2
o
o
o
o
o
o
o
44
5
●
●
●
●
●
6
●
●
●
●
7
o
o
o
o
o
o
8
Land Development, 77%
Housing & Condo Development, 12%
Investment & Recreational Properties, 11%
Land Development, 69%
Housing & Condo Development,
12%
Investment &Recreational
Properties, 3%
Asset Management & Advisory, 16%
Land Development, 50%
Housing & Condo Development,
15%
Investment &Recreational
Properties, 6%
Asset Management & Advisory, 30%
9(1) “Net Operating Income” or “NOI” represents revenue less direct operating costs, asset management and management services expenses, and selling and marketing and other operating costs, including
depreciation. “Net Margin” measures operating earnings in each business segment of Dream. Please refer to page 42 for the Non-IFRS Measures in the 2015 Annual Report.(2) Net earnings presented are adjusted to exclude the impact of a non-recurring impairment charges of $7.0 million incurred during the year ended December 31, 2015.
10
0
100
200
300
400
500
600
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Management & Other Fees Investment & Recreational
Housing & Condos Land
CAGR = 7% CAGR = 20%
11
$0
$5
$10
$15
$20
$25
$30
$35
$40
$45
$50
2007 2008 2009 2010 2011 2012 2013 2014 2015*
Asset Management Revenue($ mlns)
Other FeesFinancing FeesAcquisition FeesBase Asset Management Fee
$0
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
$14,000
$16,000
2007 2008 2009 2010 2011 2012 2013 2014 2015
Total Assets Under Management($ mlns)
8-Year CAGR of 26% 8-Year CAGR of 21%
$15,000
*includes impact of the reorganization of the asset management agreement with Dream Office REIT, whereby Dream received 4.85 million REIT units in consideration for the asset management fee stream on April 2, 2015
93%
89%
85%
85
%
88%
90
%
92
%
83
%
56%
7%
11%
15%15%
12%
10%8%
17%
44%
$0
$5
$10
$15
$20
$25
$30
$35
$40
$45
$50
2007 2008 2009 2010 2011 2012 2013 2014 2015
Asset Management Revenue Non-REIT sources increasing as a % of total revenue
REIT Non-REIT
12
Entity Project/Asset JV Partner Partner's Interest Partner Since Size of Partnership
Dream Global/Dream Unlimited
Rivergate -Vienna, Austria Asian sovereign wealth fund 50% 2015 €189 ($285 million)
Dream Unlimited 30+ Properties Canadian Pacific Railway 75% 2015 n/a*
Dream Unlimited Domtar- Ottawa, Gatineau Windmill Development 50% - 65% 2014 $1 billion (total project – est.)
Dream Global/Dream Unlimited
8 German Office AssetsPOBA/Korean Pension Fund**
50% 2014 CAD$320 million (at share)
Dream Alternatives Condo Projects Empire Communities 20% 2014 $100 million (at share)
Dream Office Scotia Plaza & Telus Tower H&R REIT 33% - 50% 2013 $560 million (at share)
Dream Unlimited Canary - Pan Am Games Village Kilmer Van Nostrand Co. 50% 2011 $800 million (total project – est)
Dream Unlimited Condo Projects Streetcar 50% 2007 $550 million (at share)
Dream Unlimited Canadian renewable power projects a Canadian Pension Plan 80% 2006 $1.5 billion (gross value)
Dream Unlimited Distillery District Cityscape 50% 2004 $190 million (gross value + profits)
1 3
14
26
%
33
%
36
%
35
%
44
%
38
%
44
%
39
%
34
% 31% 3
6%
34
%
34
%
-
500
1,000
1,500
2,000
2,500
0
50
100
150
200
250
300
350
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
# o
f Lo
ts
$M
illi
on
s
Total Annual Revenue From Land Development
15
16
Name of Master Planned Community Location Original Acres* Years Active (Estimate)* Acres Left to Develop Lot Equiv. Acres Total Acres
8 Holmwood (incl. Brighton) Saskatoon 3,129 2014-2037 3,059 40 3,100
9 Blairmore (Kensington, Elk Point) Saskatoon 292 2013-2023 157 39 197
10 Harbour Landing West Regina 926 2021-2033 926 0 926
11 Northwest Regina (Coopertown) Regina 1,049 2016-2035 1,046 0 1,046
12 Foxtail Grove Regina 594 2025-2038 594 0 594
13 South East (Eastbrook) Regina 319 2016-2025 319 0 319
14 Glacier Ridge (Panorama) Calgary 479 2020-2030 479 0 479
15 Providence Calgary 1,816 2017-2040 1,816 0 1,816
16 Crossfield North of Calgary 156 2015-2029 127 22 149
17 Leduc South of Edmonton 529 2017-2029 529 0 529
Total (Incl. Acres Under Contract) 1 9,289 9,054 102 9,156
*Years active is an estimate subject to municipal approvals commencing upon land development, which can be very unpredictable.(1) In addition, we have acquired 195 acres of long term lands in Edmonton and 51 acres in other cities.
