Chartwell Presents 2028 Strategy

Executive Summary

• Chartwell Retirement Residences will host an Investor Day on November 13, 2025 to unveil its 2028 strategic plan aimed at delivering robust Funds from Operations per unit (FFOPU) growth.
• The 2025 strategy was successfully executed, achieving target employee engagement, resident satisfaction, and same‑property occupancy, while generating cumulative FFOPU growth of 60% and investing $2.7 billion in acquisitions.
• The 2028 strategy sets quantitative objectives for occupancy (>95%), rental/service rate growth (>4% annually), expense control (<4% annual growth), $2 billion of growth investments, $1 billion of non‑core disposals, and a net‑debt to Adjusted EBITDA ratio below 7.5×.

Key Details

• Investor Day: November 13, 2025, 1:00 PM ET at the Chartwell Hub (7070 Derrycrest Drive, Mississauga). Presentations will cover strategy, market fundamentals, resident experience, technology/AI, property management, growth, and capital management. Replay to be posted on the IR website.
• 2025 Strategy Outcomes:
• Employee engagement: 57% highly engaged (target 55%).
• Resident satisfaction: 67% very satisfied (target 67%).
• Same‑property occupancy: 95% (forecast December 2025).
• Occupancy increase over two years: +1,130 bps.
• Adjusted operating margin improvement: +660 bps.
• Cumulative FFOPU growth: +60%.
• Capital deployment: $2.7 billion in acquisitions (including $0.7 billion of committed but not yet closed deals); $0.4 billion sold from non‑core assets.
• Operating Environment Outlook: Canada’s 80+ population projected to grow ~4.2% annually for the next 20 years; new construction starts have fallen sharply, creating a supply deficit that supports occupancy and cash‑flow growth. Over 200,000 new suites needed in the next decade versus ~73,000 built in the past ten years.
• 2028 Financial Objectives (2026‑2028):
• Same‑property occupancy > 95%.
• Annual rental & services rate growth > 4%.
• Annual operating expense growth < 4%.
• Growth investments of $2 billion; non‑core disposals of $1 billion.
• Net debt to Adjusted EBITDA < 7.5×; interest coverage > 3.0×.
• Distributions to unitholders < 60% of FFO.
• Portfolio Optimization: Focus on upgrading core properties, partnering with reputable developers and capital providers to build an acquisition pipeline.

Notable Quotes

“Thanks to the dedication of Chartwell's people, we achieved our 2025 strategic targets… I am proud of what our teams have accomplished and optimistic about the next three years of growth.” – Vlad Volodarski, CEO

Materiality Assessment: Material – Positive (the release outlines significant strategic direction, quantitative performance metrics, and forward‑looking financial objectives that are likely to influence investor decisions).