TORONTO, February 27, 2018 (GLOBE NEWSWIRE) – Dream Unlimited Corp. (TSX: DRM ) (TSX: DRM.PR.A) ("Dream", "the enterprise" or "we") today made the financial results for the three and twelve known months ended 31 December 2017.
At 31 December 2017, the total equity of the Company per share was $ 8.42 per share, an increase of 14% compared to $ 7.39 per share in the previous year. Since our first reporting period as a listed company four years ago, our total share capital has more than doubled, representing a compound annual growth of around 20%.
"We are extremely satisfied with another strong financial year for Dream," said Michael Cooper, President & Chief Responsible Officer. "Our book equity per share has grown significantly from year to year, we have strong financial flexibility, we have increased our recurring income sources, and together with Dream Alternatives we have made world-class investments that will transform our development activities in Toronto." As we expected, we generated our home and residential divisions have strong results, with the majority of sales in the fourth quarter With our strong pipeline and momentum from 2017, we look forward to our continued growth in 2018 in all of our divisions. "
A summary of our results for the three and twelve months ended December 31, 2017 is included in the table below.
|Three months ending on 31 December,||Twelve months ending on 31 December|
|(in thousands of Canadian dollars, except amounts per share)||2017||2016||2017|| 2016  Receipts  $  144.586  $  88.628   $||356.964||$||340.167|
|Net margin||$||50,000  $||25.102||$  98,235||$||100,958|
|Net margin% (1)||34, 6%||28.3%||]||27.5%||29.7%|
|Income before income tax||$||68,191||$||37,078||$||115,576  $||135,624  Earings for the period (2)||$  50,268||$||26,694|| $||82.839||$||95,364|
| Profit for period,
excluding minority interest
|Normal earnings per share (3)||$||0.46||$||0.24||$||0, 81||$||0.85|
|Diluted earnings per share||$||0.45||$||0.23||$||0.79  $||0.83  Weighted average number of outstanding shares||109,230,724||80.91 9.175||98.452.162||]||79,260,180|
|Total issued and outstanding shares|| 109,235,622||80,919,175||||109235622||80919175|
|31 December 2017||31 December 2016|
|Total assets ||]||$||1,904,007||$||1,612,314|
|Total liabilities ||19659019] $||946.523||$||780.803|
|Total assets per share (4)||||$||8.42||$||7.39|
( 1) Net rate% (see "Non-IFRS measures" on page 55 of our management discussion and analysis ("MD & A") for the year ended 31 December 2017) represents the net margin as a percentage of sales.
(2) Included in the profit for the year ended 31 December 2016 is the net margin of $ 24.5 million ($ 18.0 million after tax) of the sale of 172 undeveloped hectares of land to the province Alberta to parts of the Calgary Ring Road. It is not in the normal course of business of the company to sell undeveloped land. Please refer to page 17 of our MD & A for the year ending December 31, 2017 for more information.
(3) Basic EPS is calculated by dividing Dreams' income attributable to parent owners by the weighted average number of Dream Subordinate Voting Shares and Dream Class B shares outstanding during the period.
(4) The total equity per share is calculated on the basis of the total equity, including the minority interest of Sweet Dream Corp. on 31 December 2016
Strong financial performance of 2017:
- In the twelve months ended 31 December 2017, Dream generated $ 115.6 million profit before income taxes . The comparable results for 2016 include the margin generated by the sale of 172 acres to the province of Alberta ($ 24.5 million), which is not considered normal. Without the land sale, profit before tax for the twelve months ended 31 December 2017, it would have been comparable to the previous year. In the year ending 31 December 2017, we achieved 913 parcel sales, 33.5 hectares sales and 300 housing units in accordance with previous guidelines.
