InterRent REIT Results for the First Quarter of 2015

News Release InterRent REIT Results for the First Quarter of 2015 NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES Ottawa, Ontario (May 12, 2015) – InterRent Real Estate Investment Trust (TSX-IIP.UN) (“InterRent” or the “REIT”) today reported financial results for the first quarter ended March 31, 2015. Highlights  Average monthly rent per suite for the entire portfolio increased 3.3% from $938 (March 2014) to $969 (March 2015). The stabilized portfolio increased to $957 (March 2015) from $927 (March 2014), an increase of 3.2%.  Gross rental revenue for the quarter increased by $2.5 million, or 15.5%, over Q1 2014 while operating revenue increased by $2.4 million, or 15.3% compared to Q1 2014.  Gross rental revenue from stabilized were $13.5 million for the quarter, an increase of $0.4 million, or 3.4%, over Q1 2014 while operating revenue were also $13.5 million, an increase of $0.5 million, or 3.5% over Q1 2014.  Economic vacancy decreased from 3.9% in December 2014 to 3.6% in March 2015, an improvement of 30 basis points.  NOI for the quarter increased from $8.4 million for Q1 2014 to $9.8 million for Q1 2015, an increase of $1.4 million, or 16.3%. NOI margin also increased in the quarter over quarter comparison going from 53.1% to 53.5%.  For the stabilized portfolio, NOI for the quarter increased from $7.1 million for Q1 2014 to $7.4 million for Q1 2015, an increase of $0.3 million, or 4.2%. Stabilized NOI margin increased by 30 basis points in the quarter-over-quarter comparison, going from 54.5% to 54.8%.  The weighted average interest rate on mortgage debt at the end of the quarter was 2.98% with an average life to maturity of 3.8 years.  Funds from operations (FFO) for the quarter increased by $0.6 million to $4.4 million (or $0.07 per unit) compared to $3.8 million (or $0.07 per unit) for Q1 2014.  Adjusted funds from operations (AFFO) for the quarter increased by $0.5 million to $3.7 million (or $0.06 per unit) compared to $3.2 million (or 0.06 per unit) for Q1 2014.  The REIT acquired a property in one of its operating regions that has been targeted for growth. The Montreal acquisition is a concrete high-rise consisting of 280 suites and closed on March 11, 2015 for $33.0 million.  The REIT completed the build out of 5 additional suites within existing properties during the quarter. 2