2013 Annual Information Form Cominar Real Estate Investment Trust Year ended December 31, 2013 March 28, 2014 Cominar Real Estate Investment Trust 2013 Annual Information Form TABLE OF CONTENTS PART 1 – DATE OF ANNUAL INFORMATION FORM ...............................................................................................................6 PART 2 – STRUCTURE OF THE REIT ........................................................................................................................................6 PART 3 – GENERAL DEVELOPMENT OF THE BUSINESS .....................................................................................................6 3.1 Overview of the REIT ........................................................................................................................................... 6 3.2 Retrospective ........................................................................................................................................................ 7 3.3 Acquisitions made in fiscal 2013 ......................................................................................................................... 7 3.4 Disposals ............................................................................................................................................................... 9 3.5 Property development ............................................................................................................................................ 9 3.6 Investments in income properties .......................................................................................................................... 9 3.7 Chum Expropriation ............................................................................................................................................. 10 PART 4 – DESCRIPTION OF THE BUSINESS .........................................................................................................................10 4.1 General ................................................................................................................................................................ 10 4.2 Objectives and strategy ..................................................................................................................................... 10 4.3 Investment Guidelines and Operating Policies ................................................................................................ 12 4.4 Properties ............................................................................................................................................................ 15 4.5 Hypothecs and Debentures ............................................................................................................................... 43 PART 5 – RISK FACTORS ...........................................................................................................................................................51 5.1 Risk Factors Related to the Business of the REIT .............................................................................................. 51 5.2 Risk Factors Related to the Ownership of Units .............................................................................................. 54 5.3 Risk Factors Related to the Ownership of Debentures ................................................................................... 57 PART 6 – SUBSEQUENT EVENTS AFTER THIS AIF .............................................................................................................59 6.1 Acquisition of Properties ...................................................................................................................................... 59 6.2 Financing Activities .............................................................................................................................................. 59 6.3 Ownership Interest of Complexe Jules-Dallaire .................................................................................................. 59 PART 7 – DISTRIBUTIONS .........................................................................................................................................................59 7.1 General ................................................................................................................................................................ 59 7.2 Computation of Distributable Income for Distribution Purposes ..................................................................... 60 7.3 Computation of Net Realized Capital Gains and Net Recapture Income ...................................................... 60 7.4 Tax Deferral on 2013 Distributions ................................................................................................................... 60 7.5 Distributions during the Last Three Fiscal Years ............................................................................................. 60 PART 8 – CAPITAL STRUCTURE..............................................................................................................................................60 8.1 General Description of Capital Structure .......................................................................................................... 60 8.2 Restrictions on the Issue and TransFer of Units .............................................................................................. 61 8.3 Credit ratings........................................................................................................................................................ 61 PART 9 – DISTRIBUTION REINVESTMENT PLAN .................................................................................................................62 PART 10 – MARKET FOR SECURITIES OF THE REIT ...........................................................................................................62 10.1 Market for Units .................................................................................................................................................. 62 10.2 Market for Convertible Debentures ................................................................................................................... 63 10.3 Market for Senior Debentures .............................................................................................................................. 64 PART 11 – TRUSTEES AND OFFICERS OF THE REIT ..........................................................................................................65 11.1 Information Concerning Trustees ...................................................................................................................... 65 11.2 Information Concerning Non-Trustee Officers ................................................................................................. 66 2 Cominar Real Estate Investment Trust 2013 Annual Information Form 11.3 Independence ..................................................................................................................................................... 66 11.4 Audit Committee ................................................................................................................................................. 67 11.5 Cease Trade Orders and Bankruptcies ............................................................................................................ 68 PART 12 – LEGAL PROCEEDINGS AND REGULATORY ACTIONS ....................................................................................69 PART 13 – INTEREST OF MANAGEMENT AND OTHER INFORMED PERSONS IN MATERIAL TRANSACTIONS ......69 PART 14 – TRANSFER AGENT AND REGISTRAR .................................................................................................................69 PART 15 – INTEREST OF EXPERTS ........................................................................................................................................70 PART 16 – ADDITIONAL INFORMATION .................................................................................................................................70 SCHEDULE “A” ........................................................................................................................................................................... A-1 3 Cominar Real Estate Investment Trust 2013 Annual Information Form GLOSSARY The following terms used in this AIF have the meanings set out below: “Adjusted Unitholders’ Equity” means, at any time, the aggregate of the amount of Unitholders’ equity and the amount of accumulated depreciation recorded in the books and records of the REIT in respect of its Properties, calculated in accordance with IFRS. “Atlantic Provinces Area” or “Atlantic Provinces” includes the Provinces of New-Brunswick, Nova Scotia, Prince Edward Island and Newfoundland and Labrador. “Book Value” means, at any time, the book value of the assets of the REIT, as shown on its then most recent balance sheet. “Cominar” or the “REIT” means Cominar Real Estate Investment Trust and the corporations wholly-owned by or in partnership with Cominar. “Contract of Trust” means the contract of trust made as of March 31, 1998, governed by the laws of the Province of Québec, pursuant to which the REIT was established, as amended, supplemented or restated as of May 8, 1998, May 13, 2003, May 11, 2004, May 15, 2007 and May 14, 2008, May 18, 2010 and May 16, 2012. “Convertible Debentures” means, collectively, the Series