More investments in developments of world-class Toronto and real estate through direct and indirect investments:
- Dream has invested $ 18.9 million of equity over the past 15 months, or $ 30.8 million including debt, exceptionally real estate opportunities in Toronto, including: a 5.6-hectare Lakeshore East site adjacent to a planned investment by Sidewalk Labs, a sister company of Google; a site of 72 hectares on the water in Port Credit that must be developed into a large master planned residential / mixed community; and the iconic Frank Gehry designed Mirvish-King West Development (the "Frank Gehry" development) located at the intersection of King Street West and Duncan Street in downtown Toronto, planned to be redeveloped with two distinctive residential towers, each more than 80 floors, with more than 80,000 square feet ("sf") of luxury shopping opportunities on multiple levels, including a potential hotel component and an art gallery. We believe that this investment portfolio represents irreplaceable property in core markets with significant cash flow and valuation potential as milestones are reached. All the above investments were made on a 25/75 basis between Dream and Dream Hard Asset Alternatives Trust ("Dream Alternatives", (TSX: DRA.UN)) and external partners, with Dream acting as head or co-developer for each project on behalf of both companies.
- Since early December 2016, Dream has invested $ 113.1 million to acquire 5.6 million units Dream Office REIT (TSX: D.UN) and $ 26.7 million to provide 4.8 million units of Dream Alternatives (including DRIP units), both of which have been converted into Toronto-focused development and real estate investment vehicles. On February 23, 2018, Dream had a 15% stake in Dream Office REIT, at a fair value of $ 252.4 million and a 14% stake in Dream Alternatives, at a fair value of $ 64.6 million. Depending on market conditions and our investment strategy, the Company intends to continue investing in Dream Office REIT and Dream Alternatives on an opportunistic basis, as both vehicles refine their portfolios and focus on core assets in Toronto, which is in line with the growing property and development footprint of Dream about the Greater Toronto Area ("GTA").
Increase in recurring income sources
- In the twelve months ended 31 December 2017, Dream generated $ 67.3 million in pre-tax income from non-development activities, which it considers sources of stable recurring annual income, an increase of 28, 8% compared to the previous year. The company considers income from investment and recreational properties (such as the Distillery District, Arapahoe Basin ski store and retail properties in Western Canada) and income related to investments in the listed funds, asset management contracts and Firelight Infrastructure as recurrent income that can be used as a source of continuous money to cover interest and fixed operating costs of the company. The company expects that its recurring income sources will continue to rise as investment property is developed on its own land in Toronto and Western Canada. Refer to page 9 of the MD & A for more information.
Strong liquidity position and increase in term debt financing
- On 31 December 2017, Dream had up to $ 123.1 million unused credit availability on its operating line. This is expected to increase further after the closure of the extension and the refinancing of the Company's non-running term facility. After 31 December 2017, the company made a change of its $ 175.0 million non-recurrent term facility with a syndicate of Canadian financial institutions, bringing the facility's loan capacity to $ 225.0 million and extending the maturity date to February 28, 2021. At closing, which is expected in March 2018, additional net proceeds generated from the non-recurring term facility will be used to repay outstanding amounts immediately under the Company's operating line, resulting in no net increase of the amount of the Company's total corporate debt facilities outstanding. Our debt / total equity ratio amounted to 32.4% as at 31 December 2017, compared with 31.7% as at 31 December 2016.
- As of 31 December 2017, the total fair value of shares held by Dream in the listed companies (Dream Office REIT, Dream Global REIT and Dream Alternatives) was $ 346.7 million, or 43% of the total market capitalization of the company.
Other important results: Condominiums and mixed-use developments
- Overall, 2017 was a remarkable year of growth in our condominium and mixed development department, despite the limited stock available for occupation in the current year. On December 31, 2017, Dream's condominium projects (including Zibi, a major urban community in Ottawa) consisted of 1,689 apartment buildings (755 units on Dream's share) at various stages of pre-construction or active development, the largest projects are Riverside Square and Canary Commons on the east side of downtown Toronto. Approximately 95% of our active projects were sold or pre-sold as of February 23, 2018. More specifically, there are more than 8,500 units (3,000 units on the Dream share) and 2.7 million sf of store / commercial space at project level in our development pipeline in Toronto and Ottawa. Please refer to page 25 of our MD & A for more information.
