Dream Office Real Estate Investment Trust

Welcome to the Dream Industrial REIT first quarter conference call for Wednesday, May 6, 2026. Please be advised that all participants are currently in a listen-only mode and the conference is being recorded. After the presentation, there will be an opportunity to ask questions. To join the queue, you may press star then the number one on your telephone keypad. Since you need assistance during the conference call, you may signal an operator by pressing star then zero. During this call, management of Dream Industrial REIT may make statements containing forward-looking information within the meaning of applicable securities legislation. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond Dream Industrial REIT's control that could cause actual results to differ materially from those that are disclosed in or implied by such forward-looking information. Additional information about these assumptions, risks, and uncertainties is contained in Dream Industrial REITs filings with securities regulators, including its latest annual information form and MDA. These filings are also available on Dream Industrial REIT's website at www.dreamindustrialreit.ca. Your host for today will be Mr. Alexander Sanikov, CEO of Dream Industrial REIT. Mr. Sanikov, please proceed.

Thank you. Good morning, everyone. Thank you for joining us today for Dream Industrial REIT's first quarter 2026 conference call. Here with me today is Gord Wadley. our Chief Operating Officer, and Lennis Kwon, our Chief Financial Officer. We started off 2026 with strong momentum, and we saw that reflected in our solid operating and financial results. While geopolitical uncertainty and trade tensions persist, the industrial sector continues to demonstrate broad resilience, and the execution on our core pillars is translating into tangible results across the business. The occupier markets in Canada are strengthening, and we're seeing continued absorption not only for small and mid-bay units, which we have observed for some time, but also more recently in large-bay format. We're also encouraged by the activity in the European portfolio and are seeing robust occupier dynamics for infill mid-bay assets and multi-tenant light industrial properties. These occupier dynamics inform our operating results, as well as our capital allocation decisions. For the quarter, we delivered 9% year-over-year comparative properties NOI growth, driven by healthy leasing activity, leasing spreads, strong occupancy, and tenant retention. This strong pace of organic growth drove FFO to $0.26 per unit, in line with our expectations and outlook we communicated last quarter. Most notably, our FFO per unit continued to grow year over year, even though we completed the disposition of the first tranche of assets to the DCIJV and used the proceeds to temporarily pay down debt. This gives us the opportunity to redeploy the capital towards our strategic growth initiatives. We are on track with the capital allocation plan we outlined at the beginning of the year. So far this year, we have returned nearly $100 million of capital to unit holders, through NCIV activity. This activity is consistent with the targets we communicated when we announced the formation of the DCI-JV. We also have a robust pipeline of acquisitions for DIR's own balance sheet program with over 500 million of opportunities in Canada and in Europe in exclusive negotiations and in various stages of due diligence. Over 85% of this pipeline is comprised of income producing assets with a going-in cap rate of just over 6% and a market-to-market cap rate of over 7%. We're also evaluating adding compelling development opportunities in our target markets for small and mid-bay industrial assets at yield-on costs of just under 8%. Our existing development program is progressing well. This quarter, we achieved substantial completion, over 125,000 square foot built-to-suit expansion in the Netherlands, that is already contributing over $1.7 million of NOI on annualized round rate basis. Our strategic private venture segment continues to provide us with a competitive edge, supporting the growth of our operating platform and revenue growth. So far this year, we closed on approximately $130 million of acquisitions within our private JVs, including DCI JVs first acquisition beyond the initial portfolio. We'll have another $250 million of acquisitions in exclusive negotiations for the account of our private ventures. Lastly, our power procurement program is also advancing. Our solo portfolio is expanding with multiple projects under construction, including a pilot project that includes a battery storage solution. A near-to-medium-term pipeline stands at over $140 million, with a target build-on cost of over 8%. On the data-setting initiative, we are in advanced stages of securing commitments on over 260 megawatts of power in the GTA with phased delivery over the next two to five years. Concurrently, we're exploring opportunities to realize this progress on power procurement through joint ventures, development, or dispositions. Put together, we are encouraged by the progress we are making across the key drivers of the business. With that, I will now turn it over to Gort to discuss our operational highlights.

