Investor Relations
Morguard North American Residential REIT (MRG.UN)
Morguard North American Residential REIT (the “REIT”) is an open-end real estate investment trust listed on the Toronto Stock Exchange (TSX) under the symbol MRG.UN. The REIT had total assets of $3.9 billion at December 31, 2022.
The REIT was formed to own a diversified portfolio of multi-suite residential rental properties across Canada and the U.S. Its primary objectives are: to generate stable and growing cash distributions to Unitholders on a tax-efficient basis; to enhance the value of its portfolio and the long-term value of its units through active asset and property management; and to expand the REIT’s asset base, primarily through acquisitions and property improvements.
Following its Initial Public Offering (“IPO”) in April 2012, the REIT has more than doubled its portfolio size to 11,829 suites at 41 multi-suite residential properties in North America. The real estate portfolio consists of 16 Canadian residential apartment communities located in Alberta and Ontario as well as 25 U.S. residential apartment communities and one retail property located in Colorado, Florida, Georgia, Illinois, Louisiana, Maryland, North Carolina, Texas, and Virginia consisting of 11,829 residential suites and 239,500 square feet of commercial gross leasable area.
Investor Highlights
News
Dear Fellow Unitholders,
In 2021, we continued to weather the economic storm created by COVID-19. But as the year progressed, it became more and more apparent that a recovery was well underway in the North American multi-suite residential market. Rental market demand in the U.S. surged, supported by an economic recovery. In Canada, investment demand outstripped supply, with buyers looking for acquisition opportunities in the nation’s metropolitan areas.
I am pleased to report that Morguard North American Residential REIT has performed well, confirming what we have long believed. Namely, that multisuite residential properties are an excellent asset class and that there are advantages to maintaining a portfolio that has regional diversity – across both the U.S. and Canada.
In 2021, the value of the REIT’s real estate properties increased to $3.3 billion by year end, led by a $288.7 million fair value gain on its real estate properties in both Canada and the U.S.
During the second year of the pandemic, the REIT continued to focus on measures that would ensure the health and safety of the many people that occupy space in our buildings. Its management kept up intensified cleaning efforts and maintained virtual leasing protocols in order to keep staff, existing and prospective tenants safe. I, for one, am proud of the REIT’s success.
The REIT’s collection of rental income in Canada and the U.S. remained strong, exceeding 99% on average. Average monthly rent (AMR) in the U.S. was up by 6.4% versus the previous year. AMR in Canada rose by 2.3%. Similarly, occupancy in the U.S. reached record levels and, in Canada, occupancy rates are expected to move upwards as the government loosens restrictions on immigration and reopens the economy.
There are even more reasons to be optimistic. U.S. Same Property NOI (in local currency) increased by 2.8%. And while NOI decreased by 6.1% in Canada, I expect leasing traffic to increase and return to normal. The REIT also anticipates an improvement in FFO after decreasing in 2021 to $64.8 million.
The REIT continues to be in an excellent position for future growth, with $196.5 million of liquidity and $52 million in unencumbered assets. And the REIT’s indebtedness to gross book value ratio of 40.2% is down from 42.8% compared to last year.
The REIT’s focus continues to be on creating value for the future, through acquisitions, redevelopment and active management. One example is the recently renovated property, 1643 Josephine Street located in New Orleans. The redevelopment achieved stabilized occupancy during October 2021 and has an AMR of US$1,842, further improving the overall quality of our portfolio. And the REIT continues to be committed to energy management, stakeholder engagement and ESG initiatives. All in line with the needs and desires of our tenants, employees and stakeholders.
I anticipate the REIT maintaining its solid performance, providing growing and stable returns for its Unitholders, because of the strong executive and management services teams that we have in place. These forward-thinking teams have the skills and experience to create value in the REIT’s existing portfolio with the liquidity needed to strengthen the portfolio by seeking out high-quality acquisition opportunities in new and existing markets across Canada and the U.S.
