Star Metro - AIP Realty Trust Announces Year End 2025 Results

2025 Highlights

• From April 19, 2024 to February 12, 2025, the Trust completed a total of four tranches of a non-brokered private placement (the "Financing") and issued 8,890,000 Preferred Units for aggregate gross proceeds of $4,445,000. Between September 19, 2025 and December 31, 2025, a fifth tranche of the Financing was initiated that resulted in the issuance of 9,844,00 Preferred Units for aggregate gross proceeds of $4,922,000. The fifth tranche of the financing continued into the first quarter of 2026. The Trust's continued success with the Financing highlights the strength of the Trust's underlying investment thesis and the opportunities for growth in the multi-tenant light industrial flex market.

• Investment property revenue from the Eagle Court property was down approximately 5% in the year ended December 31, 2025 compared to the same period in 2024. The decline in investment property revenue was mainly due to a decline in parking revenue from a 2024 lease expiration that included a large parking agreement component and normal turnover, partially offset by increased other revenue generated by tenant move-out charges.

• Investment property operating expenses for the year ended December 31, 2025 were down approximately 5% in the year ended December 31, 2025 compared to the same period in 2024. The decline was mainly due to due to lower unit turn expense and property taxes in 2025 compared to 2024, partially offset by higher general maintenance expense in 2025.

Selected Financial Information

1. Certain prior year amounts have been reclassified to conform to the fiscal 2025 presentation.

The foregoing is a summary of selected information for the years ended December 31, 2025 and 2024 and is qualified in its entirety by, and should be read in conjunction with, the Trust's consolidated financial statements and management discussion and analysis for the years ended December 31, 2025 and 2024. These documents are available on SEDAR+ at www.sedarplus.com, and on the Trust's website at www.aiprealtytrust.com.

Related party disclosures

The executive management team of the Trust is the same executive management team as AllTrades. There were no cash payments made by the Trust to its executive management team during the years ended December 31, 2025 or 2024. During the fourth quarter of 2024, the Trust made cash payments of $50,000 to each of its independent trustees, for a total cash outflow of $200,000. No other cash payments to trustees were made during the years ended December 31, 2025 or 2024. At December 31, 2025, the Trust had recorded $6,840,635 (2024 - $5,015,635) of accrued and unpaid compensation for the executive management team and $1,096,699 (2024 - $821,699) of accrued and unpaid compensation for its independent trustees. The executive management compensation was on a non-cash basis for an initial three-year term through April 14, 2025 and will only be issued in units of the Trust, upon approval from the Board of Trustees. At December 31, 2025, accrued and unpaid management compensation consisted of $5,535,635 accrued compensation payable in Trust Units and $1,305,000 accrued compensation payable in cash.

Future Plans and Outlook

As previously disclosed in November 2025, the Board of Trustees continues to explore the execution of its business plan and relationship with AllTrades and anticipates closing the AllTrades Transaction by the end of the third quarter 2026.

Subsequent Events

During the three months ended March 31, 2026, the Trust issued 1,367,946 Preferred Units as part of the fifth tranche of the Financing, at a price of $0.50 per Preferred Unit for aggregate gross proceeds of $683,973. During the three months ended March 31, 2026, the Trust incurred $70,000 of finder's fees to a non-related third party and incurred $3,873 of legal fees in connection with the fifth tranche of the Financing. In total, between September 19, 2025 and March 31, 2026, the Trust paid $322,000 of finder's fees to non-related third parties and incurred $22,574 of legal fees in connection with the fifth tranche of the Financing.

Between January 1, 2026 and March 31, 2026, Realty USA issued convertible notes with an aggregate principal amount of $1,305,000, and between April 1, 2026 and April 17, 2026, Realty USA issued convertible notes for an additional $50,000, for aggregate gross proceeds of $1,355,000. The notes bear interest at a fixed rate of 6% per annum, are unsecured, and mature one year from issuance date. In the event of a reorganization event, as defined within the notes, the principal balance of the notes and any accrued but unpaid interest will automatically convert to shares of Realty USA common stock as part of the consolidation and amalgamation.

About AIP Realty Trust

AIP Realty Trust is an unincorporated, open ended mutual fund trust with a growing portfolio of AllTrades branded SIBS light industrial flex facilities focused on small businesses and the trades and services sectors in the U.S. These properties appeal to a diverse range of small space users, such as contractors, skilled trades, suppliers, repair services, last-mile providers, small businesses and assembly and distribution firms. They typically offer attractive fundamentals including low tenant turnover, stable cash flow and low capex intensity, as well as significant growth opportunities. With an initial focus on the Dallas-Fort Worth market, AIP plans to roll out this innovative property offering nationally. AIP holds the exclusive rights to finance the development of and to purchase all the completed and leased properties built across North America by its development and property management partner, AllTrades Industrial Properties, LLC. For more information, please visit www.aiprealtytrust.com.

For further information from the Trust, contact:

Leslie Wulf
Executive Chairman
(214) 679-5263
[email protected]

Or

Greg Vorwaller
Chief Executive Officer
(778) 918-8262
[email protected]

Cautionary Statement on Forward-Looking Information

This press release contains statements which constitute "forward-looking information" within the meaning of applicable securities laws, including statements regarding the plans, intentions, beliefs and current expectations of AIP Realty Trust with respect to future business activities and operating performance. Forward-looking information is often identified by the words "may", "would", "could", "should", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" or similar expressions and includes information regarding, future acquisitions by the Trust, the ability to obtain regulatory and unitholder approvals and other factors. When or if used in this news release, the words "anticipate", "believe", "estimate", "expect", "target", "plan", "forecast", "may", "schedule" and similar words or expressions identify forward-looking statements or information. These forward-looking statements or information may relate to the commencement of development on certain of the AllTrades facilities proposed financing activity, proposed acquisitions, regulatory or government requirements or approvals, the reliability of third-party information and other factors or information. Such statements represent the Trust's current views with respect to future events and are necessarily based upon a number of assumptions and estimates that, while considered reasonable by the Trust, are inherently subject to significant business, economic, competitive, political and social risks, contingencies and uncertainties. Many factors, both known and unknown, could cause results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward- looking statements. These forward-looking statements are made as of the date hereof and are expressly qualified in their entirety by this cautionary statement. The Trust does not intend, and do not assume any obligation, to update these forward-looking statements or information to reflect changes in assumptions or changes in circumstances or any other events affecting such statements and information other than as required by applicable laws, rules and regulations.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This news release is not an offer of securities for sale in the United States. The securities may not be offered or sold in the United States absent registration or an exemption from registration under U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"). The Trust has not registered and will not register the securities under the U.S. Securities Act. The Trust does not intend to engage in a public offering of their securities in the United States.

SOURCE: AIP Realty Trust

View the original press release on ACCESS Newswire

J.Hall--SMC