Primaris Real Estate Investment Trust : REIT's Report to Unitholders 2023

Enclosed Malls.

Open Opportunity.

Report to Unitholders

2023 Q1 Quarterly Report

INSIDE THIS REPORT

1. PRIMARIS ADVANTAGE
2. STRATEGIC PILLARS
3. OUR PORTFOLIO

1. MANAGEMENT'S DISCUSSION & ANALYSIS

1. FINANCIAL STATEMENTS

1. UNITHOLDERS INFORMATION

ABOUT PRIMARIS REIT

Primaris REIT is Canada's only enclosed shopping centre focused REIT, with ownership interests primarily in dominant enclosed shopping centres in growing markets. The portfolio totals 10.9 million square feet valued at approximately $3.1 billion at Primaris' share. Economies of scale are achieved through its fully internal, vertically integrated, full- service national management platform. Primaris REIT is very well-capitalized and is exceptionally well positioned to take advantage of market opportunities at an extraordinary moment in the evolution of the Canadian retail landscape.

ABOUT FORWARD LOOKING STATEMENTS DISCLAIMER: This document includes statements that are forward-looking because they are based on management's expectations about the future - they are not historical facts. Forward-looking statements include statements regarding Primaris REIT's future plans, including development projects, expectations regarding tenant retention and rental revenues, market growth, expected operating capital expenditures and other statements. Forward-looking statements generally can be identified by words such as "outlook", "objective", "may", "will", "expect", "intend", "estimate", "anticipate", "believe", "should", "plans", "project", "budget" or "continue" or similar expressions suggesting future outcomes or events. Such forward-looking statements reflect Primaris REIT's current beliefs and are based on information currently available to management. For more information and a caution about using forward-looking information, see Section 2, "Forward-Looking Statements and Future-Oriented Financial Information" in the Management's Discussion and Analysis for the period ending March 31, 2023.

NON-GAAP FINANCIAL MEASURES: Certain financial measures in this document, including, but not limited to, FFO, NAV, NOI, and Adjusted EBITDA are not defined terms under GAAP, therefore are not a reliable way to compare Primaris REIT to other entities. Non-GAAP measures in this document are denoted by the suffix "**". Refer to Section 1, "Basis of Presentation" - "Use of Non-GAAP Measures" and Section 12, "Non-GAAP Measures" in the Management's Discussion and Analysis for the period ending March 31, 2023.

Primaris stands uniquely in the property landscape with institutional scale, as the 3rd largest owner operator of enclosed shopping centres in Canada,

a differentiated financial model and a mandate for growth.

BBB(high) $2.7B	33.5%
Stable Investment Unencumbered Assets	Debt to Total Assets**
Grade Rating

"The scale and strength of the Primaris platform combined with its unique financial model provides significant flexibility and capacity to self-fund our strategy, and positions us well to pursue investment opportunities."

-Alex Avery, Chief Executive Officer

2

Primaris

Advantage

Primaris REIT is exceptionally well positioned to take advantage of market opportunities at an extraordinary moment in the evolution of the Canadian retail property landscape.

Size and Scale

• $3.1 billion national portfolio of enclosed shopping centres that are dominant in their trade areas.
• Economies of scale are achieved through its full-service, internal national management platform, which comprises over 400 dedicated team members.

Proper Capitalization

• Very low leverage reduces the REIT's reliance on external capital sources and allows the REIT to grow with an optimal cost of capital.
• Leverage is one of the lowest amongst our Canadian peers, reflecting a differentiated financial profile.
• Issuer rating BBB (high) with a stable trend, amongst the highest DBRS ratings currently awarded within the Canadian public REIT universe.

"Over the past decade, Primaris has built an in-house platform to oversee all operational requirements. Our people are the core strength of Primaris. We are experienced and excel at acquiring, integrating and operating enclosed shopping centres."

-Patrick Sullivan, President & Chief Operating Officer

3

Strategic

Pillars

Our size, scale, portfolio composition, and capital structure were designed to allow Primaris REIT to grow and thrive in the new retail landscape.

Primaris' strategy focuses on three key strategic pillars:

Focus on Retailer Affordability

Offering attractive and economic store locations. Primaris has a long-standing and disciplined approach to cost management, supported by economies of scale and a collaborative approach to its relationships with its tenant partners.

Scale and Consolidation Opportunity

There is significant opportunity for Primaris to be the consolidator in the enclosed shopping centre space, in a market with limited institutional competition for assets. Primaris is uniquely positioned as Canada's only REIT focused on owning and managing enclosed shopping centres, with an established, large, fully internal and scalable management platform, and balance sheet capacity for growth.

Disciplined Capital Allocation

Beginning with a properly capitalized balance sheet and a low payout ratio, Primaris judiciously allocates capital across internal investment alternatives including repurchasing units, increasing distributions, paying down debt and rezoning and entitling excess land for joint venture partnership or monetization.

"Our capital structure is designed to provide significant financial flexibility and create a differentiated investment profile among Canadian REITs."

-Rags Davloor, Chief Financial Officer

43