Many thanks to our valued Unitholders, employees and partners. We appreciate your support and look forward to our collective journey to sustaining long-term growth.
Morguard North American Residential REIT is an unincorporated, open-end real estate investment trust listed on the Toronto Stock Exchange (TSX) under the symbol MRG.UN. The REIT owns a diversified portfolio of 42 real estate properties in North America. The real estate portfolio consists of 16 Canadian residential apartment communities located in Alberta and Ontario as well as 26 U.S. residential apartment communities and one retail property located in Colorado, Florida, Georgia, Illinois, Louisiana, Maryland, North Carolina, Texas, and Virginia consisting of 11,829 residential suites and 239,500 square feet of commercial gross leasable area.
| $3.7B Real Estate Properties |
26 U.S. Properties |
16 Canadian Properties |
| 11,829 Suites |
95% U.S. Occupancy |
99% Canadian Occupancy |
- General Information
- Annual Report
- Annual Information Form
- Management Info Circular
- Tax Information
- Distribution Reinvestment
- Distribution History
- Analyst Coverage
- Morguard North American Residential REIT Annual Meeting Video
| Head Office | Morguard North American Residential Real Estate Investment Trust 55 City Centre Drive, Suite 1000 Mississauga, ON, L5B 1M3 T 905-281-4800 E info@morguard.com |
| Listing | Toronto Stock Exchange |
| Symbol | MRG.UN, MRG.DB.A |
| Eligibility | RRSP, RRIF, DPSP, RESP, RPP, TFSA |
| Auditors | Ernst & Young LLP |
| Principal Bankers | Royal Bank of Canada Toronto Dominion Bank |
| Year | Distribution |
Return of
Capital |
Capital
Gain |
Other
Income |
Download | |
|---|---|---|---|---|---|---|
| 2022 | $0.7030 | 93.2% | - | 6.8% | 2022 Details | |
| 2021 | $0.6996 | 100.00% | - | - | 2021 Details | |
| 2020 | $0.6996 | 67.70% | - | 32.30% | 2020 Details | |
| 2019 | $0.6826 | 78.40% | - | 21.60% | 2019 Details | |
| 2018 | $0.6632 | 66.90% | 8.20% | 24.90% | 2018 Details | |
| 2017 | $0.6433 | 91.02% | - | 8.98% | 2017 Details | |
| 2016 | $0.6067 | 100.00% | - | - | 2016 Details | |
| 2015 | $0.60 | 100.00% | - | - | 2015 Details | |
| 2014 | $0.60 | 88.54% | 11.46% | - | 2014 Details | |
| 2013 | $0.60 | 83.66% | 8.86% | 7.48% | 2013 Details | |
Distribution Reinvestment Plan Highlights:
You may participate in the Plan if you currently are a Unitholder of record of Morguard North American Residential REIT units or if you own Morguard North American Residential REIT units through your broker (by having your broker participate on your behalf).
You may purchase additional units by reinvesting all or a portion of the cash distributions paid on your units, at the average market price of 100% of the simple average of the closing price for units of Morguard North American Residential REIT on The Toronto Stock Exchange for the five (5) trading days immediately preceding a Distribution Date.
You may purchase Morguard North American Residential REIT units without paying any service fees, brokerage trading fees or other charges. (Note: If you participate in the Plan through your broker, you should consult with your broker; your broker may charge you a service fee.)
Plan participation is voluntary, and participation in the Plan may be terminated at any time. Carefully read the complete Distribution Reinvestment Plan Information to Unitholders here before deciding to participate.
To Participate:
Unitholders may register online by visiting the Computershare Investor Centre website at http://www.computershare.com/ca-en/ or by contacting Computershare at 1-800-564-6253 (Canada and U.S.) or 514-982-7555 (international).
