
Equiton Residential Income Fund Trust REIT
HISTORICAL PERFORMANCE
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Objectives
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Features
Risks
Stable income from monthly cash distributions of 6% per annum*, and equity growth of 2 to 6% per annum* for a total of 8 to 12% per annum*
Due to strong fundamentals, the Canadian private apartment REIT investment class has an excellent track record demonstrating stability during good and difficult economic conditions. Equiton is a well managed portfolio of Canadian apartment buildings with a well respected Advisory Board; focused on delivering investors the opportunity to benefit from regular income as well as equity growth of the assets. The Fund invests in large, multi-residential apartments and student housing properties across Canada. Investors in the Fund receive monthly distributions from the rental income and participate in the growth of the underlying properties. Currently, most apartment buildings are owned by individuals or small partnerships. The Fund's primary strategic opportunity is its ability to extract excess value while consolidating properties in the highly-fragmented apartment universe. The Fund drives the realization of excess value by acquiring properties below their intrinsic value and implementing an active management approach to increase rental income, maximize efficiencies and reduce expenses.
- Low equity risk. Loan to value is 49.23% (April 2022)
- Monthly income as well as equity growth
- Tax efficient as distributions are considered 100% return of capital
- This investment is backed by hard assets, well-located apartment buildings that generate income through rent
- The fund targets underperforming and undervalued existing multi-residential apartments in Canada
- Increase property equity through strategic renovations and mortgage reductions
- Actively manage property to increase rental income, reduce expenses and increase efficiencies to maximize asset value
- Distribution FrequencyMonthly
- CurrencyCAD
- Minimum Investment Amount$10000
- Annual Rate of Return Target Minimum* (Income + Equity Growth Combined)8%
- Annual Rate of Return Target* (Income Only)6%
- Annual Rate of Return Target* (Equity Growth Only)2%
- Hurdle rate for investors before management participates in profitsN/A%
- Split ratio paid to investors of additional profits (investors : Management)N/A
- Additional Profit PotentialNoYes
- Additional Profit Potential From Tax Efficient DistributionsNoYes
- Eligible for Registered Accounts (RRSP, LIRA, RIFF etc)NoYes
- Early Redemption OptionsYes. Refer to offering documents
- Accredited Investors OnlyNoYes
- Commission % paid to Dealer (*Paid by the Issuer, Not the investor)3.00%
- Trailer % paid to Dealer (*Paid by the Issuer, Not the investor)0.75%
- (AUM) Assets Under Management of Issuer$1.3 B
- Year issuer was founded2016
- Date investment originatedAugust 1, 2016
- Date of offering documentsMarch 25, 2025
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