800,000 103,167
Saskatoon 102–118EdinburghPlace 142 16,960,000 17,200,000 119,436
TotalQ42017 195 23,822,000 122,536
TOTALFY2017 601 135,354,000
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2018 Acquisitions
Q12018Acquisitions
City Address #ofUnits PurchasePrice AppraisedValue Priceperdoor Saskatoon 102,529AvenueXSouth 1 50,000 120,153 50,000
Edmonton 10609,115StreetNW 22 2,193,000 2,750,000 99,682
Saskatoon EmeraldPark8,2309–17StreetS 1 50,000 120,513 50,000
Saskatoon EmeraldPark205,525AvenueXS 1 52,500 120,513 52,500
Saskatoon EmeraldPark203,529AvenueXS 1 46,000 120,513 46,000
Regina Regina 641 71,647,400 79,680,000 111,774
Edmonton 9010,144AvenueNW 39 3,568,500 5,790,000 91,500
Edmonton 201,10625–115StreetNW 1 135,000 127,500 135,000
Edmonton 10721,108StreetNW 26 2,630,000 3,220,000 101,154
TOTALQ12018 733 80,372,400 109,649
Q32018Acquisitions Saskatoon 8,12,16,&20BatemanCrescent 76 6,729,000
6,729,00088,539
Calgary 2416&241714aStSW 47 7,499,953 7,560,000 159,573
Regina 2025RoseSt 46 3,579,500 3,590,000 77,815
Calgary 5355WaverleyDrSW 21 2,810,000 3,750,000 133,810
Saskatoon 308,529AveXS 1 45,000 120,513 45,000
Saskatoon 202,529AveXS 1 40,000 120,513 40,000
Lethbridge 11035AveS 78 8,580,000 TBD 110,000
Calgary 2403&240933AveSW 16,3comm,1house 3,450,000 TBD 939,474
TOTALQ32018 290 32,733,453 112,874
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2018 Acquisitions - Continued
Q42018Acquisitions
Calgary 230917StreetSW 11 1,394,000 TBD 126,727
Calgary 7107ElbowDriveSW 51 8,288,000 TBD 162,510
Saskatoon 404529AveXS 1 40,000 TBD 40,000
Saskatoon 615ConfederationDr 102 10,194,900 TBD 99,950
Calgary 152012AveSw 23 3,427,000 TBD 149,000
Calgary 7703-7719ElbowDrSW 60 8,700,000 TBD 145,000
Calgary 4191stAveNE 25 3,690,000 TBD 147,600
TOTALQ42018 273 35,733,900 TBD 130,893
TOTALFY2018 1,296 148,839,000
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2019 Acquisitions
Q12019Acquisitions
City Address #ofUnits PurchasePrice AppraisedValue Priceperdoor
Saskatoon 4234&4238DeGreerStEast 64 6,688,000.00 TBD 104,500
Edmonton 10735107StNW 24 2,380,000.00 TBD 99,167
Calgary VistaGroup 125 18,300,000.00 TBD 146,400
Regina 1424Victoria&1969St.John 37 2,600,000.00 TBD 70,270
Calgary 1019&1023NorthmountDr.NW 20 2,600,000.00 TBD 130,000
Calgary 390816StSW 10 1,302,000.00 TBD 130,200
Saskatoon 207,525AveX 1 40,000.00 TBD 40,000
Edmonton(warehouse) 10738115StNW 0 1,040,000.00 TBD NA
Regina BoardwalkPortfolio 140 15,890,000.00 TBD 113,500
TOTALQ12019 421 50,840,000 118,290
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2019 Acquisitions Q22019Acquisitions
City Address #ofUnits PurchasePrice AppraisedValue Priceperdoor
Saskatoon 3023and3027BlakistonDriveNW 24 3,515,000 TBD 146,458
Saskatoon 201,601AveXS 1 32,500 TBD 32,500
Saskatoon 1311TemperanceStreet 63 5,650,000 TBD 89,683
Calgary 192911thAveSW 17 2,592,500 TBD 152,500
Saskatoon 1110AveWN 24 1,559,000 TBD 64,958
Saskatoon 20,230917StWest 1 40,000 TBD 40,000
TOTALQ22019 130 13,389,000 102,992
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2019 Acquisitions Q32019Acquisitions
City Address #ofUnits PurchasePrice AppraisedValue Priceperdoor
Calgary 193711AveSW 8 1,197,500 TBD 149,688
Saskatoon 402AvePSouth 31 1,550,000 TBD 50,000
Calgary 6347BowviewRdNW 74 13,000,000 TBD 175,676
Calgary 62657AveSW 29 4,814,000 TBD 166,000
Calgary 11611OakfieldDrSW 126 16,661,000 TBD 146,000
Calgary 1122026StSW 1 1,560,000 TBD 1,560,00
Calgary 191311AveSW 20 2,680,000 TBD 134,000
Airdrie 5053AveSE 36 5,125,000 TBD 142,361
Saskatoon 602–814ApplebyDr 240 18,900,000 TBD 78,750
TOTALQ32019 565 65,587,500 116,084
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2019 Acquisitions Q42019Acquisitions
City Address #ofUnits PurchasePrice AppraisedValue Priceperdoor
Saskatoon 208-529AveXS 1 37,000 TBD 37,000
Saskatoon 17-230917StWest 1 40,000 TBD 40,000
Saskatoon 204-525AveXS 1 35,000 TBD 35,000
TOTALQ42019 3 112,000 37,333
TOTALFY2019 1,118 $129,828,500
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RESIDUAL LAND § TrevellaParkTownhomes-Calgary,AB(~14acresofHighDensityResidential
Land)§ HighlandParkTownhomes–Lethbridge,AB(13.1acresofHighDensity
ResidentialLand)§ Dover–Calgary,AB(ResidualLand)§ ImperialCourt-Surrey,BC(HighDensityResidentialLand)§ AshleyCourt–Surrey,BC(Developmentpermitinplacefor35newunits)§ GreenwoodGardens–Surrey,BC(ResidualLand)§ 33263BourquinCres.–Abbotsford,BC(DevelopmentLot)§ LeamingtonManor-Edmonton,AB(DevelopmentLot)§ TheJunction–Calgary,AB(DevelopmentLot) § MainstreetVillage–Edmonton,AB(6.65acresofhighdensityresidentialland)§ PremierCityPark–Edmonton,AB(5.45acresoflandinIceDistrict)§ SurreyResidualLand§ ReginaParliamentLot(DevelopmentLot)§ Warehouse+Land(1.25Acres)§ Saskatoon20thStreetLot(DevelopmentLot)§ WestMeadowApartments(9.4Acres)§ BowRiverTownhomes(6.4Acres)
MEQowns3housesand1towernearSaddledome.Potentialredevelopland.
Mainstreetisintheprocessoftransformingobsoleteretailspaceintoanadditional14suitesinEdmonton,CalgaryandAbbotsford.
Residual Land Conversion Value
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CONDOMINIUM CONVERSION
Theopportunityexiststoconverttheexistingportfolioinintocondominiums,inparticularforthefollowingtownhousecomplexes:
BritishColumbia
§ Sunshinecomplex,BC§ Pinetreecomplex,BC§ HannaEstates,Abbotsford,BC
Condo Conversion Value
Alberta
§ TrevellaPark–Calgary,AB§ HighlandPark–Lethbridge,AB§ Wedgewood–Edmonton,AB§ Lauderdale–Edmonton,AB§ ClareviewCourt-Edmonton,AB§ BannermanTerrace–Edmonton,AB