Name of Master Planned Community LocationOriginal
Acres Years ActiveAcres Left to
DevelopLot Equiv.
Acres Total Acres
1 Stonebridge Saskatoon 757 2005-2013 4 7 11
2 Hampton Village Saskatoon 272 2004-2012 51 0 51
3 Willows Saskatoon 80 2004-2020 23 0 23
4 Harbour Landing Regina 789 2008-2016 64 22 86
5 EvansRidge Calgary 163 2010-2013 0 0 0
6 High River (Montrose) Calgary 213 2006-2024 129 17 147
7 The Meadows (Laurel, Maple Crest, Tamarack) Edmonton 1,400 1997-2020 195 8 204
Total 3,674 466 55 521
New Developments
Existing Communities
More than double the acres we have
developed over the last
20 years.
17
18
o
o
o
o
Brighton
19
20
21
22
23*for further details please refer to page 23 in the MD&A(1) Estimated value upon completion represents the estimated value of a real estate asset upon completion of the development of such asset. The estimated value upon completion is forward-looking information and may differ materially from the estimates used herein. “Development yield” is calculated using the Estimated Stabilized NOI at completion and the total estimated cost of development including land.
(1)
24
Active Retail Projects Under Construction (as at Q4/15)Edmonton
Est. acres to develop
Est. GLA at completion
Committed Leases1
Weighted average
lease term2
Major TenantsEst,
completion date
Est. cost of development
including land
Est. value upon completion
Est. cost psfEst. value psf
upon completion
Tamarack North East 5.6 62,600 28,645 13.9 GoodLife Fitness 2018 $18,600 $25,000 $297 $399
Tamarack North 3.2 24,900 16,059 17.4Petro Canada,
McDonald’s2017 $7,100 $11,600 $285 $466
Tamarack South East 9.1 96,900 88,606 10.8
Michaels, Sport Check, Shoppers Drug
Mart, Tim Hortons, Liquid Depot
2017 $35,000 $41,100 $361 $424
17.9 184,400 133,310 12.7 60,700 $77,600 $329 $421
1 Committed leases represent the GLA under an agreement to lease between a tenant and the Company as at December 31, 20152 The weighted average lease term is from the commencement date of the committed lease and excludes renewal options
NESE
N17 Acres
25
Active Retail Projects Under Construction (as at Q4/15)Saskatoon
Est. acres to develop
Est. GLA at completion
Committed Leases1
Weighted average
lease term2
Major TenantsEst.
completion date
Est. cost of development
including land
Est. value upon completion
Est. cost psfEst. value psf
upon completion
South Kensington 6.5 72,000 55,139 17.7Shoppers Drug Mart,
Save-On Foods2018 $19,000 $29,300 264 407
6.5 72,000 55,139 17.7 2018 $19,000 $29,300 264 407
1 Committed leases represent the GLA under an agreement to lease between a tenant and the Company as at December 31, 20152 The weighted average lease term is from the commencement date of the committed lease and excludes renewal options
26
Project Name Location Net Acres GLA Dream Ownership Est. Construction Start
AC
TIV
E
Tamarack North Edmonton 3 25,000 100% 2014
Tamarack SE Edmonton 9 97,000 100% 2014
Tamarack NE Edmonton 6 62,000 100% 2014
High River West Calgary 4 38,000 100% 2016
Shops of South Kensington Saskatoon 6 72,000 100% 2016
Holmwood NW Wilson JV Saskatoon 23 245,000 50% 2016
Kingston East Toronto 9 160,000 100% 2016
Harbour Landing Regina 10 105,000 100% 2017
PIP
ELI
NE
Meadows Tamarack 17 225,000 100% 2018
Coopertown Regina 20 240,000 100% 2019
Providence West Calgary 10 110,000 100% 2019
Providence Regional Retail Calgary 120 1,300,000 100% 2022
Hampton Village Saskatoon 14 150,000 100% 2017
Holmwood Suburban Centre – Regional Retail Saskatoon 65 710,000 100% 2018
TOTAL 322 3,539,000
27
*artist rendering of proposed development
Development Site
28
29
Phase 1 : Currently under development
Block 4: Condo, occupancy Q2/1 6 Block 1 1 : Condo, occupancy Q2/1 6(Presold 87%*)
Block 4/1 1 /1 5: Retail, occupancy Q1 /1 6 (74% leased)
Block 3: Third-party affordable housing, turnover March 201 6Block 1 5: Third-party Aboriginal residence, turnover March 201 6Block 1 /1 4: George Brown/YMCA, turnover March 201 6
Phase II
Block 1 6/1 2/1 3: contemplated as mixed-use residential orcommercial to be built out upon market demand.(~1 ,000 units and over 20,000 sf of retail)
