/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISTRIBUTION IN THE UNITED STATES./
TORONTO, June 2, 2020 /CNW/ - Tricon Capital Group Inc. (TSX: TCN) ("Tricon" or the "Company", carrying on business as Tricon Residential), a rental housing company catering to the middle-market demographic throughout the United States and Canada, announced an update on its May rental operating trends. All financial information is presented in U.S. dollars unless otherwise indicated.
As of May 31, 2020, same home occupancy in the single-family rental business remained at a record level of 97.6% while annualized turnover was below historical levels, at 20.2% for the month. Average blended rent growth remained strong at 5.1%, driven by 8.9% growth on new move-ins and 3.5% growth on renewals.
The Company had collected 96.1% of May rents by month-end, consistent with April's performance at the same point in time (Tricon has since collected 98.7% of April rents). Fewer than 1% of Tricon's single-family rental residents have requested a rent deferral plan because of economic hardship.
U.S. multi-family rental
In the U.S. multi-family rental business, occupancy was stable at 93.4% as of May 31, 2020 and annualized turnover was below historical levels at 45.3% for the month. Average rents for leases signed in May decreased by 1.0% from the previous lease, comprised of a 2.6% decrease on new move-ins and a 0.1% decrease on renewals. This marks a material improvement from April's decrease of 2.2% on a blended basis.
The Company had collected 95.4% of May rents by month-end, consistent with April's performance at the same point in time (Tricon has since collected 98.4% of April rents). Approximately 1.6% of Tricon's multi-family rental residents have been approved for a rent deferral plan in the month of May because of economic hardship.
Canadian multi-family rental (The Selby)
In the Canadian multi-family rental business, occupancy at The Selby increased to 88.0% as of May 31, 2020 compared to 87.2% at the end of April. The Company had collected 97.3% of May rents by month-end, which is ahead of April's performance at the same point in time.
Founded in 1988, Tricon is a rental housing company catering to the middle-market demographic throughout the United States and Canada. We own and manage over 30,000 single-family rental homes and multi-family rental units through an integrated, technology-enabled operating platform. More information about Tricon is available at www.triconresidential.com.
This news release may contain forward-looking statements relating to expected future events and financial and operating results and projections of the Company. Such forward-looking information and statements involve risks and uncertainties and are based on management's current expectations, intentions and assumptions in light of its understanding of relevant current market conditions, investee business plans, and the Company's prospects. If unknown risks arise, or if any of the assumptions underlying the forward-looking statements prove incorrect, actual results may differ materially from management expectations as projected in such forward-looking statements. Examples of such risks are described in the Company's continuous disclosure materials from time to time, available on SEDAR at www.sedar.com. Accordingly, although the Company believes that its anticipated future results, performance or achievements expressed or implied by the forward-looking statements and information are based upon reasonable assumptions and expectations, the reader should not place undue reliance on forward-looking statements and information. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required by applicable law. The ongoing impact of the current COVID-19 pandemic on Tricon's income, liquidity and operations remains uncertain. Please refer to the Company's most recent Management's Discussion and Analysis, available on SEDAR.
SOURCE Tricon Capital Group Inc.
For further information: Wissam Francis, EVP & Chief Financial Officer, Tel: 416-323-2484, Email: [email protected]; Wojtek Nowak, Managing Director, Capital Markets, Tel: 416-925-2409, Email: [email protected]