MARWEST APARTMENT REAL ESTATE INVESTMENT TRUST ANNOUNCES 2025 ANNUAL RESULTS

MARWEST APARTMENT REAL ESTATE INVESTMENT TRUST ANNOUNCES 2025 ANNUAL RESULTS Canada NewsWire WINNIPEG, MB, March 24, 2026 /NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/ WINNIPEG, MB, March 24, 2026 /CNW/ - Marwest Apartment Real Estate Investment Trust (the "REIT") (TSXV: MAR.UN) reported financial results for the year ended December 31, 2025.  This press release should be read in conjunction with the REIT's Consolidated Financial Statements and Management's Discussion and Analysis ("2025 Annual MD&A") for the year ended December 31, 2025, which are available on the REIT's website at www.marwestreit.com and at www.sedarplus.ca1. Mr. William Martens, Chief Executive Officer and Trustee commented, "The REIT had a modest increase in revenue over the prior year of 2.29%.  With the portfolio located in Manitoba, we anticipate modest rental growth in 2026, unlike other major cities in Canada which are experiencing decreases in rental rates to start off 2026."   2025 Annual Highlights Increased distributions by approximately 9.62 percent to Unitholders on record at June 30, 2025 Reported Net Asset Value per Unit ("NAV") of $2.46 at December 31, 2025 compared to $2.37 at December 31, 2024 Revenue from investment properties increased by 2.29% in 2025 compared to 2024 Average Occupancy rate of 99.30% and  97.64% reported for the three months and year ended December 31, 2025 Operations Summary Year ended December 31, 2025 Year ended December 31, 2024 Portfolio Operational Information Number of properties 4 4 Number of suites 516 516 Average Occupancy Rate 97.64 % 99.29 % Average rental rate $1,741 $1,677 Same property Net Operating Income $              6,394,714 $              6,875,434   Three months ended Year ended December 31 December 31 Reconciliation of Same Property NOI2 to IFRS 2025 2024 2025 2024 Revenue from investment properties $ 2,711,170 $   2,631,643 $10,583,537 $ 10,346,107 Expenses: Property operating expenses 751,462 681,190 2,827,697 2,533,484 Realty taxes 340,281 233,688 1,361,126 937,189 Total property operating expenses 1,091,743 914,878 4,188,823 3,470,673 Same Property NOI2 $ 1,619,427 $   1,716,765 $  6,394,714 $   6,875,434   Reconciliation of Debt-to-Gross Book Value ratio Total interest-bearing debt $100,358,349 Total assets on balance sheet 150,588,107 Debt-to-Gross Book Value ratio 66.64 % Reconciliation of Debt Service Coverage ratio Net Operating Income for the year ended December 31, 2025 $6,394,714 Mortgage payments for the year ended December 31, 2025 4,976,521 Debt Service Coverage ratio 1.28 Weighted average term to maturity on fixed rate debt 51.60 months Weighted average interest rate on fixed debt 3.09 % Financial Summary The REIT generated FFO and AFFO per Unit of $0.0970 and $0.0857, respectively, during the year ended December 31, 2025.  Reconciliation of Net Income and Comprehensive Income  to FFO and AFFO Three months ended Year ended December 31 December 31 2025 2024 2025 2024 Revenue from investment properties $ 2,711,170 $ 2,631,643 $  10,583,537 $   10,346,107 Property operating expenses (751,462) (681,190) (2,827,697) (2,533,484) Realty taxes (340,281) (233,688) (1,361,126) (937,189) Net Operating Income  1,619,427 1,716,765 6,394,714 6,875,434 NOI Margin  59.73 % 65.24 % 60.42 % 66.45 % General and administrative (198,728) (221,420) (872,853) (842,226) Interest income 27,448 43,238 123,780 171,165 Finance costs (977,256) (989,164) (3,920,513) (3,982,916) Fair value gain (loss) on: Investment properties 252,255 2,884,863 310,619 7,226,479 Unit-based compensation 5,433 22,239 (13,728) 42,871 Exchangeable Units (98,935) 1,357,667 (1,154,295) 2,664,585 Net income and  comprehensive income  $    629,644 $ 4,814,188 $      867,724 $   12,155,392   Three months ended Year ended December 31 December 31 Reconciliation of FFO  2025 2024 2025 2024 Net income and comprehensive income  629,644 4,814,188 867,724 12,155,392 Distributions on Exchangeable Units 40,730 40,730 166,037 164,929 Fair value gain on investment properties (252,255) (2,884,863) (310,619) (7,226,479) Fair value (gain) loss on unit-based compensation (5,433) (22,239) 13,728 (42,871) Fair value loss (gain) on Exchangeable Units 98,935 (1,357,667) 1,154,295 (2,664,585) FFO 511,621 590,149 1,891,165 2,386,386 Weighted average number of Units 19,498,838 19,498,838 19,498,838 19,498,838 FFO/unit $       0.0262 $    0.0303 $     0.0970 $     0.1224 Reconciliation of AFFO  FFO $     511,621 $  590,149 $ 1,891,165 $ 2,386,386 Capital expenditures (27,745) (12,013) (219,381) (377,718) Leasing costs - (3,124) - (15,803) AFFO 483,876 575,012 1,671,784 1,992,865 Weighted average number of Units 19,498,838 19,498,838 19,498,838 19,498,838 AFFO/unit $       0.0248 $    0.0295 $     0.0857 $     0.1022 AFFO payout ratio 17.25 % 13.23 % 19.22 % 15.14 %   NAV and NAV per Unit Reconciliation At December 31, 2025 At December 31, 2024 Unitholders' Equity $41,039,253 $39,901,132 Exchangeable Units 7,519,133 6,788,338 NAV 48,558,386 46,689,470 Trust Units 9,605,242 9,055,242 Exchangeable Units  9,893,596 10,443,596 Deferred Units 214,040 169,608 Total Units oustanding 19,712,878 19,668,446 NAV per unit $2.46 $2.37 The overall increase in NAV from $2.37 at December 31, 2024 to $2.46 at December 31, 2025, was mostly due to market conditions throughout all properties and net operating income less finance costs and general and administrative expenses exceeding distributions. Outlook Management is focused on growing the portfolio and unitholder value through increasing rental rates where the market allows, future acquisition opportunities that will increase the overall size and performance of the REIT, as well as maintaining a manageable debt structure.   