TORONTO, Aug. 9, 2018 /CNW/ - H&R Real Estate
Investment Trust ("H&R") and H&R Finance Trust ("Finance
Trust") (collectively, the "Trusts") (TSX: HR.UN) today announced
strong combined financial results for the three and six months
ended June 30, 2018.
STRATEGY UPDATE
H&R's 2017 annual report included a letter to shareholders
identifying H&R's strategic objectives across governance,
assets and investment profile. The following Q2 2018
transactions demonstrate H&R's significant progress in
achieving these objectives:
- Sold 63 lower growth U.S. retail assets for U.S. $633.0 million;
- Sold H&R's ownership interest in F1RST Tower in
Calgary, AB for $53.5 million;
- Reinvested sales proceeds in high growth assets by acquiring
U.S. $133.9 million of multi-family
assets, with an additional U.S. $122.3
million under firm contract;
- Purchased and cancelled 3.0 million Stapled Units for
$61.1 million; and
- Advanced and expanded the development pipeline to $1.2 billion of properties under
development.
Thomas Hofstedter, H&R REIT's
President & CEO said "We are pleased to report continued strong
financial and operating results this quarter, reflecting our high
quality portfolio. From a strategic perspective, Q2 2018 was quite
productive, with significant asset sales completed in accordance
with our goal of streamlining our portfolio and enhancing our
growth profile. We also expect to collapse our stapled unit
structure in the next month, simplifying our capital structure and
further enhancing H&R's profile."
FINANCIAL HIGHLIGHTS
|
3 months ended June
30, 2018
|
6 months ended June
30, 2018
|
|
2018
|
2017
|
%
Change
|
2018
|
2017
|
%
Change
|
Rentals from
investment properties (millions)
|
$294.3
|
$287.0
|
2.5%
|
$592.9
|
$580.8
|
2.1%
|
Property operating
income (millions)
|
$201.1
|
$191.6
|
4.9%
|
$355.5
|
$346.7
|
2.5%
|
Same-asset property
operating income (cash basis) - Canada(1)
(millions)
|
$132.8
|
$131.9
|
0.7%
|
$264.9
|
$262.9
|
0.8%
|
Same-asset property
operating income (cash basis) - U.S. in U.S. dollars(1)
(millions)
|
$37.5
|
$36.8
|
1.8%
|
$75.3
|
$73.9
|
2.0%
|
Same-asset property
operating income (cash basis) total in Canadian
dollars(1) (millions)
|
$181.6
|
$181.3
|
0.1%
|
$361.4
|
$361.1
|
0.1%
|
Net income
(millions)
|
$108.2
|
$153.1
|
(29.3%)
|
$171.3
|
$263.9
|
(35.1%)
|
Funds from Operations
("FFO") (millions)(1)
|
$131.9
|
$142.4
|
(7.4%)
|
$267.6
|
$281.7
|
(5.0%)
|
FFO per Stapled Unit
(basic and diluted)(1)
|
$0.44
|
$0.47
|
(6.4%)
|
$0.88
|
$0.93
|
(5.4%)
|
Distributions per
Stapled Unit
|
$0.35
|
$0.35
|
-
|
$0.69
|
$0.69
|
-
|
Payout ratio per
Stapled Unit (as a % of FFO)(1)
|
79.1%
|
73.6%
|
5.5%
|
78.4%
|
74.2%
|
4.2%
|
(1)
|
These are non-GAAP
measures. See "Non-GAAP Financial Measures" in this press
release. The Trusts' combined MD&A includes a
reconciliation of property operating income to same-asset property
operating income (cash basis) and net income to FFO. Readers
are encouraged to review the reconciliation in the combined
MD&A.
|
H&R's portfolio generated positive growth in property
operating income and same-asset property operating income (cash
basis) despite the disruption of Sears closures in H&R's
Primaris portfolio and the strengthening of the Canadian dollar
which decreased the income contribution from H&R's U.S.
portfolio. The average exchange rate for the three months
ended June 30, 2018 was $1.30 for each U.S. $1.00 (June 30,
2017 - $1.34) and $1.28 for each U.S. $1.00 for the six months ended June 30, 2018 (June 30,
2017 - $1.33).
H&R's office portfolio generated $100.0 million of property operating income in Q2
2018, down 3.3% from Q2 2017 due to the sale of F1RST Tower in
Calgary, and the effect of a
strengthening Canadian dollar, partially offset by 0.5% growth in
same asset property operating income on a local currency basis.
