Investor Presentation September 2023 slide image

Investor Presentation September 2023

1. 2. 3. 4. 5. Favourable Pricing Metrics Last Price (1) Units O/S. Market Cap Distribution Current Yield FFO 2023E (2) Price/FFO AFFO 2023E (2) 2023E (2) Price / AFFO 2023E (2) NAV (2) Prem. / Disc. to NAV (2) D/GBV Q2-23 D/EBITDA (3) (C$) (MM) (C$MM) (C$) (%) (C$) (ratio) (C$) (ratio) (C$) (%) (%) (x) Nexus Industrial REIT $8.16 90.3 $737 $0.64 7.89% $0.77 10.6x $0.65 12.5x $10.78 (24.3%) 48.0% 10.4x Industrial REITS Dream Industrial REIT $14.00 277.0 $3,877 $0.70 5.00% $0.99 14.2x $0.88 16.0x $16.44 (14.8%) 36.8% 9.3x Granite REIT $76.59 63.7 $4,882 $3.20 4.18% $4.97 15.4x $4.37 17.5x $90.24 (15.1%) 32.3% 7.9x Weighted Industrial Average (Excl. Summit REIT) 4.54% 14.9x 16.9x (15.0%) 34.3% 8.5x (4) Summit REIT $23.50 190.0 $4,464 $0.83 28.4x $0.73 32.0x $19.00 23.7% 25.1% 8.2x Weighted Industrial Average (Incl. Summit REIT) 3.01% 19.4x 22.0x (1.9%) 31.2% 8.4x • Nexus currently has an approximately 89% industrial weighting(5) • • • Nexus trades at a 12.5x multiple of 2023E analyst consensus AFFO per unit as compared to an average of 16.9x for its industrial REIT peers (excl. Summit REIT)(2). Summit was recently acquired by GIC & Dream Industrial. The purchase price of $23.50 per unit represented a -23.7% premium to consensus NAV(2). Nexus' recent trading price of $8.16 per unit represents a 24.3% discount to NAV(2). Current valuation provides substantial trading price upside as Nexus continues moving towards becoming a pure play industrial REIT. At the recent $8.16 trading price, the REIT's units are trading at a 12.5x multiple of 2023E AFFO per unit(1)(2). The average multiple for industrial REITs (excl. Summit REIT which traded at 28.4x) is 16.9x Based on trading price as at 30-Aug-23 except for Summit REIT. Non-IFRS measure. Based on mean analyst consensus estimates as of 30-Aug-23. Summit figures based on latest available analyst consensus estimates. Source: FactSet. Non-IFRS measure. As of latest reported figures. Based on offer price. Acquisition by GIC & Dream Industrial closed on 17-Feb-23. Metrics shown based on latest reported figures. NOI basis. NEXUS INVESTOR PRESENTATION SEPTEMBER 2023 16
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