- In the three months ended 31 December 2017, Dream acquired a 6.25% stake in Frank Gehry's development for $ 4.8 million, with Dream Alternatives holding a 18.75% stake. The development is managed by Dream and Great Gulf Corporation. After the fourth quarter, the project proceeded to non-running term facilities for total loans of $ 85.0 million ($ 5.3 million on Dream's share), with maturities between 2 and 3 years and with interest on the primary interest of the bank plus 1.25% or the BA rate plus 2.75%. In addition, the project entered into letters of credit for an amount of $ 20.0 million.
- In the three months ended 31 December 2017, Dream led the restructuring of our Zibi partnership, acquired a 40% stake in the project and a 80% stake in the eventual overall partner. As a result, Dream was expected to verify the cooperation as of October 13, 2017 and the consolidated results of Zibi for the three months ended December 31, 2017. With Dream as the main developer, the remaining cooperative interests are held by Dream Alternatives (40%) and Windmill Green Properties LP (20%). Previously, the company's interest was included in investments processed using the equity method. Zibi is a 37-acre multi-phase development in Ottawa and Gatineau (Quebec) that includes more than 3 million sf of density consisting of more than 2,000 residential units and more than 1 million SF of commercial space. To date, two apartment buildings have reached a market launch ("O" and "Channel") which includes 141 units and which were pre-sold on February 23, 2018.
In the three months ended 31 December 2017, the company successfully obtained project financing for Zibi with a syndicate of financial institutions for ground and vertical construction for O and Kanaal, with loans available up to a maximum of $ 125.9 million and letters of credit to a total of $ 22.0 million. In the year ending 31 December 2017, land maintenance began on the land of Quebec and construction was under way at the condominium building O.
- The company reached 42 condominium unit occupations (50% on the share of Dream) in The Southwood, a 107-development of the condominium unit located in the eastern end of downtown Toronto, in the three months ending on December 31, 2017. Year-to-date, 99 buildings with a condominium unit (50% on the share of Dream ) have been achieved. No material condominium settlements are expected in the twelve months ending 31 December 2018. In 2019 we expect Phase 1 of Riverside Square, consisting of 688 condominium units (32.5% on Dream's share) and around 20,000 sf of retail to close and occupy. space. We also expect that Canary Block, consisting of 187 condominium units (50% on Dream & # 39; s share), will be occupied in 2019. For more information on these projects, see page 23 of our MD & A.
- As part of the Stage 2 countries (consisting of Canary Block, Canary Commons and a future residential block currently referred to as "Block 13"), the collaboration expects more than 1,000 condominium units and 30,000 sf of shops in addition to the 810 apartment buildings and 30,000 sf stores in phase 1, which was completed in 2016. From 23 February 2018, 100% of condominium units in Canary Block were pre-sold and 94% of the 360 units released in Canary Commons were pre-sold. Construction on the Canary Islands started in December 2017, with the first occupations expected in 2019. Canary Commons is expected to be built with the first buildings in the autumn of 2020 by mid-2018. After the end of the year, the company has successfully signed a commitment for a construction of $ 53.0 million contracted facility ($ 26.5 million on Dream's share) for the development of Canary Commons.
Main results and approval Highlights: Western Canada Land & Housing
- In the three months ended 31 December 2017 we reached 393 party sales, 26.5 acre sales and 137 housing units (three months ended 31 December 2016 – 216 lot sales , 9.0 hectares sales and 53 accommodation units). In the twelve months ended 31 December 2017, we achieved a sale of 913 parcels, 33.5 acre sales and 300 occupancy of residential units (year end 31 December 2016 – 501 parcel sales, 185.0 acre sales and 140 occupied homes). Approximately 84% of our plots sold in 2017 were within our major active developments, Brighton (Holmwood) in Saskatoon, Harbor Landing and Eastbrook in Regina and the Meadows in Edmonton.