*as of February 1 1 th, 201 6Note: Dream owns 50% of Pan Am/Canary District
o
o
30
16
16
Closed Projects (1,802 Units)
Projects Under Construction (1,769 Units)
Future Projects (2,724 Units)
Pan Am Games Village
Distillery District
Distillery District
(13 acres)
Pan Am Games Village (17 acres)
11 13
15
18
9
210
5
3
4
7
2529
24
17
26
27
28
12 14
8
22
2321
20
31
Project Ownership Units Retail Area Closing1
1 Distillery Commercial (Distillery) 50% - 332,695 2004
2 Pure Spirit (Distillery) 50% 383 30,313 2010
3 Corktown Phase 1 50% 134 9,717 2011
4 Corktown Phase 2 50% 192 14,554 2012
5 Trinity Lofts 50% 89 5,597 2012
6 Clear Spirit (Distillery) 50% 346 11,564 2013
7 8 Gladstone 50% 89 6,549 2013
8 Sync Lofts 50% 98 8,472 2013
9 King Edward Private Residences 17% 143 - 2013
10 Gooderham (Distillery) 50% 328 19,931 2014
Closed Projects Sub-Total 1,802 439,392
11 The Carlaw 25% 313 - 2015
12 The Carnaby 50% 437 30,062 2016
13 The Taylor 25% 96 - 2016
14 20 Gladstone 50% 113 11,819 2016
15 Canary Block 1/14 (Pan Am Village) (1) 50% 0 4,777 2016
16 Canary Block 15 (Pan Am Village) (1) 50% 0 4,196 2016
17 Canary Block 11 (Pan Am Village) 50% 369 7,188 2016
18 Canary Block 4 (Pan Am Village) 50% 441 16,226 2016
Projects Under Construction Sub-Total 1,769 74,268
19 646 & 663 Kingston Road 50% 108 5,220 2017
20 Riverside Square Phase 1 25% 672 23,735 2018
21 Broadview & Eastern 50% 110 14,936 2018
22 Riverside Square Phase 2 50% 216 48,916 2020
23 Canary Block 16 (Pan Am Village) 50% 159 9,500 2019
24 Canary Block 12 (Pan Am Village) 50% 348 6,603 2021
25-27 Other Future Potential (Distillery) 50% 634 251,459 2022+
28 Canary Block 13 (Pan Am Village) 50% 477 7,438 2025
Zibi (Ottawa/Gatineau) 50% 2,000 366,6912 2018/2030
Future Projects Sub-Total (2) 4,724 734,498
All Projects Total 8,295 1,248,158
(1) Pan Am Village also includes YMCA, 500 George Brown student residences, and 253 affordable rental units(2) All Future project statistics are subject to zoning approvals1Subject to zoning 2Subject to zoning, with an additional 750,000 sf of commercial space
32
Total # of Unit Percent
StatusDREAM’s
Ownership %Closing # of Units Units Sold
Inventory Unsold
Sold
Active Projects
The Taylor (1220 Dundas St E) Construction 25% Q2 2016 96 91 5 95%
20 Gladstone Ave. Construction 50% Q2 2016 113 110 3 97%
The Carlaw (345 Carlaw Avenue) Construction 25% 2015 313 313 0 100%
The Carnaby (11 Peel Avenue – Phase 1) Construction 50% Q2 2016 215 214 1 99%The Carnaby (11 Peel Avenue – Phase 2)Riverside Square Ph I
ConstructionPre-Const.
50%25%
Q2 2016Q3 2018
222672
214518
8154
96%77%
646 Kingston Road Pre-Const. 50% 2017 108 64 44 59%
Subtotal 1,739 1,524 215 87%
Pan Am Games Village – Block 11 Construction 50% Q3 2016 369 346 23 94%
Pan Am Games Village – Block 4 Construction 50% Q3 2016 441 355 86 80%
Pan Am Games Village – Multi-Family, Sold to Non Profit Housing Agencies
Construction 50% Q1 2016 Conversion 753 753 NA 100%
Total Under Development 3,302 2,978 324 90%
Closed Projects
Corktown Phase 1 & 2 (510-569 King Street E) Closed 50% June 2011 / Oct 2012 326 326 0 100%
Trinity (2 Eastern Avenue) Closed 50% Oct 2012 82 82 0 100%
2 Gladstone Closed 50% Feb 2012 55 55 0 100%
Distillery District - Clear Spirit Closed 50% April 2013 346 346 0 100%
Sync (630 Queen Street E) Closed 50% May 2013 98 98 0 100%
King Edward - Private Residences Closed 17% July 2013 143 138 5 97%
8 Gladstone AvenueDistillery District - Gooderham
ClosedClosed
50%50%
Dec 2013Aug 2014
89328
89327
01
100%99%
Subtotal Closed 1,467 1,461 6 99.5%
*Figures presented as at December 31st, 2015
33
Riverside Square, is located at the gateway of the Queen Street Bridge and Don Valley – situated in the thriving East End of Toronto. Riverside Square offers a public square anchoring the development and features a mix of smaller and larger retail spaces fronting Queen Street that will include a grocery store, cafes, restaurants, a 5 dealership autoplex and an assortment of shops and commercial spaces.