H&R's Primaris portfolio generated $38.5 million of property operating income in Q2
2018, up 1.8% from Q2 2017, despite occupancy decreasing from 90%
at June 30, 2017 to 82.8% at
June 30, 2018. Notwithstanding
this sharp decline in occupancy, the portfolio delivered 1.3% same
asset property operating income growth reflecting the relative low
rents Sears had been paying on the vacated space in 2017, the
commencement of new leases on the previous Target stores as well as
the strength of the remainder of H&R's Primaris tenant
base.
H&R's growing Lantower Residential portfolio, now the third
largest segment, generated $17.9
million of property operating income in Q2 2018, up 40.2%
from Q2 2017 primarily due to acquisitions. In U.S. dollars,
Lantower Residential's same-asset property operating income (cash
basis) increased by 4.0% and 4.8%, respectively, for the three and
six months ended June 30, 2018
compared to the respective 2017 periods.
Net income before income taxes decreased by $65.7 million and $123.0
million for the three and six months ended June 30, 2018 compared to the respective 2017
periods, primarily due to non-cash items. Excluding non-cash
items, net income before income taxes decreased by $10.6 million from $150.4
million in Q2 2017 to $139.8
million in Q2 2018 and by $19.9
million from $250.3 million
for the six months ended June 30,
2017 to $230.4 million for the
six months ended June 30, 2018.
In addition, net income from equity accounted investments decreased
by $19.4 million and $32.9 million for the three and six months ended
June 30, 2018 compared to the
respective 2017 periods, primarily due to the change in fair value
adjustments on real estate assets and the sale of nine U.S.
industrial properties in 2017.
Included in FFO at the Trusts' proportionate share are the
following items which can be a source of variances between
periods:
|
Three months ended
June 30
|
Six months ended June
30
|
(in thousands of
Canadian dollars)
|
2018
|
2017
|
Change
|
2018
|
2017
|
Change
|
Lease termination
payments
|
$690
|
$357
|
$333
|
$1,482
|
$447
|
$1,035
|
Jackson Park
FFO
|
236
|
3,576
|
(3,340)
|
2,565
|
7,094
|
(4,529)
|
Other(1)
|
-
|
3,295
|
(3,295)
|
-
|
3,295
|
(3,295)
|
|
$926
|
$7,228
|
($6,302)
|
$4,047
|
$10,836
|
($6,789)
|
(1)
|
For complete details
please see page [32] of combined MD&A for the three and six
months ended June 30, 2018, available under H&R's profile on
SEDAR (www.sedar.com) and posted on H&R's website at
www.hr-reit.com.
|
Excluding the above items, FFO would have been $131.0 million for the three months ended
June 30, 2018 (Q2 2017 - $135.2 million) and $0.43 per basic Stapled Unit (Q2 2017 -
$0.44 per basic Stapled Unit).
For the six months ended June 30,
2018, FFO would have been $263.6
million (Q2 2017 - $270.8
million) and $0.87 per basic
Stapled Unit (Q2 2017 - $0.89 per
basic Stapled Unit).
SUMMARY OF SIGNIFICANT Q2 2018
ACTIVITY
Retail
In June 2018, H&R sold 63 U.S.
retail properties, totaling 4,235,943 square feet for U.S.
$633.0 million and realized a loss on
sale of U.S. $19.6 million which was
primarily due to mortgage prepayment penalties and closing
costs. Upon closing, H&R repaid 48 mortgages totaling
U.S. $205.3 million, repaid bank debt
of approximately U.S. $152.4 million
and funded Lantower Residential acquisitions of U.S. $133.9 million. The balance of the proceeds
of U.S. $121.8 million was held in
escrow as at June 30, 2018 and is
intended to be used for future acquisitions.
Office
In April 2018, H&R sold its
50% ownership interest in F1RST Tower in Calgary, AB (classified as an asset held for
sale as at March 31, 2018) for gross
proceeds of $53.5 million and repaid
the associated mortgage of $40.0
million, at H&R's ownership interest. As at June 30, 2018, H&R's Alberta office portfolio consists of four
single tenant properties, all of which are fully leased to
investment grade tenants, with a weighted average remaining lease
term to maturity of 17.9 years.