- Based on current market conditions, Dream expects that the sale of 2018 lots and acre will be about 950 parcel sales and 29 acre sales, mainly from active communities in Saskatoon and Regina. On February 23, 2018, Dream made deposits or sales commitments for around 586 lottery sales that are expected to be realized in 2018, representing a significant portion of the expected sales volumes in the year. We expect our occupancy volumes in batch sales and condominium to increase further in the coming years, as we are currently in the planning stage for developing new master-planned communities in Western Canada, including Providence in Calgary and several major projects for residential / mixed use in Toronto and Ottawa.
We continue to focus on implementing our strategy to participate in more market share in our new communities by developing more single-family homes, stores and commercial properties. While we are building and selling, leasing or renting these properties, we want to record the development gains on both the land and construction components and add them to our recurring income sources by retaining the developed income characteristics. We focus on expanding our existing communities and strategically evaluating when maintenance needs to take place in new communities.
- In the three months ending 31 December 2017, Dream successfully completed two affordable housing projects in Harbor Landing at Saskatchewan Housing. Corporation. A total of 76 closures were made on units that are part of an affordable and subsidized housing program to support new Canadians in Regina with offering better housing opportunities.
- In the three months that ended on December 31, 2017, Dream reached final approval from the Beaumont City Council for the Elan Area Structure Plan in Beaumont, Alberta (south of Edmonton). Dream owns 371 hectares in Elan, which is part of the future community planned by the master of 1,272 hectares. Dream expects the Elan Neighborhood Plan to be approved in mid-2018, with the start of the development of these countries within the next two years.
- In the year ending 31 December 2017, the company formally submitted its draft plan application for Elmbridge, the first sub-area to be developed in the community of Coopertown planned by Dream's master. Elmbridge includes 160 of Dream's 1,045 acres in Coopertown, which is expected to accommodate 4,000 people after completion. Overall, Coopertown is expected to accommodate a significant portion of the population growth of the city of Regina and has the potential to house at least 35,000 people and 500,000 sf of commercial space. The previously approved Coopertown neighborhood plan offers a development strategy for transforming a large part of Regina's northwest quarter of the current agricultural state into a fully urbanized landscape with new neighborhoods, an urban center, parks and schools. At the end of 2018 a definitive approval is expected and therefore Dream expects the development of these countries to start within the next two years. After the end of the year, Dream made a commitment to acquire another 158 hectares directly to the north of Coopertown.
- In the three and twelve months ended 31 December 2017, fees earned from asset management agreements with the public Stock funds were $ 8.5 million and $ 36.3 million, respectively an increase of $ 0.8 million and $ 10.8 million, respectively, compared to last year, due to growth in fee-earning assets under management and acquisition activities. Development and other management expenses in the three and twelve months ended 31 December 2017 were $ 1.6 million and $ 9.5 million, respectively $ 12.4 million and $ 28.9 million lower than in the previous year, as the comparative results included certain fees related to the completion of major acquisitions. developmental milestones, which did not show the same decline in the current period. The Company expects development and other management costs to continue to rise in the coming years as a result of recent development investments with third parties in Toronto.
- In 2017, Dream successfully completed investments for listed assets for $ 1.4 billion in assets, in Canada, the United States and Europe. In the twelve months ended 31 December 2017, the asset management division generated strong sales and net margin of respectively $ 45.8 million and $ 36.2 million, or about 79% of total revenue, and remains a growing source of recurring revenue for the Company.
