Overland announces third quarter results with record revenue and cash flow generation



    HALIFAX, June 23 /CNW/ - (TSXV - OVL) Overland Realty Limited (the
"Company" or "Overland") announced today its financial results for the three
and nine months ended April 30, 2009. The strong results were lead by record
levels of Property Revenue and cash flow generation as the Company's portfolio
continued to experience growth and tight demand. The following highlights
should be read in conjunction with the Company's Financial Statements and
Management Discussion and Analysis for the quarter, which are available on the
Company's website - www.overlandrealty.ca or on SEDAR.

    
    Quarter and Year-To-Date Highlights

    - Property net operating income (NOI) increased to $1,580,490 for the
      quarter, up 6.1% from the comparable quarter in the previous fiscal
      year. On a year-to-date basis NOI is $4.68 million up 2.7%, all on a
      comparable "same store" basis.
    - Adjusted funds from operations (AFFO) totaled $733,640, or $0.028 per
      share (basic) up considerably from $270,346 in the third quarter of
      fiscal 2008, mainly as a result of lower cost mortgage financing.
    - The Company again achieved strong cash flow generation with $758,252
      generated from operating activities in the quarter compared to $210,478
      in the third quarter of 2008. On a year-to-date basis Overland has
      generated $1,915,155 in cash from operating activities, up over 100%
      from the $977,068 generated in the same period last year.
    - Occupancy levels were 96.1% at quarter end, up from 95.6% at the start
      of the quarter, and 95.1% at July 31, 2008. Tenant retention ratio was
      78% in the quarter and 89.5% year-to-date with rental rates increasing
      an average of 4.85% year-to-date.

    Financial Highlights

    -------------------------  ----------------------  ----------------------
    -------------------------  ----------------------  ----------------------
                                       Quarter Ended          9 Months Ended
    In $000's (except                       April 30                April 30
     Per Share Amounts)             2009        2008        2009        2008
    -------------------------  ----------------------  ----------------------
    -------------------------  ----------------------  ----------------------
    Total Revenue              $   2,908   $   2,671   $   8,329   $   8,312
    Property Net Operating
     Income (NOI)                  1,580       1,490       4,680       4,556
    EBITDA                         1,431       1,351       4,070       4,149
    Recurring Funds from
     Operations (FFO)                610         270       1,530         737
    Recurring Adjusted Funds
     from Operations (AFFO)          734         352       1,639         595
    -------------------------  ----------------------  ----------------------

    Per Share Amounts
     ($'s/share)
    Recurring FFO - basic      $   0.024   $   0.014   $   0.059   $   0.038
    Recurring FFO - diluted        0.023       0.014       0.058       0.038
    Recurring AFFO - basic         0.028       0.018       0.063       0.031
    Recurring AFFO - diluted       0.028       0.018       0.062       0.030
    -------------------------  ----------------------  ----------------------
    -------------------------  ----------------------  ----------------------


                                                       ----------------------
                                                       ----------------------
                                                        April 30     July 31
    -------------------------------------------------  ----------------------
    -------------------------------------------------  ----------------------
    OTHER DATA (In $000's)                                  2009        2008
    -------------------------------------------------  ----------------------
    Gross Book Value (GBV) of Assets                   $  70,595   $  68,261
    Cash & Restricted Cash                                 4,422       2,855
    Total Assets                                          66,192      66,414
    Total Liabilities                                     59,484      59,146
    Shareholders Equity                                    6,708       7,267
    -------------------------------------------------  ----------------------
    -------------------------------------------------  ----------------------
    Weighted Average Remaining Lease Term (Years)           5.25        5.93
    Weighted Average Long Term Mortgage Rate                6.06%       6.06%
    Weighted Average Long Term Mortgage Expiry (Years)      5.08        5.73
    -------------------------------------------------  ----------------------
    -------------------------------------------------  ----------------------


    Revenues were up in the quarter and on a year-to-date basis versus similar
periods in 2008 on increased property rent revenue, partially offset by lower
property management revenue. Property Net Operating Income was up for both the
quarter and year-to-date on increased rental revenue. With the inclusion of
interest, depreciation and amortization, Overland incurred a Net Loss of
$190,004 for the quarter ending April 30, 2009 and $869,881 year-to-date,
versus a Net Loss of $1,478,900 in the same period of fiscal 2008. Total
assets declined slightly from $66,413,709 at July 31, 2008 to 66,192,342 at
the current quarter end, reflecting depreciation and amortization of the real
estate assets offset by cash flow generation and other working capital items.
Total assets included $3.92 million in cash and restricted cash (net of
operating lines), up $1.07 million from the start of the fiscal year.
    Overland's stable, long-term tenant roster is predominately leased to
governments or credit quality covenants, with an average lease expiration of
5.25 years. The Company's long term mortgage portfolio is equally as stable,
with only one mortgage of $1.9 million maturing in the next 3.25 years.

    About Overland

    Overland Realty Limited is a TSX-V listed, growth-orientated real estate
corporation based in Halifax, Nova Scotia. The company is focused on
increasing shareholder value through the acquisition, development, and
management of commercial properties in targeted Canadian markets, starting
within Atlantic Canada. Further information on Overland can be found at
www.overlandrealty.ca.

    Non GAAP Measures

    Net Property Operating Income (NOI), Free funds from operations (FFO) and
Adjusted free funds from operations (AFFO) are not measures recognized under
Canadian Generally Accepted Accounting Principles (GAAP). Overland's method of
calculating these supplemental measures is detailed within our Management
Discussion and Analysis and may vary from those standards utilized by similar
issuers.
    The Corporation has issued and outstanding 26,084,940 common shares.

    The TSX Venture Exchange does not accept responsibility for the adequacy
    or accuracy of this release.
    




For further information:

For further information: Scott McCrea, President & CEO, (902) 474-3000,
information@overlandrealty.ca; www.overlandrealty.ca; Source: Overland Realty
Limited

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OVERLAND REALTY LIMITED

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