Primaris
Primaris occupancy as at June 30,
2018 was 82.8%. Excluding 675,613 square feet at H&R's
ownership interest previously occupied by Sears that is vacant,
occupancy as at June 30, 2018 for the
remainder of the Primaris portfolio was 91.3%. The Primaris
portfolio generated $38.5 million of
property operating income in Q2 2018, up 1.8% from Q2 2017.
Same-Asset property operating income (cash basis) from the Primaris
segment increased by 1.3% and 1.0%, respectively, for the three and
six months ended June 30, 2018
compared to the respective 2017 periods.
Lantower Residential
In June 2018, Lantower Residential
acquired 305 multi-family units at 504 E. Pettigrew St., in
Durham, NC ("Bullhouse") at a
purchase price, before transaction costs, of approximately U.S.
$76.3 million or approximately U.S.
$250,000 per multi-family unit. The
property was built in 2018 and occupancy was 40.3% upon acquisition
and 47.9% as at June 30, 2018.
Stabilized occupancy is expected to be achieved by March 2019.
In June 2018, Lantower Residential
acquired 322 multi-family units at 15175 Integra Junction in
Odessa, FL ("Asturia") at a
purchase price, before transaction costs, of approximately U.S.
$57.7 million or approximately U.S.
$179,100 per multi-family unit. The
property was built in 2017 and occupancy was 86.3% upon acquisition
and 88.5% as at June 30,
2018.
As at June 30, 2018, Lantower
Residential had a portfolio that comprises 19 properties in the
U.S. with an average age of 7.5 years, consisting of 6,260
multi-family units. Upon completion of properties currently
under construction the portfolio will consist of 7,779 multi-family
units, at H&R's ownership interest.
Developments
H&R's development pipeline is a key element to delivering
growth in Net Asset Value ("NAV") and FFO per unit over time.
H&R's large scale, low leverage and high-credit-quality tenant
base allows H&R to pursue large format development
opportunities not available to smaller entities, while maintaining
appropriate risk management exposure. H&R continues to
make significant progress with its value-creating development
program, consisting of a well-laddered pipeline of projects, the
largest of which (Jackson Park) is
in lease-up. During Q2 2018, H&R converted mortgage
receivable investments into ownership, formally adding two
significant development projects to the pipeline.
Jackson Park, the 1,871 suite
residential development in Long Island
City, NY, in which H&R has a 50% ownership interest, is
nearing completion. This trophy project is on budget and
slightly ahead of the development lease-up schedule. As at
June 30, 2018, 1,158 units had
received certificates of occupancy, 646 leases had been entered
into and 435 units were occupied. The remaining lease-up is
expected to occur during the balance of 2018 and 2019 with
stabilized occupancy expected to be achieved during Q4 2019.
Upon stabilized occupancy of all three towers, the first full
year's property operating income at H&R's ownership interest is
projected to be U.S. $35.4 million,
equating to a 6.1% yield on budgeted cost of U.S. $580.7 million.
In June 2018, H&R converted
its mortgage receivable secured against the urban in-fill
development site in Miami, FL,
known as River Landing into a
wholly-owned property under development. River Landing fronts directly on the Miami
River, is adjacent to the Health District and is in close proximity
to downtown Miami. River
Landing is a mixed-use development including approximately
345,000 square feet of retail space, approximately 136,000 square
feet of office space and 529 multi-family units. Construction
is underway and is expected to be completed in Q1 2020. The
total cost of the project is expected to be U.S. $424.8 million and as at June 30, 2018, approximately U.S. $117.4 million had been invested in the
development. Upon stabilized occupancy, the first full year's
property operating income is projected to be U.S. $24.4 million, equating to a 5.7% yield on
budgeted cost.
In June 2018, H&R purchased a
100% ownership interest in 20.3 acres of land in Prosper, TX, a suburb of Dallas ("Prosper") for U.S. $14.6 million, which was previously held as a
mortgage receivable. The location along Dallas North Tollway
enables quick access to the acclaimed Legacy West Development, home
to major corporate employers including the regional headquarters of
Toyota North America, Fedex, Liberty Mutual Regional and JP Morgan
Chase. The site is expected to consist
of 1,000 multi-family units. Construction on Phase 1
which will consist of 330 multi-family units is expected to
commence in Q1 2019.