Thank you, Alex. Stepping back, we continue to see the Canadian industrial market hold up well from a macro perspective. While uncertainty has extended decision-making timelines in pockets of the market, Dream Industrial continues to perform well as demand for well-located, functional urban logistics spaces remains resilient and the new supply pipeline continues to moderate. On occupancy, we saw meaningful improvement in Canada. Committed occupancy was 96.8%, up from 94.4% a year ago, driven by small bay lease-up and recent development completions. Overall, committed occupancy across the total portfolio was 95.7%. Against that backdrop, we are encouraged by the operating results. We signed 1.8 million square feet of new leases and renewals, delivering a weighted average rental spread of 26.4% over expiring rents. The regional mix was approximately 1.4 million square feet in Canada at 33.1% average spreads and about 400,000 square feet in Europe. In Toronto and the broader GTA, demand continues to be the most pronounced for well-located functional space, particularly in small and mid-bay areas. As Alex mentioned, over the past couple of quarters, we've seen meaningful absorption of larger units. Based on the pipeline we see, we expect this trend to continue in 2026. The improvement in absorption and the pace of leasing activity is resulting in stable to improving net effective rents and a shrinking gap between achieved rents and asking rents. In our portfolio, we saw healthy retention and strong mark-to-market on near-term rollover. and leasing economics remained disciplined with stable incentives. Ontario comparative properties NOI grew 6.8% year over year. Fundamentals in Western Canada are robust with low vacancies, solid demand, and demographic trends. We're observing continued rental growth. With our BALS Act 20 development coming online and the lease up of several vacancies in Calgary, we transacted approximately half a million square feet across our platform during the quarter and saw 100 basis points lift in occupancy. Western Canada comparative properties NOI grew 8.5% year-over-year. In Montreal, the market ultimately fared better than most expectations. While asking rents have moved down across the market, our achieved rents have remained higher, reflecting the quality and location of our portfolio and strong demand for well-functioning space. With the lease-up of small bay vacancies, our Quebec occupancy improved, and Quebec comparative properties NOI increased 31.1% year over year. Looking ahead, our leasing pipeline in Canada remains healthy. We have over a dozen new deals and advanced negotiations totaling over 700,000 square feet. Decision-making timelines are longer than average, but our customers and prospective occupiers are showing resiliency and remain committed to their space requirements despite geopolitical uncertainty Many of them are expanding organically and renewing to longer-term commitments in advance of the expiry. Further evidence of this is that we had 1.9 million square feet of remaining uncommitted expiries in 2026 as of Q1. We've already secured approximately half a million square feet at an average spread of 38.2%, and we are at advanced renewal discussions on the balance. We expect that the retention ratio for the year will be consistent with our long-term average. In addition, we expect leasing spreads on our remaining 2026 rollovers in Canada to be in line with our Q1 results. Over in Europe, the industrial sector remains supported by durable structural demand drivers. As inflation is likely to ramp up, our portfolio remains relatively insulated as the majority of our leases are in tax to CPI. At the portfolio level, European occupancy was modestly impacted this quarter due to the acquisition of a vacant value-add asset in the Netherlands, which had approximately 80 basis point impact. We acquired this asset for its prime location and strong physical attributes and see meaningful value creation potential through planned upgrades, with lease-ups expected by the end of the year and a stabilized cap rate of approximately 8%. Committed occupancy in Europe was 95% this quarter, and overall performance remained consistent with our expectations, with 4.9% comparative properties NOI growth. Over the next few quarters, we expect to see some transitory vacancies in Spain. However, given the underlying strength of the market, we are confident in releasing prospects. Overall, our occupancy and NOI outlook for the business remain intact. Thank you, and I will now turn it over to Lennis to discuss our financial highlights.