GO Residential Real Estate Investment Trust Announces C$325 Million Inaugural Unsecured Debenture Offering

Executive Summary

• GO Residential Real Estate Investment Trust’s operating subsidiary, GO Residential Operating LLC, announced a C$325 million senior unsecured debenture private placement (maturing Feb 13 2029) priced at par.
• The offering is led by CIBC Capital Markets with co‑lead managers RBC, BMO and Desjardins; proceeds (~US$240 million after cross‑currency swap) will be used to repay existing credit facility debt and for general corporate purposes, including possible acquisitions.
• The debentures bear a fixed 4.534% annual interest rate (semi‑annual payments) and are fully hedged via a forward cross‑currency interest‑rate swap resulting in an effective US‑dollar interest rate of 5.552%.

Key Details

• Issuer: GO Residential Operating LLC (OpCo), subsidiary of GO Residential Real Estate Investment Trust (TSX: GO.U).
• Offering Size: C$325 million principal amount of senior unsecured debentures.
• Maturity: February 13 2029.
• Interest Rate: Fixed 4.534% per annum, payable semi‑annually on Feb 13 and Aug 13 each year, starting Aug 13 2026.
• Pricing: Sold at par (C$1.00 per debenture).
• Lead Underwriters: CIBC Capital Markets (Lead Bookrunner); RBC Capital Markets (Co‑Lead Manager), BMO Capital Markets, Desjardins Securities.
• Cross‑Currency Swap: Forward interest‑rate swap fully hedges both interest and principal; results in gross proceeds of approximately US$240 million with a swapped fixed rate of 5.552% per annum.
• Rating Requirement: Minimum BBB (low) rating with Stable trend from Morningstar DBRS at closing.
• Use of Proceeds:
• Repayment of existing indebtedness under OpCo’s credit facility.
• General corporate purposes, including potential acquisitions or other investments.
• Closing Date: Expected on or about February 13 2026.
• Legal Restrictions: Debentures not registered in the U.S.; cannot be offered/sold to U.S. persons except under exemption.

Notable Quotes

“Today marks a pivotal moment for the REIT as we celebrate the pricing of OpCo's inaugural unsecured debenture offering… The proceeds from today's offering strengthen our ability to execute on our growth initiatives and deliver significant value to unitholders.” – Joshua Gotlib, CEO & CIO

“The success of the offering… is a powerful validation by the market of the quality of our assets, the resiliency of our business model and the expertise of our management team.” – Meyer Orbach, Chairman

All forward‑looking statements are subject to risks and uncertainties detailed in the release.