For a complete list of H&R's current development projects
please see page 14 of the combined MD&A for the three and six
months ended June 30, 2018, available
under H&R's profile on SEDAR (www.sedar.com) and posted on
H&R's website at www.hr-reit.com.
Debt and Liquidity Highlights
In June 2018, H&R extended its
$300.0 million Primaris secured
operating facility until July 1,
2020.
In June 2018, H&R repaid all
of the 3.34% Series G senior debentures upon maturity for a cash
payment of $175.0 million. In
addition to repaying the 48 mortgages totalling $266.9 million (U.S. $205.3 million) on the U.S. retail assets that
were sold in June 2018, H&R also
repaid five other mortgages totalling $62.1
million. Together, these mortgages had a weighted
average interest rate of 4.0%.
During Q2 2018, H&R secured two new mortgages totalling
$123.6 million at a weighted average
interest rate of 3.8% for an average term of 10 years. The
weighted average interest rate on mortgages and debentures payable
as at June 30, 2018 was 3.9% with an
average term to maturity of 4.6 years.
Normal Course Issuer Bid ("NCIB")
With an increased focus on capital recycling into investments
with higher risk-adjusted returns and the availability of excess
capital generated from asset dispositions, H&R has taken
advantage of the opportunity to acquire Stapled Units through its
NCIB at what management believes to be significantly discounted
trading prices. During the three months ended June 30, 2018, the Trusts purchased for
cancellation 2,999,700 Stapled Units at a weighted average price of
$20.36 per Stapled Unit, for a total
amount of $61.1 million. During
the six months ended June 30, 2018,
the Trusts purchased and cancelled 6,609,420 Stapled Units at a
weighted average price of $20.62 per
Stapled Unit, for a total amount of $136.3
million.
OUTLOOK
H&R has recently undertaken a number of significant
initiatives to enhance the REIT's internal growth profile,
including acquisitions, dispositions, developments and the
repurchase and cancellation of Stapled Units. Mr. Hofstedter,
H&R REIT's President & CEO said "We are excited about the
progress we have made on enhancing the REIT's internal growth
profile, and eagerly look forward to seeing the positive effects of
our recent initiatives in the financial and operating results from
2019 and onwards."
FINANCIAL OUTLOOK
While the intended effect of these initiatives is to enhance
same-asset property operating income once implemented, we expect
these transactions and development lease-up activities to have
notable impacts on financial results in the near
term.
The sale of H&R's 63 U.S. retail assets will reduce net
income and FFO during the remainder of 2018. These properties
incurred a net loss of U.S. $13.2
million for the three months ended June 30, 2018. Excluding the loss from the
sale of assets, the contribution to net income and FFO from these
properties was U.S. $6.4 million for
the three months ended June 30,
2018.
As previously reported, when multi-family units in Jackson Park
become available for occupancy, IFRS requires H&R to report the
associated revenue and expenses in net income and to cease
capitalizing costs associated with these units. The largest impact
will arise from interest expense which will no longer be allowed to
be capitalized. Although the accounting impact of these
changes will continue to reduce net income and reported FFO during
2018, these changes will not have a cash impact on
H&R.
The following table presents net income and FFO for Jackson Park including actual results for the
six months ended June 30, 2018 as
well as projections through 2020:
|
|
|
|
|
|
Jackson Park (at
H&R's Ownership Interest)
|
(Actual)
|
(Actual)
|
(Projected)
|
(Projected)
|
(Projected)
|
(in thousands of U.S.
dollars)
|
Q1
2018
|
Q2
2018
|
Q3 & Q4
2018
|
2019
|
2020
|
Property operating
income
|
($588)
|
($566)
|
$2,587
|
$29,000
|
$35,400
|
Finance cost -
operations
|
(100)
|
(865)
|
(6,240)
|
(16,870)
|
(17,783)
|
Fair value
adjustments
|
2,153
|
819
|
-
|
-
|
-
|
Net income
(loss)
|
1,465
|
(612)
|
(3,653)
|
12,130
|
17,617
|
Fair value
adjustments
|
(2,153)
|
(819)
|
-
|
-
|
-
|
Notional interest
capitalization
|
2,537
|
1,587
|
1,490
|
130
|
-
|
FFO
|
$1,849
|
$156
|
($2,163)
|
$12,260
|
$17,617
|
Management expects Jackson Park
to deliver NAV growth through the completion of this development,
and once stabilized to contribute to higher FFO and NAV growth over
time.