Retail and commercial developments in Western Canada and investments and leisure properties
- In the three months ended 31 December 2017, the net operating result ("NOI") of our development portfolio in Western Canada increased to $ 1 , 5 million, up from $ 0.70 million in the previous year, due to higher rental income as assets under development approach stabilization. In the twelve months ended 31 December 2017, the NOI on our development projects in Western Canada amounted to $ 4.5 million, an increase of $ 2.2 million compared to the previous year. Furthermore, since 2014, $ 21.3 million in fair value differences to date have been recognized on a cumulative basis with respect to our store development assets. After the end of the year, Dream ended with permanent term financing on its first completed retail development, Shops of South Kensington in Saskatoon, and closed a mortgage with a term of 7 years and a fixed rate of 3.7% per year. At closure, Dream virtually reproduced all its assets in the project. Dream currently strives for permanent financing opportunities for the development of the Tamarack stores in Edmonton.
- We continue to make progress with our active development projects in Western Canada. On December 31, 2017, Dream had approximately 457,300 sf of active retail projects under construction in Western Canada, of which about 76% had signed lease agreements and a weighted average lease term of 13.6 years. Dream expects to achieve a development return of approximately 7.4% on these retail projects, based on the estimated stabilized NOI on completion and the total estimated development costs, excluding any rental income earned during the development phase.
- Our commercial development team focused in 2017 on the pre-development of four projects in Saskatchewan that are expected to provide more than 200,000 sf of industrial and office space within our Western Canadian communities. In the year that ended on December 31, 2017, construction of Dream's first ever commercial development project was started on the Harbor Landing trade campus in Regina. The first phase of development includes approximately 41,000 sf of small-bay flex commercial and showroom industrial space in three buildings. Once fully developed, the Harbor Landing Commercial Campus offers approximately 80,000 sf of light industrial space of 6.5 net hectares. In the three months ended 31 December 2017, the company successfully completed a two-year construction credit with a term of $ 8.3 million in connection with the first phase of this development.
- In the twelve months ended 31 December 2017, NOI's recreational property was $ 10.3 million, an increase of 28% over the previous year, mainly due to the strong skiing conditions at Arapahoe Basin. The Broadview Hotel in downtown Toronto, where Dream has a 50% stake, was opened in July 2017 and also contributed NOI for $ 0.6 million in the twelve months ended 31 December 2017. The 58-hotel boutique hotel has retained its iconic 126-year-old facade with extensive eateries and over 4,000 sf of event space. The Broadview Hotel has received favorable press and awards because it has contributed to the revitalization of the East End district of Toronto while preserving the history and character of this monumental building.
Update on investments in Dream Office REIT and Dream Alternatives
- In the three months ended 31 December 2017, Dream Alternatives generated a net result of $ 16.4 million, an increase of $ 31.8 million compared to last year (net income of $ 1.6 million) million and net losses of $ 1.0 million for the three and twelve months ended December 31, 2017 on Dream & # 39; s share). Profits in the three months ended 31 December 2017 were mainly due to fair value gains on core income interests, which were subject to independent third-party assessments supporting the Trust's belief that its core assets in the Toronto city center represent exceptional real estate opportunities . The fourth quarter of 2017 represented the first full quarter that the Trust reported results with its most important asset portfolio after the sale of virtually all non-core activities of the Trust, consisting of legacy
- Following the end of the year, the Company was considered, for administrative reasons, to acquire control of Dream Alternatives, as it was determined that the exposure of Dream to variable returns from its involvement with the entity had increased significantly by units held in Dream Alternatives and certain contractual arrangements. As a result, the company will consolidate the financial results of Dream Alternatives with effect from 1 January 2018.
Other capital activities:
- In the twelve months ended 31 December 2017, 3.2 million shares with subordinated voting rights were purchased for cancellation by the Company at an average price of $ 6.84 in the ordinary issuance option of the Company (twelve months ended 31 December 2016 – 137,300 Subordinated Voting Shares at an average price of $ 6.94).
