Dream Office REIT Announces Reorganization of the Management Structure; and Executive Changes
April 06, 2015 at 04:11 pm EDT
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DREAM UNLIMITED CORP AND Dream Office REIT jointly announced a reorganization of the management structure of Dream Office REIT (the REIT) to better align the management structure of the REIT with the interests of its unitholders. As a result of the reorganization, the annual management fee, acquisition fee and capital expenditure fee payable by the REIT under its asset management agreement have been eliminated. Dream Asset Management Corporation ("Dream"), the 70%- owned subsidiary of Dream Unlimited Corp., will continue to provide strategic oversight of the REIT pursuant to a management services agreement, which includes an incentive fee tied to increases in the net asset value of the REIT and, together with its Chief Executive Officer Michael Cooper. The reorganization was unanimously approved by the Board of Trustees, with those trustees with an interest in Dream Unlimited Corp. having declared their interest and not participated in the approval. The reorganization was unanimously recommended to the Board of Trustees for approval by the Governance, Compensation and Environmental Committee of the REIT consisting of trustees independent of Dream Unlimited Corp. The Committee received independent financial advice from GMP Securities LLP and independent legal advice from Stikeman Elliott LLP. The Committee received an opinion from GMP to the effect that, as of April 1, 2015, subject to the assumptions and qualifications contained in such opinion, the consideration paid by the REIT for the subsidiary of Dream is fair, from a financial point of view, to the REIT.
Jane Gavan will continue as Chief Executive Officer of the REIT. Michael Cooper has been appointed by the Board of Trustees as Chairman of the Board of the REIT. The REIT intends to hire a Chief Financial Officer, who will be an employee of the REIT, to complement the existing senior management team.
Dream Office Real Estate Investment Trust (the Trust) is an open-ended real estate investment trust. The Trust owns central business district office properties in various urban centers across Canada, with a focus on downtown Toronto. The Trust owns and manages 3.5 million square feet of office land in downtown Toronto. Its objectives include managing its business and assets to provide both yield and growth over the longer term. Its properties are located across Adelaide Place, Toronto; 30 Adelaide Street East, Toronto; 438 University Avenue, Toronto; 655 Bay Street, Toronto; 74 Victoria Street/137 Yonge Street, Toronto; 36 Toronto Street, Toronto; 330 Bay Street, Toronto; 20 Toronto Street/33 Victoria Street, Toronto; 250 Dundas Street West, Toronto; 80 Richmond Street West, Toronto; 425 Bloor Street East, Toronto; 212 King Street West, Toronto; 357 Bay Street, Toronto; 360 Bay Street, Toronto; 350 Bay Street, Toronto; 56 Temperance Street, Toronto; and 6 Adelaide Street East, Toronto.
DREAM OFFICE REAL ESTATE INVESTMENT TRUST 