Management expects positive overall property operating income
growth led by Lantower Residential in 2018 and 2019. As at
June 30, 2018, Lantower Residential
had three properties with a weighted average occupancy rate of
71.3% that are in the lease-up phase. All three properties are
expected to be stabilized by March
2019 and are expected to further contribute approximately
U.S. $7.1 million to property
operating income on an annualized basis.
U.S. $111.6 million of the
restricted cash balance as at June 30,
2018 is intended to be used to acquire two additional
Lantower Residential properties currently under contract for U.S.
$122.3 million, which are expected to
contribute property operating income of approximately U.S.
$6.2 million on an annualized basis
once stabilized.
Management expects positive rental growth from Primaris over the
next several quarters as the completion of the lease-up of the
former Target and Sears space should yield approximately
$9.6 million of additional annual
base rent.
The Trusts' previously announced amended reorganization, whereby
the Stapled Unit structure will be unwound, is expected to be
implemented in August 2018 and will
return H&R to a typical REIT capital structure.
Monthly Distribution Declared
The Trusts today declared a distribution for the month of August
scheduled as follows:
|
|
|
|
|
|
Distribution/Stapled
Unit
|
Annualized
|
Record
date
|
Distribution
date
|
August
2018
|
$0.11500
|
$1.38
|
August 17,
2018
|
August 31,
2018
|
The distribution will be paid in such amount regardless of the
date of implementation of the amended reorganization described
above.
Conference Call
Management will host a conference call to discuss the financial
results for the Trusts on Thursday, August
9, 2018 at 4:00 p.m. Eastern
Time. Participants can join the call by dialing
647-427-7450 or 1-888-231-8191. For those unable to participate in
the conference call at the scheduled time, it will be archived for
replay beginning approximately one hour following completion of the
call. To access the archived conference call by telephone, dial
416-849-0833 or 1-855-859-2056 and enter the passcode 5358956
followed by the pound key. The telephone replay will be available
until Thursday, August 16, 2018 at
midnight.
Webcast
A live audio webcast will be available through
http://hr-reit.com/Investor-Relations/InvestorEvents.aspx.
Please connect at least 15 minutes prior to the conference call to
ensure adequate time for any software download that may be required
to join the webcast. The webcast will be archived on H&R's
website following the call date.
About H&R REIT and H&R Finance
Trust
H&R REIT is one of Canada's
largest fully internalized real estate investment trusts with total
assets of approximately $14.2 billion
at June 30, 2018. H&R REIT has
ownership interests in a North American portfolio of high quality
office, retail, industrial and residential properties comprising
over 41 million square feet.
H&R Finance Trust is an unincorporated investment trust,
which primarily invests in notes issued by a U.S. corporation which
is a subsidiary of H&R REIT. The current note receivable
balance is U.S. $223.9 million. In
2008, H&R REIT completed an internal reorganization which
resulted in each issued and outstanding H&R REIT unit trading
together with a unit of H&R Finance Trust as a "Stapled Unit"
on the Toronto Stock Exchange.