The current debt of the REIT is all fixed rates with an average remaining mortgage term of over four years.  The majority of the REIT's debt is CMHC insured.  It is anticipated that vacancy in Winnipeg will increase to 3.9 percent in 2026 with an anticipated increase in 2-bedroom rental rates of 4.42 percent.  Rental units under rent control are allowed a 1.8 percent increase in 2026, as of this date, no units are under legislated rent control.  The Manitoba Government has proposed amendments to the Residential Tenancies Act, which will impact the Kenwood property in 2026 if passed.  Under the amendments, units renting over $2,000 per month (currently $1,670) will be exempt from rent control.  The Kenwood property would have no such units.  All other properties in the portfolio remain exempt from provincial rent control due to the age of the properties being under 20 years. About Marwest Apartment Real Estate Investment Trust The REIT is an unincorporated open-ended trust governed by the laws of the Province of Manitoba. The REIT was formed to provide holders of Units with the opportunity to invest in the Canadian multi-family rental sector through the ownership of high-quality income-producing properties, with an initial focus on stable markets throughout Western Canada. Forward-looking Statements The information in this news release includes certain information and statements about management's views of future events, expectations, plans and prospects that constitute forward‐looking statements. These statements are based upon assumptions that are subject to significant risks and uncertainties.  Because of these risks and uncertainties and as a result of a variety of factors, the actual results, expectations, achievements or performance may differ materially from those anticipated and indicated by these forward‐looking statements. A number of factors could cause actual results to differ materially from these forward‐looking statements, including the risks described under the heading "Risk Factors" in the REIT's latest annual information form and management's discussion and analysis.  The payment of cash distributions will be dependent upon a number of factors, including but not limited to the financial performance, financial condition and financial requirements of the REIT.  Although management of the REIT believes that the expectations reflected in forward‐looking statements are reasonable, it can give no assurances that the expectations of any forward‐looking statements will prove to be correct. Except as required by law, the REIT disclaims any intention and assumes no obligation to update or revise any forward‐looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward‐looking statements or otherwise. Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release. The Units are not registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") and may not be offered or sold within the United States or to or for the account or benefit of U.S. persons, except in certain transactions exempt from the registration requirements of the U.S. Securities Act. This press release does not constitute an offer to sell, or the solicitation of an offer to buy, securities of the REIT in the United States or in any other jurisdiction. Notice with respect to Non-IFRS Measures Disclosure The REIT's financial statements are prepared in accordance with IFRS.  In addition to IFRS measures, this news release and the REIT's Annual 2025 MD&A disclose certain non-IFRS financial measures that are commonly used by Canadian real estate investment trusts as an indicator of performance.  Non-IFRS measures and ratios include the following: Net Operating Income ("NOI") The Trust calculates net operating income as revenue less property operating expenses such as utilities, repairs and maintenance and realty taxes.  Charges for interest or other expenses not specific to the day‑to‑day operations of the Trust's properties are not included.  The Trust regards NOI as an important measure of the income generated by income-producing properties and is used by management in evaluating the performance of the Trust's properties.  NOI is also a key input in determining the value of the Trust's properties. For reconciliation to IFRS measures, refer to "Financial Operations and Results" in the REIT's Annual 2025 MD&A Funds from Operations ("FFO") The Trust calculates FFO substantially in accordance with the guidelines set out in the white paper titled "White Paper on Funds from Operations & Adjusted Funds from Operations for IFRS" by the Real Property Association of Canada ("REALpac") as revised in January 2022.  