Select financial business statistics for the three and twelve months ended December 31, 2017 are summarized in the table below.
|Three months ending on 31 December,||Twelve months ending on 31 December|
|(in thousands of Canadian dollars, except amounts per share)||2017  2016||2017||2016|
|Acre turnover||24,821||5,679||29,671||47,065  Total turnover (1)||$||74.290||$||32.415||$||146.955||$||110.498  Net margin (1)  $||36.042||$||5,003||$||48,582||$||37,214|
|Net margin (%) (2)||48.5 %||15.4%||33.1 %||33.7%|
|Many sold|| 393||216||913||501|
|Average sales price – lot||$||126,000||$  124,000 ||$||128,000||$||127,000|
|Undeveloped hectare sold||–||2.0||–||178.0|
|Average sales price – uninhabited hectare||$||–||$||431,000||$||–||$  237,000|
|Developed hectares sold||26.5||7,0||||33.5||7.0|
|Average sales price – developed acres||$||937,000||$||660,000||$||886,000  $||660,000|
|DEVELOPMENT OF HOUSES|||
|Omzet (1)||$||40.005||$||19.315||$||100.415||$ 51.258|
|Netto-marge (1)||$||7.924||$||275||$||11.159||$ (2.211)|
|Netto-marge (%) (2 )||19,8 %||1,4%|| 11.1 %||n / a|
|Gemiddelde verkoopprijs – wooneenheden||$||292.000||$||364.000||$  335.000||$||366.000|
|Gemiddelde vierkante voet verkochte woningen||1.136||1.475||1.292||1.432|
|Gemiddelde verkoopprijs – per vierkante voet||$||257||$||247||$||259||$||256|
|Toerekenbaar aan Dream, direct en equity-account investeringen|
|Condominium-bezettingen – eenheden, projectniveau [1 9659017]||42||21||101||1.258|
|Opbrengsten  $||10.973||$||12.872||$||26.527||$||234.171|
|Nettomarge (3)||$||19||$||1.690||$||(2,798 )||$||40.964|
|Netto-marge (%) (2 )||n/a||13.1%||n/a||17.5%|
|Average selling price of condominiums occupied|
|Per square foot||$||540||$||522||$||531||$||511|
|ASSET MANAGEMENT AND MANAGEMENT SERVICES|||
|Fee-earning assets under management(2)||$||7,896,000||$||6,835,000||$||7,896,000||$||6,835,000|
|Net margin (%)(2)||69.0%||91.0%||79.0%||85.5%|
|Attributable to Dream, direct investments:|
|Net operating income – Distillery District||$||1,536||$||1,434||$||5,354||$||5,249|
|Net operating income – Other investment properties, Ontario||$||408||$||142||$||1,466||$||505Net operating income – Development properties, Western Canada||$||1,533||$||666||$||4,476||$||2,230|
|Total net operating income||$||3,477||$||2,243||$||11,296||$||7,984|
|Net margin (%)(2)||35.3%||31.1%||29.1%||19.6%|
|Attributable to Dream:|
|Net operating income||$||1,988||$||649||$||10,278||$||8,029|
|Net margin (%)(2)||8.9%||n/a||16.0%||15.4%|
(1) Results include land revenues and net margin on internal lot sales to our housing division as the homes have been sold to external customers by the housing division during the yea r. The revenue and net margin recognized in both the land and housing divisions, have been eliminated on consolidation. For more details, please refer to pages 13-14 of the MD&A.
(2) Fee-earning assets under management and Net margin (%) are non-IFRS measures used by Management in evaluating operating performance. Please refer to the cautionary statements under the heading “Non-IFRS Measures” in this press release.
(3) Net margin for condominium operations include interest expense, which is capitalized during the development period and expensed through cost of sale as units are occupied.
(4) Net margin for recreational properties is after depreciation expense.
Senior management will host a conference call on March 1, 2018 at 11:00 am. (ET). To access the call, please dial 1-888-465-5079 in Canada and the United States or 416-216-4169 elsewhere and use passcode 7354 665#. To access the conference call via webcast, please go to Dream’s website at www.dream.ca and click on the link for News and Events, then click on Calendar of Events. A taped replay of the conference call and the webcast will be available for 90 days.