Forward-Looking Disclaimer
Certain information in this news release contains
forward-looking information within the meaning of applicable
securities laws (also known as forward-looking statements) relating
to the Trusts' objectives, strategies to achieve those objectives,
the Trusts' beliefs, plans, estimates, projections and intentions
and similar statements concerning anticipated future events,
results, circumstances, performance or expectations that are not
historical facts, including the statements made under the headings
"Summary of Significant Q2 2018 Activity" and "Outlook" including
with respect to the streamlining of H&R's operations, H&R's
plans for 2018, including significant development projects,
dispositions, acquisitions and the repurchase and cancellation of
Stapled Units, and management's belief that these transactions will
enhance per unit FFO and NAV growth and have notable impacts on
financial results in the near term, expectations for property
operating income or rental growth from Lantower Residential and
Primaris, the intended use of restricted cash from the sale of
H&R's U.S. retail properties, H&R's expectation with
respect to the activities of H&R's development properties,
including redevelopment of existing properties and building of new
properties, the expected total cost and lease-up of Jackson Park,
the expected stabilized property operating income from Jackson Park, and the anticipated projected
amounts of net income and FFO in 2018-2020 resulting from
Jackson Park, expected future NAV
growth from Jackson Park,
expectations regarding the development of River Landing, and Prosper, and the expected timing for
implementation of the Amended Reorganization, Forward-looking
statements generally can be identified by words such as "outlook",
"objective", "may", "will", "expect", "intend", "estimate",
"anticipate", "believe", "should", "plans", "project", "budget" or
"continue" or similar expressions suggesting future outcomes or
events. Such forward-looking statements reflect the Trusts' current
beliefs and are based on information currently available to
management. Forward-looking statements are provided for the
purpose of presenting information about management's current
expectations and plans relating to the future and readers are
cautioned that such statements may not be appropriate for other
purposes. These statements are not guarantees of future performance
and are based on the Trusts' estimates and assumptions that are
subject to risks, uncertainties and other factors including those
risks and uncertainties described below under "Risks and
Uncertainties" and those discussed in the Trusts' materials filed
with the Canadian securities regulatory authorities from time to
time, which could cause the actual results, performance or
achievements of the Trusts to differ materially from the
forward-looking statements contained in this news release. Factors
that could cause actual results, performance or achievements to
differ materially from those expressed or implied by
forward-looking statements include, but not are limited to, the
general economy is stable; local real estate conditions are stable;
interest rates are relatively stable; and equity and debt markets
continue to provide access to capital. Additional risks and
uncertainties include, among other things, risks related to: real
property ownership, credit risk and tenant concentration; lease
rollover risk, interest and other debt-related risk; construction
risks; currency risk; liquidity risk, financing credit risk, cyber
security risk, environmental risk; co-ownership interest in
properties, joint arrangement risks; unit price risk; availability
of cash for distributions; ability to access capital markets;
dilution; unitholder liability; redemption right risk; risks
relating to debentures, tax risk and tax consequences to U.S.
holders. The Trusts caution that these lists of factors, risks and
uncertainties are not exhaustive. Although the forward-looking
statements contained in this news release are based upon what the
Trusts believe are reasonable assumptions, there can be no
assurance that actual results will be consistent with these
forward-looking statements. Readers are also urged to examine
the Trusts' materials filed with the Canadian securities regulatory
authorities from time to time as they may contain discussions on
risks and uncertainties which could cause the actual results and
performance of H&R and Finance Trust to differ materially from
the forward-looking statements contained in this news
release. Neither Finance Trust nor any of its trustees or
officers, assumes any responsibility for the completeness of the
information contained in H&R's materials filed with the
Canadian securities regulatory authorities or for any failure of
H&R or its trustees or officers to disclose events or facts
which may have occurred or which may affect the significance or
accuracy of any such information. Neither H&R nor any of
its trustees or officers, assumes any responsibility for the
completeness of the information contained in Finance Trust's
materials filed with the Canadian securities regulatory authorities
or for any failure of Finance Trust or its trustees or officers to
disclose events or facts which may have occurred or which may
affect the significance or accuracy of any such information.
All forward-looking statements in this news release are
qualified by these cautionary statements. These forward-looking
statements are made as of August 9,
2018 and the Trusts, except as required by applicable
Canadian law, assume no obligation to update or revise them to
reflect new information or the occurrence of future events or
circumstances.
Non-GAAP Financial Measures
The Trusts' annual audited combined Financial Statements are
prepared in accordance with IFRS. The Trusts' management uses a
number of measures which do not have a meaning recognized or
standardized under IFRS or Canadian Generally Accepted Accounting
Principles ("GAAP"). The non-GAAP measures FFO, Debt to total
assets, Payout Ratio per Stapled Unit, same-asset property
operating income (cash basis) and Trusts' proportionate share as
well as other non-GAAP measures discussed elsewhere in this
release, should not be construed as an alternative to financial
measures calculated in accordance with GAAP. Further, the Trusts'
method of calculating these supplemental non-GAAP financial
measures may differ from the methods of other real estate
investment trusts or other issuers, and accordingly may not be
comparable. The Trusts' use these measures to better assess the
Trusts' underlying performance and provide these additional
measures so that investors may do the same. These non-GAAP
financial measures are more fully defined and discussed in the
Trusts' combined MD&A for the three and six months ended
June 30, 2018, available at
www.hr-reit.com and on www.sedar.com.
Additional information regarding H&R and H&R Finance
Trust is available at www.hr-reit.com and on www.sedar.com.
SOURCE H&R Real Estate Investment Trust