Page 1

RIO CAN TSX : REI.UN RioCan's Third Quarter Results Driven by Robust Portfolio Fundamentals Net income of $ 137.6 million and FFO of $ 0.40 per unit Committed occupancy increased to 96.4 % and blended leasing spread was 7.5 % Capital recycling gains momentum with $ 880.5 million in of dispositions for 2021 High GRESB 2021 assessment scores earn top ranks , including 5 Star rating Toronto , Ontario ( November 9 , 2021 ) - RioCan Real Estate Investment Trust ( " RioCan " or the " Trust " ) announced today its financial results for the three and nine months ended September 30 , 2021 ( the " Third Quarter " ) . " RioCan has created one of Canada's preeminent portfolios by strategically curating our asset mix through capital recycling initiatives . The strength of our high - quality properties is clearly reflected in our third quarter results with leasing activity , leasing spreads and occupancy continuing to trend favourably , " said Jonathan Gitlin , President and CEO of RioCan . " We are committed to operating and growing our business in a responsible and sustainable way . Our 2021 GRESB assessments demonstrate our ESG leadership status and I am extremely proud of our second consecutive 5 Star rating for Real Estate . " Three months ended September 30 2021 2020 Nine months ended September 30 ( in millions , except where otherwise noted , and per unit values ) 2021 2020 Financial Highlights Net income ( loss ) $ Weighted average Units outstanding - diluted ( in thousands ) FFO ( i ) 137.6 $ 317,961 117.6 317,728 $ 389.6 $ ( 130.4 ) 317,818 317,721 $ 126.9 $ 128.8 $ 360.5 $ 383.3 FFO ( excluding debenture prepayment costs ) ( i ) $ 126.9 $ FFO per unit - diluted ( i ) $ 0.40 $ 128.8 0.41 $ $ 367.5 $ 383.3 1.13 $ 1.21 FFO per unit - diluted ( excluding debenture prepayment costs ) ( i ) $ 0.40 $ 0.41 $ 1.16 1.21 ( i ) A Non - GAAP measurement . For definitions and the basis of presentation of RioCan's Non - GAAP measures , refer to the Non - GAAP Measures section in RioCan's Management's Discussion and Analysis ( MD & A ) for the three and nine months ended September 30 , 2021 . FFO per Unit and Net Income • • FFO per unit for the Third Quarter was $ 0.40 , relatively consistent with $ 0.41 per unit in Q3 2020. FFO benefited from 6.6 % same property NOI growth as the impact of the pandemic on operations has continued to diminish . RioCan's tenant mix is comprised primarily of necessity - based retailers that have demonstrated resiliency throughout the last 20 months , while other uses have recovered as the economy re - opened . The benefit of the diminished impact of the pandemic was offset by a decrease in residential inventory gains in the quarter of $ 11.4 million or $ 0.04 per unit , due to timing of sales , and a reduction in NOI from commercial properties sold of $ 4.0 million , or $ 0.01 per unit . Reported net income was $ 137.6 million , $ 20.1 million or 17.1 % higher than Q3 2020 resulting from the similar factors as FFO per unit , above , as well as the benefit of fair value gains of $ 20.0 million recognized in Q3 2021 , primarily related to Kennedy Commons , compared to fair value losses of $ 8.5 million in Q3 2020 , partially offset by higher transaction costs . ESG Update • In the 2021 GRESB Assessments for Real Estate , RioCan achieved top scores . For the second consecutive year , the Trust was recognized as an industry leader , receiving a 5 Star rating in the Real Estate Assessment and ranked first amongst its Canadian peers in the Public Disclosure Assessment . In addition , RioCan ranked second amongst 19 of North American retail centres listed peers . RioCan also received Regional Sector Leader status for its first - ever submission to the Mixed - Use category for Development Assessment . 1 of 6