Unitholders who own units through a broker should consult their broker regarding participation in the Plan.
| Distribution Per Unit | Distribution Record Date | Distribution Payment Date | Amount |
|---|---|---|---|
| $0.06000 | 28 Feb 2023 | 15 Mar 2023 | $2,268,909.96 |
| $0.06000 | 31 Jan 2023 | 15 Feb 2023 | $2,270,619.00 |
| $0.06000 | 30 Dec 2022 | 16 Jan 2023 | $2,272,104.24 |
To view the Distribution History archive, click here.
| Company | Contact | Phone | |
|---|---|---|---|
|
TD Securities Inc.
|
Jonathan Kelcher, CFA
|
416-307-9931 | |
| CIBC World Markets Inc. | Dean Wilkinson, CFA | 416-594-7194 | dean.wilkinson@cibc.com |
| RBC Capital Markets | Jimmy Shan | 416-842-6272 | jimmy.shan@rbccm.com |
| Laurentian Bank Securities | Frederic Blondeau, MSC | 514-350-2974 | BlondeauF@lb-securities.ca |
- Declaration of the Trust
- Code of Conduct
- Trustee Mandate
- Committee Charters
- Board of Trustees and Committee Composition
- Whistleblower Program
- Policy Statement Regarding the Election of Trustees
Morguard North American Residential REIT's Declaration of Trust governs our operations and includes such topics as investment guidelines and operating policies, financing restrictions, units and distributions, and the responsibilities and obligations of the Trustees.
Morguard North American Residential REIT Declaration of the Trust
The primary responsibility of the Board of Trustees is to foster the long-term success of the Trust consistent with the Board's responsibility of the Unitholders to maximize value. The Board facilitates its exercising of independent supervision of the Trust's management through frequent meetings, both with and without members of the Trust's management (including management that are also Trustees) being in attendance.
Morguard North American Residential REIT Trustee Mandate
Morguard North American Residential REIT has three Board committees: Audit, Compensation and Governance and Investment
Audit Committee
The Board has adopted a written charter for the Audit Committee, which set out the Audit Committee’s responsibility in reviewing the financial statements of the REIT and public disclosure documents containing financial information and reporting on such review to the Board, ensuring that adequate procedures are in place for the review of the REIT’s public disclosure documents that contain financial information, overseeing the work and reviewing the independence of the external auditors and reviewing, evaluating and approving the internal control procedures that are implemented and maintained by management. The Audit Committee is also responsible for supervising the REIT’s compliance with and implementation of the risk and environmental programs.
Terms of Reference for the Audit Committee
Compensation and Governance Committee
The Compensation and Governance Committee is charged with reviewing, overseeing and evaluating the governance and nominating policies and the compensation policies of the REIT. In addition, the Compensation and Governance Committee will be responsible for: (i) assessing the effectiveness of the Board, each of its committees and individual Trustees; (ii) overseeing the recruitment and selection of candidates as Trustees of the REIT, other than Morguard’s nominees; (iii) organizing an orientation and education program for new Trustees and coordinating continuing Trustee development programs; (iv) considering and approving proposals by the Trustees to engage outside advisers on behalf of the Board as a whole or on behalf of the Independent Trustees; (v) reviewing and making recommendations to the Board concerning any change in the number of Trustees composing the Board; (vi) assessing the performance of the officers and other members of the executive management team of the REIT; and (vii) reviewing and making recommendations to the Board concerning the level and nature of the compensation payable, if any, to the Trustees and officers of the REIT.
Terms of Reference for the Compensation and Governance Committee
Investment Committee
The Investment Committee may authorize, without Board approval, proposed acquisitions, dispositions or borrowings where the acquisition, disposition or borrowing, including the assumption or granting of any mortgage of the REIT where the value of such transaction does not exceed $25.0 million. The Investment Committee will also recommend to the Board whether to approve or reject proposed transactions, where the value of such transaction exceeds $25.0 million.