FFO is defined as IFRS consolidated net income adjusted for items such as unrealized changes in the fair value of the investment properties, effects of puttable instruments classified as financial liabilities and changes in fair value of financial instruments and derivatives.  FFO should not be construed as an alternative to net income or cash flows provided by or used in operating activities determined in accordance with IFRS.  The Trust regards FFO as a key measure of operating performance. For reconciliation to IFRS measures, refer to "Financial Operations and Results" in the REIT's Annual 2025 MD&A Adjusted Funds from Operations ("AFFO") The Trust calculates AFFO substantially in accordance with the guidelines set out in the white paper titled "White Paper on Funds from Operations & Adjusted Funds from Operations for IFRS" by REALpac as revised in January 2022.  AFFO is defined as FFO adjusted for items such as maintenance capital expenditures and straight‑line rental revenue differences.  AFFO should not be construed as an alternative to net income or cash flows provided by or used in operating activities determined in accordance with IFRS.  The Trust regards AFFO as a key measure of operating performance.  The Trust also uses AFFO in assessing its capacity to make distributions. For reconciliation to IFRS measures, refer to "Financial Operations and Results" in the REIT's Annual 2025 MD&A The following other non‑IFRS measures (including non-IFRS ratios) are defined as follows: "FFO per unit" is calculated as FFO divided by the weighted average number of Trust Units and Exchangeable Units of the Partnership outstanding over the period. "AFFO per unit" is calculated as AFFO divided by the weighted average number of Trust Units and Exchangeable Units of the Partnership outstanding over the period. "AFFO Payout Ratio" is the proportion of the total distributions on Trust Units and Exchangeable Units of the Partnership to AFFO per Unit. "Net Asset Value" is calculated as the sum of unitholders' equity and Exchangeable Units "Net Asset Value per Unit" or "NAV per Unit" is calculated as the sum of unitholders' equity and Exchangeable Units divided by the sum of Trust Units, Exchangeable Units and Deferred Units outstanding at the end of the period. "Debt‑to‑Gross Book Value ratio" is calculated by dividing total interest‑bearing debt consisting of mortgages by total assets and is used as the REIT's primary measure of its leverage. "Debt Service Coverage ratio" is the ratio of NOI to total debt service consisting of interest expenses recorded as finance costs and principal payments on mortgages. "Stabilized net operating income" is the estimated 12-month net operating income that a property could generate at full occupancy, less a vacancy rate and stable operating expenses.  "Average occupancy rate" is defined as the ratio of occupied suites to the total suites in the portfolio for the period. "Same Property NOI" is defined as Net Operating Income from properties owned by the REIT throughout comparative periods, which removes the impact of situations that result in the comparative period to be less meaningful, such as acquisitions, or properties going through a lease-up period. Management believes that these measures are helpful to investors because, while not necessarily calculated comparably among issuers, they are widely recognized measures of the REIT's performance and tend to provide a relevant basis for comparison among real estate entities.  These non-IFRS financial measures are not defined under IFRS and are not intended to represent financial performance, financial position or cash flows for the period and should not be viewed as an alternative to net income, cash flow from operations or other measures of financial performance calculated in accordance with IFRS. The above non-IFRS measures are not standardized under the financial reporting framework used to prepare the financial statements of the REIT.  Readers should be further cautioned that the above measures as calculated by the REIT may not be comparable to similar measures presented by other issuers.  For further information, refer to the sections entitled "Non-IFRS measures" and "Financial Operations and Results" in the REIT's Annual 2025 MD&A, which is incorporated by reference herein, for further information (available on SEDAR+ at www.sedarplus.ca or the REIT's website www.marwestreit.com). 1 This news release contains certain non-IFRS and other financial measures.  Refer to "Notice with respect to Non-IFRS Measures" in this news release for a complete list of measures and their meaning. 2 Same Property Portfolio consists of all the multi-residential properties owned by the REIT for comparable periods in Q4 2025 and Q4 2024 – See "Notice with respect to Non-IFRS Measures" below. SOURCE Marwest Apartment Real Estate Investment Trust View original content to download multimedia: http://www.newswire.ca/en/releases/archive/March2026/24/c9407.html Contact: For further information, please contact Mr. William Martens, Chief Executive Officer, Telephone: (204) 947-1200.