Thursday, August 10, 2017
Vancouver, BC – August 10, 2017: Pure Multi-Family REIT LP (“Pure Multi-Family”) (TSXV: RUF.U, RUF.UN, RUF.DB.U; OTCQX: PMULF) is pleased to announce the release of its financial results for the three and six months ended June 30, 2017.
 
The results, consisting of Pure Multi-Family’s condensed interim consolidated financial statements for the three and six months ended June 30, 2017, and management’s discussion and analysis (“MD&A”) of results of operations and financial condition dated August 10, 2017, are available on SEDAR at www.sedar.com and  www.puremultifamily.com. All metrics are stated at Pure Multi-Family’s interest, which adjusts for any real estate taxes related to IFRIC 21.
 
For the three months ended June 30, 2017, Pure Multi-Family achieved same property revenue growth of 0.9%, while same property net rental income (“NOI”) decreased by 6.0% compared to the same period in the prior year.   For the six months ended June 30, 2017, Pure Multi-Family achieved same property revenue growth of 3.4% and same property NOI growth of 0.5% compared to the same period in the prior year.  For the three and six months ended June 30, 2017, the same property revenue growth was primarily driven by an increase in same property average rent per occupied unit, which was partially offset by a slight decrease in same property average physical occupancy.  Same property NOI, over these same periods, was primarily impacted by the quarter over quarter fluctuations in property tax expense.  Same property NOI for the three months ended June 30, 2017, was additionally impacted by the inclusion of two, not yet fully stabilized, investment properties, Pure View at TPC and Pure Estates at TPC, which were acquired in March, 2016.
 
Funds from Operations (“FFO”) and Adjusted Funds from Operations (“AFFO”) were both negatively impacted during the three and six months ended June 30, 2017, primarily due to the bought deal equity offerings issued during the current quarter, the timing of the deployment of the proceeds used for acquisitions,   the   additional   general   and   administrative   (“G&A”)   expense   incurred   due   to   the internalization of property management and the lowering of the overall leverage of Pure Multi-Family’s balance sheet.
 
Pure Multi-Family incurred G&A expense of $1,240,273 for the three months ended June 30, 2017, and $2,039,887 for the six months ended June 30, 2017.  This represented G&A expense as a percentage of revenues of 5.7% for the three months ended June 30, 2017, and 4.8% for the six months ended June 30, 2017.  Included in the G&A expense was approximately $82,000 for the three months ended June 30, 2017, and $472,000 for the six months ended June 30, 2017, which related to the internalization of the property management function.
 
Q2 2017 Financial Highlights
 
 
 
(1)      Same Property – represents properties owned during the entire current and comparative periods.
(2)      Restated FFO and AFFO amounts for the three and six months ended June 30, 2016, to remove amortization of transaction costs.
 
 
Stephen Evans, CEO of Pure Multi-Family, stated, “We are pleased to announce our second quarter results for 2017.  For the three months ended June 30, 2017, we continued to deliver solid same property rental rate growth, specifically same property average rent per occupied unit which is consistent with our views of longer term revenue growth within our markets.  Our rental rate growth was tempered during Q2 as a result of a slight decrease in occupancy and ongoing unsettled property tax re-assessments, which resulted in a softer quarter versus the same period last year.  We continued to reduce our overall leverage and are moving forward with the internalization of our property management function, and anticipate being fully internalized during the fourth quarter of this year.  We are confident that our strategy of acquiring high-quality newer assets in growth markets will serve our investors very well over the long term, despite a softer operational quarter stemming from short-term issues.”
 
Q2 2017 Conference Call
 
Stephen Evans, CEO, Samantha Adams, VP, and Scott Shillington, CFO, of Pure Multi-Family, will host the conference call at 10:00am (PDT), 1:00pm (EDT), on Friday, August 11, 2017, to review the financial results and corporate developments for the quarter ended June 30, 2017.
 
To participate in this conference call, please dial one of the following numbers approximately 10 minutes prior to the commencement of the call, and ask to join the Pure Multi-Family REIT LP Conference Call.
 
 
Dial in numbers Toll free dial in number
(from Canada and USA):
1-888-390-0546
  International or Local Toronto: 1-416-764-8688
 
Conference Call Replay
 
If you cannot participate on August 11, 2017, a replay of the conference call will be available by dialing one of the following replay numbers. You will be able to dial in and listen to the conference 120 minutes after the meeting end time, and the replay will be available until August 18, 2017.
 
Please enter the Replay ID# 383253, followed by the # key.
 
Replay Dial in number (Toll free from Canada or the USA): 1-888-390-0541
  International or Local Toronto: 1-416-764-8677
 

About Pure Multi-Family REIT LP

 
Pure  Multi-Family  is  a  Canadian  based,  publically  traded  vehicle  which  offers  investors  exclusive exposure to attractive, institutional quality U.S. multi-family real estate assets.
 
Additional   information   about   Pure   Multi-Family   is   available   at   www.puremultifamily.com   and www.sedar.com.
 

For more information please contact:

Andrew Greig,
Director of Investor Relations
 
Pure Multi-Family REIT LP
Suite 910, 925 West Georgia Street
Vancouver, BC  V6C 3L2
Phone:  (604) 681-5959 or (888) 681-5959
E-mail:  agreig@puremultifamily.com

 
 
Non-IFRS Financial Measures
 
This news release contains certain non-IFRS financial measures, including Pure Multi’s interest, FFO, AFFO, same property NOI, rental revenue-same property, rental revenue-non-same property, net rental income, net rental income-same property, net rental income-non-same property, same property revenue, same property average rent per  occupied  residential  unit,  average  rent  per  occupied  residential  unit,  same  property  average  physical occupancy, total portfolio leased occupancy, FFO payout ratio, AFFO payout ratio and any related per Unit amounts to measure, compare and explain Pure Multi-Family’s operating results and financial performance. These measures are commonly used by entities in the real estate industry as useful metrics for measuring performance. However, they do not have any standardized meaning prescribed by IFRS and are not necessarily comparable to similar measures presented by other publicly traded entities. These measures should be considered as supplemental in nature and not as a substitute for related financial information prepared in accordance with IFRS. Please refer to Pure Multi-Family’s MD&A (available on SEDAR at www.sedar.com) for the three and six months ended June 30,
2017 for a reconciliation of the non-IFRS financial measures used herein to standardized IFRS measures. Forward-Looking Information
Certain statements contained in this news release may constitute forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as “anticipate”, “plan”, “expect”, “may”, “will”, “intend”, “should”, and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Forward looking statements in this news release include: (a) growth in our same property average rent per occupied unit is consistent with our views of longer term revenue growth within our markets; (b) we are moving forward with the internalization of our property management function, and anticipate being fully internalized during the fourth quarter of this year; and (c) we are confident that our strategy of acquiring high-quality newer assets in growth markets will serve our investors very well over the long term.
 
Although  Pure  Multi-Family  believes  that  the  expectations  and  assumptions  on  which  the  forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because Pure Multi-Family can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, competitive factors in the industries in which Pure Multi-Family operates, prevailing economic conditions, the failure to obtain necessary regulatory approvals or satisfy the conditions to closing any proposed acquisitions, and other factors, many of which are beyond the control of Pure Multi-Family.
 
The forward-looking statements contained in this news release represent Pure Multi-Family’s expectations as of the date hereof, and are subject to change after such date. Pure Multi-Family disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.
 
NEITHER  THE  TSX  VENTURE  EXCHANGE  NOR  ITS  REGULATION  SERVICES PROVIDER (as that term is defined in policies of the TSX Venture Exchange) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR THE ACCURACY OF THIS RELEASE.