Terms of Reference for the Investment Committee
| K. Rai Sahi 3 Chairman andChief Executive Officer |
Dino Chiesa 1, 3 Principal, Chiesa Group |
Bruce K. Robertson 1, 3 Vice President, Investments The Woodbridge Company Limited |
| Avtar Bains2, 3 Real Estate Adviser and Investor |
Mel Leiderman1 Senior Partner, Lipton LLP |
William O. Wallace2 Wallace Automotive Inc. |
| Frank Munsters2 Corporate Director |
1 Audit Committee
2 Compensation and Governance Committee
3 Investment Committee
Please click here for bios of the Trustees.
Please click here for the Terms of Reference for the Chair of the Board of Trustees.
Please click here for the Terms of Reference for the Lead Trustee.
The Code of Business Conduct of Morguard North American Residential REIT requires directors, trustees, officers, and employees to observe high standards of business and personal ethics in the conduct of their duties and responsibilities. As employees and representatives of Morguard North American Residential REIT, we must practice honesty and integrity in fulfilling our obligations and comply with laws and regulations and report violations or suspected violations in accordance with Morguard North American Residential REIT’s Whistleblower Policy. This policy ensures that no director, trustee, officer, or employee who, in good faith, reports a violation of the Code shall suffer harassment, retaliation, or adverse employment consequence.
Confidential complaints can be made to:
Beverley G. Flynn
Senior Vice President, General Counsel & Secretary
55 City Centre Drive, Suite 1000, Mississauga ON L5B 1M3
E bflynn@morguard.com
Or, to the Audit Committee Chair, Morguard Corporation
55 City Centre Drive, Suite 1000, Mississauga ON L5B 1M3
The board of trustees of Morguard North American Residential REIT believes that each of its members should have the confidence and support of the REIT’s unitholders. To this end, the members of the Board have unanimously adopted this statement of policy which applies to all current and future directors of the Trust.
Chief Financial Officer
Morguard North American Residential REIT
55 City Centre Drive, Suite 1000
Mississauga, ON L5B 1M3
T 905-281-5359
E cnewman@morguard.com
Senior Vice President, General Counsel & Secretary
Morguard Corporation
55 City Centre Drive, Suite 1000
Mississauga, Ontario L5B 1M3
T 905-281-5923
E bflynn@morguard.com
Computershare Trust Company of Canada
100 University Avenue, 9th Floor
Toronto, Ontario, M5J 2Y1
T 416-263-9200
F 416-981-9800
Shareholders Services
T 1-800-564-6253
K. Rai Sahi
Chairman and Chief Executive Officer
Morguard North American Residential REIT
E rsahi@morguard.com
K. Rai Sahi is Chairman and Chief Executive Officer of the Trust and Chairman and Chief Executive Officer of Morguard Corporation. Mr. Sahi, FCPA, FCGA, has over 30 years of business experience in public and private corporations, including extensive experience in investing, financial reporting, standards, and policy covering a broad range of industries including insurance, commercial banking, manufacturing, transportation and automotive as well as real estate. Mr. Sahi is President and Chief Executive Officer of Morguard Real Estate Investment Trust and Chairman and Chief Executive Officer of Morguard Investments Limited and TWC Enterprises Limited. Mr. Sahi has received many distinctions, including the Certified General Accountants Association of Canada Fellowship Award (2009), Voice Achievement Award (Fellowship in the Indo-Canadian Community over critical enterprises, 2009) and Turnaround Entrepreneur of the Year (1994). In addition, Mr. Sahi is a ranked member of numerous prestigious business listings, including ‘‘The Top 25 Most Influential Figures in Canadian Golf’’ (The National Post) and one of ‘‘The Most Influential People in Golf’’ (Golf Inc.).
