Morguard Announces Strategic Relationship with TD Asset Management on Multi-Suite Residential Real Estate Portfolio

Morguard to acquire a $1.0 billion interest in a $5.0 billion residential portfolio and assume property and asset management responsibilities

MISSISSAUGA, ON, Feb. 25, 2026 /CNW/ - Morguard Corporation ("Morguard") (TSX: MRC) and Morguard North American Residential REIT ("Morguard Residential REIT") (TSX: MRG.UN), today announced that Morguard and Morguard Residential REIT have jointly agreed to invest $1.0 billion in a Canadian multi-suite residential real estate portfolio currently owned by TD Asset Management Inc. ("TDAM"). This represents an approximate 20 percent undivided interest in a portfolio of 106 properties valued at approximately $5.0 billion.

The strategic relationship with TDAM includes the transition of property management responsibilities for the portfolio to Morguard, establishing a significant institutional management mandate. The partnership combines a meaningful ownership interest with joint asset management responsibility across the portfolio.

The geographically diversified portfolio comprises more than 15,500 suites across properties located in major urban and suburban markets across Canada, consisting of 36% in the Greater Toronto-Hamilton Area, 19% in Southwest Ontario, 13% in Ottawa and additional scale in Alberta (12%), Quebec (12%) and Nova Scotia (8%). The assets are located in well-established rental markets supported by population growth and long-term housing demand. The portfolio also includes a select number of newly delivered and in-progress rental developments, which provide embedded growth and support ongoing asset modernization.

"This transaction represents significant growth in Morguard's residential services, enabled by our depth of experience and success as an asset and property manager for institutional-quality multi-suite residential communities," said Angela Sahi, President and Chief Executive Officer at Morguard. "We are advancing our owner-operator model, demonstrating our alignment with partners and strength in execution, and building upon our existing relationship with TDAM."

"The multi-unit residential sector is a strategic allocation within our diversified open-ended real estate fund, and this transaction positions the portfolio well to redeploy capital into exciting value-add and development projects", said Andrew Croll, Managing Director, Head of Global Real Estate Investments. "Morguard brings operational expertise and a long track record in this asset class, supporting both stability and future growth across the TDAM Real Estate platform. Our priority is to ensure this transition is seamless for all stakeholders while continuing to deliver durable value for our clients."

The transaction is expected to be immediately accretive to both Morguard and Morguard Residential REIT and significantly expands Morguard's third-party managed residential portfolio. Additionally, the transaction will increase Morguard's portfolio presence in Montreal, Calgary and Edmonton and add new exposure to Halifax. The transaction is expected to close in one tranche in Q3 2026, subject to approvals and due diligence, and will be financed through a combination of vendor financing, assumed mortgages, cash on hand, and the remainder through short-term borrowings.

Morguard has strong conviction in the multi-suite residential asset class, supported by sustained rental demand and resilient operating fundamentals. Over the past four years, Morguard's owned Canadian portfolio has delivered an average, same-property net operating income growth of approximately 7.4%. This performance reflects consistent execution across high quality urban and suburban assets.

Beginning in the second quarter of 2026, Morguard and TDAM will implement a structured transition plan. The focus will be on operational continuity, employee integration, and consistent resident experience, with day-to-day property operations continuing without disruption as responsibilities transition to Morguard.

With this portfolio, Morguard's owned and managed assets, including its fully owned investment management platform, increase to approximately $24.0 billion. The residential platform expands to 162 properties and 33,300 suites across Canada and the United States, establishing this asset class as a core growth driver within a diversified real estate platform that includes office, industrial, retail, and hotel assets.

About Morguard Corporation
Morguard Corporation is a real estate investment company listed on the Toronto Stock Exchange (TSX: MRC). The company and its subsidiaries, Morguard REIT (TSX: MRT.UN) and Morguard North American Residential REIT (TSX: MRG.UN), own a diversified portfolio of real estate assets across multiple classes, including office, industrial, retail, multi-suite residential and hotel. Morguard also provides real estate management services to institutional and other investors. As at December 31, 2025, Morguard's owned and managed portfolio of assets was valued at $18.9 billion.

About Morguard North American Residential REIT
Morguard North American Residential REIT (TSX: MRG.UN) is an unincorporated, open ended real estate investment trust that owns interests in Canadian residential apartment communities in Alberta and Ontario and U.S. residential apartment communities in Colorado, Texas, Louisiana, Illinois, Georgia, Florida, North Carolina, Virginia, and Maryland.

For more information, visit www.morguard.com or follow us on LinkedIn and Instagram.

SOURCE Morguard Corporation

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