34
We are developing an island community that will be in the centre of Ottawa, 1km from Parliament Hill. The community will be virtually self-sufficient and among the world’s most sustainable communities, not to mention some of the best views in the country.
Dream Windmill, the partnership between Dream and Windmill Development acquired 22 acres of land located at the former Domtar lands along the Ottawa River in Gatineau, Quebec for the purpose of developing a mixed-use master planned community to be marked ‘Zibi’. Dream Windmill has an additional 15 acres of directly adjacent lands under contract which it expects to acquire later in 2016, pending certain approvals. The project plan, inclusive of all 37 acres includes over 3.0 million square feet of density with over 2,000 residential units and over 1 million square feet of commercial space.
35
Debt (incl. Prefs) –to-
Total Assets *
36
24% CAGR in
Total Equity to 2015
37
38
39
4,775
20
5,782
520
5,084
128
5,961
331
6,402
64
6,494
77
4,138
38
4,0004,100
3,897
332
6,062
450
5,017
299
5,658
300
5,970
262
6,832
311
5,683
265
5,6005,800
1,101
314
1,638
578
1,608
617
2,025
220
1,658
869
1,577
180
1,000
298
1,080
1,550
569
164
708
334
958
458
1,289
872
1,246
665707
252
513
267
510 520
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
2009
2010
2011
2012
2013
2014
2015
2016
F
2017
F
2009
2010
2011
2012
2013
2014
2015
2016
F
2017
F
2009
2010
2011
2012
2013
2014
2015
2016
F
2017
F
2009
2010
2011
2012
2013
2014
2015
2016
F
2017
F
Calgary Edmonton Saskatoon Regina
Single-Detached Starts Single-Detached Starts Single-Detached Starts Single-Detached Starts
Single-Family Detached Starts
*869 lots sales were due to challenging servicing conditions during 2012, which resulted in sales options agreements entered into in the fourth quarter of 2012 not being exercised until early 2013 (Stonebridge)
Source CMHC
*
2009-2015 CMHC avg.: 5,5202009-2015 Dream avg.: 168
Proxy for market share: 3.0%
2009-2015 CMHC avg.: 5,5882009-2015 Dream avg.: 317
Proxy for market share:5.6%
2009-2015 CMHC avg.: 1,5152009-2015 Dream avg.: 439
Proxy for market share: 29.0%
2009-2015 CMHC avg.: 8562009-2015 Dream avg.: 430
Proxy for market share: 50.2%
Dream Lot Sales
CMHC Housing Starts Forecast
40
Forward Looking Information
This presentation may contain forward-looking information within the meaning of applicable securities legislation including, but not limited to, statements
regarding the timing and details of our current and future housing, condominium and retail developments, including size, capacity, density, cost, development mix
and construction start, completion and closing dates, the status of our development applications, timing of occupancies and turnover of our condominium
projects, our expectations regarding our joint ventures and our anticipated asset mix and composition of income. 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, risks and uncertainties include, but are not
limited to, general and local economic and business conditions; inflation; expanding our land development, home building and asset management segments in
line with management’s goals; executing our plans with respect to our retail and multi-family segments; achieving our current financial goals, including with
respect to pre-tax income; continued growth rate in line our past performance; employment levels; regulatory risks; timing and content of our development
approvals; 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 presentation speaks as of the date of this presentation. 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).
Non-IFRS Measures
Dream’s condensed consolidated financial statements are prepared in accordance with International Financial Reporting Standards (“IFRS”). In this presentation,
as a complement to results provided in accordance with IFRS, Dream discloses and discusses certain non-IFRS financial measures, including: internal rate of return
(IRR), assets under management, fee earning assets under management, debt-to-total assets, net operating income or “NOI”, net margin, gross margin,
development yield, estimated cost of development and estimated stabilized NOI 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 year ended December 31, 2015.
Feel free to contact us should you have any questions
Michael Cooper, CEO(416) [email protected]
Pauline Alimchandani, CFO(416) [email protected]
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