Christopher Newman
Chief Financial Officer
Morguard North American Residential REIT
E cnewman@morguard.com
Chris Newman is Chief Financial Officer of Morguard North American Residential REIT and Vice President, Finance at Morguard Corporation. Prior to being appointed CFO in 2018, he held the position of Director of Finance at Morguard Corporation. Chris previously worked in progressively senior financial positions at two publicly-traded residential real estate investment trusts since 2010 bringing corporate finance, treasury, financial planning and reporting experience to his roles. A graduate of McMaster University with an Honours Bachelor of Commerce, Mr. Newman also holds a Chartered Professional Accountant (CPA, CA) designation.
Paul Miatello
Senior Vice President
Morguard North American Residential REIT
E pmiatello@morguard.com
Paul Miatello is Senior Vice President at the Trust and Chief Financial Officer of Morguard Corporation. Prior to being appointed CFO in 2007, he held the offices of Vice President Finance and Vice President, Morguard Residential Inc. Paul joined Revenue Properties Company Limited (RPCL), a Morguard subsidiary, in 2000 and was appointed Vice President, Finance and CFO of RPCL in 2003. Paul has over 15 years experience working with public and private real estate companies. Paul is a Chartered Professional Accountant (CPA, CA).
Beverley G. Flynn
Senior Vice President, General Counsel and Secretary
Morguard North American Residential REIT
E bflynn@morguard.com
Beverley G. Flynn is Senior Vice President, General Counsel and Secretary of Morguard. She joined Morguard in July 2003 and has taken on roles of increasing responsibility and scope throughout her tenure. Ms. Flynn has over 15 years of experience in business and legal matters relating to public markets, real estate, finance, operations, risk, sustainability and corporate and securities law. Prior to joining Morguard, Ms. Flynn was an associate with McMillan LLP. Ms. Flynn is member of the Law Society of Upper Canada and a graduate of Osgoode Hall Law School and Memorial University of Newfoundland. Ms. Flynn is also a recipient of the Osgoode Hall Law School Alumni Gold Key Award, the Global Counsel Award (General Commercial) from the International Law Office and the Association of Corporate Counsel and was named to the GC Power List: Canada Teams by The Legal 500.
Angela Sahi
Executive Vice President, Residential, Office and Industrial
E asahi@morguard.com
Ms. Sahi is Executive Vice President, Residential, Office and Industrial at Morguard. She began working for Morguard in 1995, while still under the name Acktion Corporation. Ms. Sahi holds a variety of roles and responsibilities at Morguard, including board member of Morguard Corporation and TWC Enterprises Limited. Ms. Sahi has oversight of the management and operation of Morguard’s Canadian multi-suite residential portfolio as well as the office and industrial portfolios. She also manages the research and valuations groups. Prior to working with Morguard, Ms. Sahi’s experience includes consulting with both Ernst & Young LLP’s Real Estate Advisory Group and Business Risk Services Group in New York City. She also worked in Ernst & Young LLP’s Audit and Tax groups in Toronto. Ms. Sahi has a Bachelor of Arts (Honors) and Gold Medal from the University of Western Ontario. She also completed a post-graduate degree in accounting from Wilfrid Laurier University and holds a Certified Public Accountant designation.
John Talano
Senior Vice President, U.S. Operations
Morguard North American Residential REIT
E jtalano@morguard.com
John is Senior Vice President of Morguard Management Company Inc. responsible for Morguard's U.S. Operations. He oversees Morguard’s residential and commercial holdings, including responsibilities over property management, asset management, operations, acquisitions, development and construction. John began his career at Morguard in 2006 as Vice President Residential of Morguard's U.S. portfolio. He started his career in real estate in 1997, working on his own multi-family residential projects. He formally began his career in the profession in 2001, working with Trammell Crow Residential. John holds a bachelor's degree from Purdue University in industrial engineering/technology and an MBA from Tulane University's A.B. Freeman School of Business. John is a Member of AFIRE, National Multifamily Housing Council, The International Council of Shopping Centers, and The National Apartment Association.
Morguard North American Residential REIT
Optimizing A Strong Rental Market
Morguard North American Residential REIT
Enabling Operational Excellence