About Dream Unlimited Corp.
Dream is one of Canada’s leading real estate companies with approximately $14 billion of assets under management in North America and Europe. The scope of the business includes residential land development, housing and condominium development, asset management for four TSX-listed trusts, investments in and management of Canadian renewable energy infrastructure and commercial property ownership. Dream has an established track record for being innovative and for its ability to source, structure and execute on compelling investment opportunities.
For further information, please contact:
Dream Unlimited Corp.
|Michael J. Cooper||Pauline Alimchandani|
|President & Chief Responsible Officer||EVP & Chief Financial Officer|
|(416) 365-5145||(416) 365-5992|
Dream’s consolidated financial statements are prepared in accordance with International Financial Reporting Standards (“IFRS”). In this press release, as a complement to results provided in accordance with IFRS, Dream discloses and discusses certain non-IFRS financial measures, including: net margin %, assets under management, fee-earning assets under management, NOI, estimated stabilized NOI, debt to total assets ratio and compound annual growth rate as well as other measures discussed elsewhere in this release. These non-IFRS measures are not defined by IFRS, do not have a standardized meaning and may not be comparable with similar measures presented by other issuers. Dream has presented such non-IFRS measures as Management believes they are relevant measures of our underlying operating performance and debt management. Non-IFRS measures should not be considered as alternatives to comparable metrics determined in accordance with IFRS as indicators of Dream’s performance, liquidity, cash flow, and profitability. For a full description of these measures and, where applicable, a reconciliation to the most directly comparable measure calculated in accordance with IFRS, please refer to the “Non-IFRS Measures” section in Dream’s MD&A for the three and twelve months ended December 31, 2017.
Forward Looking Information
This press release may contain forward-looking information within the meaning of applicable securities legislation, including, but not limited to, statements regarding objectives, and strategies to achieve those objectives; the future performance of our Land and Housing Development divisions, including future lot sales, acre sales and housing unit occupancies and timing of margin contribution; our expect development approvals and the timing thereof; future development plans for our Land and Housing Development businesses; the future performance of our Condominium and Mixed-Use Developments division, including future unit sales and occupancies; the extent of our Condominium and Mixed-Use Developments pipeline; future development plans of our Condominium and Mixed-Use projects, including expected residential, commercial and retail densities; the timing of construction, marketing, completion and occupancies of our Condominium and Mixed-Use projects and our Retail and Commercial Development projects; our expectations regarding the redevelopment potential of Toronto office properties; the effect that the changing face of Toronto’s waterfront will have on the value of our projects; on anticipated ownership levels of proposed investments, including investments in units of Dream Office REIT and Dream Alternatives; and expected development yield on, the estimated value upon completion, the estimated cost of development and estimated stabilized NOI at completion of our Retail and Commercial Development projects. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond Dream’s control, which could cause actual results to differ materially from those that are disclosed in or implied by such forward-looking information. These assumptions include, but are not limited to: the nature of development lands held and the development potential of such lands, our ability to bring new developments to market, anticipated positive general economic and business conditions, including low unemployment and interest rates, positive net migration, oil and gas commodity prices, our business strategy, including geographic focus, anticipated sales volumes, performance of our underlying business segments and conditions in the Western Canada land and housing markets. Risks and uncertainties include, but are not limited to, general and local economic and business conditions, employment levels, regulatory risks, mortgage rates and regulations, environmental risks, consumer confidence, seasonality, adverse weather conditions, reliance on key clients and personnel and competition. All forward looking information in this press release speaks as of February 27, 2018. Dream does not undertake to update any such forward looking information whether as a result of new information, future events or otherwise, except as required by law. Additional information about these assumptions and risks and uncertainties is disclosed in filings with securities regulators filed on SEDAR (www.sedar.com).