2018 Annual Information Form Cominar Real Estate Investment Trust Year ended December 31, 2018 March 29, 2019 Cominar Real Estate Investment Trust 2018 Annual Information Form Table of contents PART 1 – Date of Annual Information Form ..................................................................................................................................................................3 PART 2 – Structure of the REIT ....................................................................................................................................................................................3 PART 3 – General Development of the Business ...........................................................................................................................................................4 3.1 Overview of the REIT .................................................................................................................................................................................................... 4 3.2 Objectives and Strategy ............................................................................................................................................................................................... 4 3.3 Three Year History ....................................................................................................................................................................................................... 5 PART 4 – Description of the Business ..........................................................................................................................................................................6 4.1 Investment Guidelines and Operating Policies .......................................................................................................................................................... 6 4.2 Borrowing ..................................................................................................................................................................................................................... 9 4.3 Employees .................................................................................................................................................................................................................. 10 4.4 Operating Revenues ................................................................................................................................................................................................... 10 4.5 Investments in Joint Ventures .................................................................................................................................................................................. 11 4.6 Social Responsibility, Environmental Management and Policies ........................................................................................................................... 11 PART 5 – Properties ................................................................................................................................................................................................... 13 5.1 Overview of the Portfolio ........................................................................................................................................................................................... 13 5.2 Description of the REIT’s 10 Major Properties in Terms of Value as at December 31, 2018 ............................................................................... 17 PART 6 – Contract of Trust ........................................................................................................................................................................................ 19 PART 7 – Description of Debentures ........................................................................................................................................................................... 22 PART 8 – Risk Factors ................................................................................................................................................................................................ 22 8.1 Risk Factors Related to the Business of the REIT ................................................................................................................................................... 22 8.2 Risk Factors Related to the Ownership of Units ...................................................................................................................................................... 26 8.3 Risk Factors Related to the Ownership of Senior Debentures ................................................................................................................................ 29 PART 9 – Subsequent Events to December 31, 2018 .................................................................................................................................................. 30 9.1 Financing Activities .................................................................................................................................................................................................... 30 9.2 Dispositions................................................................................................................................................................................................................ 30 9.3 Changes in Management and on the Board of Trustees ........................................................................................................................................ 30 PART 10 – Distributions ............................................................................................................................................................................................. 30 10.1 General ....................................................................................................................................................................................................................... 31 10.2 Computation of Distributable Income for Distribution Purposes ........................................................................................................................... 31 10.3 Computation of Net Realized Capital Gains and Net Recapture Income ............................................................................................................... 31 10.4 Tax Deferral on 2018 Distributions ........................................................................................................................................................................... 31 10.5 Distributions during the Last Three Fiscal Years ..................................................................................................................................................... 31 PART 11 – Capital Structure ....................................................................................................................................................................................... 32 11.1 General Description of Capital Structure .................................................................................................................................................................. 32 11.2 Purchase of Units ...................................................................................................................................................................................................... 32 11.3 Issuance of Units ....................................................................................................................................................................................................... 33 11.4 Take-Over Bid ............................................................................................................................................................................................................. 33 11.5 Restrictions on the Issue and Transfer of Units ...................................................................................................................................................... 33 11.6 Credit Ratings ............................................................................................................................................................................................................. 33 PART 12 – Distribution Reinvestment Plan ................................................................................................................................................................. 34 PART 13 – Market for Securities of the REIT .............................................................................................................................................................. 35 13.1 Market for Units ......................................................................................................................................................................................................... 35 13.2 Market for Senior Debentures ................................................................................................................................................................................... 35 PART 14 – Trustees and Officers of the REIT ............................................................................................................................................................. 35 14.1 Information Concerning Trustees ............................................................................................................................................................................