FIRM CAPITAL PROPERTY TRUST ANNOUNCES $20 MILLION FUNDING FOR TRUST UNITS

/THIS PRESS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISTRIBUTION IN UNITED STATES/

TORONTO, May 16, 2022 /CNW/ – Firm Capital Property Trust (“FCPT“or the”Trust“), (TSX: FCD.UN) is pleased to announce that it has entered into an agreement with a syndicate of underwriters led by Canaccord Genuity and TD Securities, as joint bookrunners, to issue to the public 2 820,000 trust units (the “Trust units“) of the FCPT at the price of $7.10 per trust unit (the “Issue price“) for a gross product of about $20 million (there “OfferThe Trust has also granted the underwriters an over-allotment option to purchase up to 423,000 additional Trust Units at the issue price, exercisable, in whole or in part, at any time and from time to time. until 30 days after the closing date of the Offering, to cover over-allotments (if any).If the over-allotment option is exercised in full, the gross proceeds of the Offering will be approximately $23 million.

The Trust Units will be issued pursuant to a Prospectus Supplement which will be filed with securities authorities in all of the provinces of Canada under the Trust’s base shelf prospectus dated January 10, 2022 and may also be offered by way of private placement in United States pursuant to Rule 144A of the United States Securities Act of 1933, as amended (the “U.S. Securities Law“). The net proceeds of the offering will be used to repay debt and for working capital and general trust purposes.

Since the beginning of 2021, the Trust has achieved $210.6 million in acquisitions (including closing costs and interests in partnerships), including three industrial acquisitions totaling 460,820 square feet, one retail building totaling 11,256 square feet, 395 multi-residential apartments and 423 pre-engineered housing blocks. The Trust’s pro rata share of acquisitions was $147.3 million (including closing costs).

The Trust intends to pay monthly cash distributions to Unitholders of record on the last business day of each month. The monthly cash distribution currently shown is $0.0433 (annualized $0.52) per unit. The Trust has increased its distribution nine times in nine years, representing a cumulative increase of 48.6% since the Trust’s inception in 2012.

The Offer is scheduled to close on or about May 25, 2022and is subject to certain conditions, including, but not limited to, obtaining all necessary approvals, including the approval of the TSX.

No securities regulatory authority has approved or disapproved of the contents of this press release. The securities offered have not been and will not be registered under United States securities law or any state securities law, and may not be offered or sold in United States unless an exemption from registration is available.

ABOUT FIRM CAPITAL PROPERTY TRUST (TSX: FCD.UN)
Firm Capital Property Trust is focused on creating long-term value for Unitholders, through capital preservation and disciplined investing to achieve stable distributable income. In partnership with management and industry leaders, the Trust’s plan is to co-own a diverse real estate portfolio of multi-residential, flexible industrial, net-lease convenience retail and professional spaces of basic service providers. In addition to stand-alone accretive acquisitions, the Trust will make joint acquisitions with strong financial partners and acquisitions of partial stakes from existing ownership groups, so as to provide liquidity to selling owners and professional management to those who remain as owners. as partners. Firm Capital Realty Partners Inc., through a structure focused on alignment of interests with Trust sources, syndicates and property and assets manages investments on behalf of the Trust.

For the complete financial statements, the management report and additional information, please visit www.sedar.com or the Trust’s website at www.firmcapital.com

FORWARD-LOOKING INFORMATION

This press release may contain forward-looking statements. In some cases, forward-looking statements can be identified by the use of words such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “believe”, ” estimate”, “predict”, “potential”, “continue” and through discussions of strategies involving risks and uncertainties. Forward-looking statements are based on certain key expectations and assumptions made by the Trust. By their nature, forward-looking statements involve numerous assumptions, inherent risks and uncertainties, both general and specific, which contribute to the possibility that the predictions, forecasts, projections and various future events will not occur. These risks include, but are not limited to, the risks related to the ability to meet the regulatory, stock market and commercial closing conditions of the Offer, the uncertainty related to access to capital markets and the risks related to the activity of the FCPT, including those identified in the annual report of the FCPT. information form for the year ended December 31, 2021 under the heading “Risks and Uncertainties” (a copy of which can be obtained at www.sedar.com). Although the management of the Trust believes that the expectations reflected in the forward-looking statements are reasonable, there can be no assurance that future results, levels of activity, performance or achievements will occur as anticipated. Neither the Trust nor any other person assumes responsibility for the accuracy or completeness of any forward-looking statements, and no one has any obligation to update or revise any forward-looking statement, whether as a result new information, future events or any other factors that affect such information, except as required by law.

This press release does not constitute an offer to sell or the solicitation of an offer to buy, which may only be made by means of a prospectus, and there will be no sale of the Trust Units in any state, province or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state, province or other jurisdiction. The Trust Units have not been and will not be registered under United States securities law and may not be offered, sold or delivered in United States failure to register or an application for exemption from the registration requirements of United States securities laws.

Neither the TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this release. Additional information about the Trust is available at www.firmcapital.com or www.sedar.com.

SOURCE Firm Capital Property Trust

For further information: Robert McKee, President and CEO, (416) 635-0221; Sandy Poklar, Chief Financial Officer, (416) 635-0221; For investor relations information, please contact: Victoria Moayedi, Director, Investor Relations, (416) 635-0221


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