Primaris Taps New CIO to Drive Growth and Mall Redevelopment

TORONTO, ON – March 17, 2026 – Primaris Real Estate Investment Trust (TSX: PMZ.UN) is signaling a new phase of aggressive growth and strategic redevelopment with the appointment of Julian Schonfeldt as its first Chief Investment Officer, effective April 1, 2026. The move comes as Canada's only REIT focused exclusively on enclosed shopping centres looks to capitalize on a rapidly expanding portfolio and unlock the immense value hidden within its land holdings.

Schonfeldt, a seasoned real estate investment professional, is tasked with steering the REIT's capital allocation strategy. His appointment to the newly created CIO position underscores a deliberate effort by Primaris to sharpen its focus on acquisitions, dispositions, and the complex task of portfolio optimization in an evolving retail landscape.

A Strategy Fueled by Aggressive Growth

The creation of a dedicated CIO role is not happening in a vacuum. It is a direct response to the REIT's explosive growth trajectory. Since the end of 2021, Primaris has dramatically reshaped its portfolio, acquiring over $3.3 billion in leading enclosed shopping centres. This acquisition spree has been carefully balanced with strategic divestitures, with the company shedding nearly $500 million in non-core assets over the same period. As a result, almost 65% of the REIT's current portfolio is new since 2021.

High-profile acquisitions in the past year alone include a 50% stake in Edmonton's prestigious Southgate Centre, full ownership of the Oshawa Centre, and the purchase of Lime Ridge Mall in Hamilton, totaling over $1 billion. These moves align with the company's strategy of owning dominant, market-leading shopping centres in growing Canadian cities, often with direct access to mass transit.

In the company's official announcement, CEO Alex Avery emphasized the strategic rationale behind the new hire. “Julian is a highly respected investment professional with an exceptional track record of disciplined capital allocation and strong alignment with Primaris’ corporate culture and values,” said Avery. “His depth of experience across acquisitions, dispositions and portfolio strategy will be highly additive as we continue to execute on our strategy of owning a growing portfolio of leading enclosed shopping centres.”

A Veteran Hand for a New Mandate

Julian Schonfeldt arrives at Primaris with a formidable reputation built on a foundation of large-scale, strategic transactions. Most recently, he served as the inaugural CIO at Canadian Apartment Properties REIT (CAPREIT), one of the country's largest residential landlords. During his tenure, he was instrumental in executing more than $6 billion in transactions, a key part of CAPREIT's strategy to optimize its portfolio and reinvest in newer, high-quality Canadian properties.

While his expertise was honed in the residential sector, his core skills in disciplined capital deployment, investment underwriting, and portfolio strategy are highly transferable. His background in investment banking at RBC Capital Markets further solidifies his credentials in deal structuring and high-level financial strategy, making him a valuable asset as Primaris navigates increasingly complex investment opportunities.

Schonfeldt expressed his enthusiasm for the new role, noting the REIT's strong position. “I am excited to be joining Primaris and to work with a strong management team that has demonstrated a disciplined approach to strategy and execution,” he stated. “Primaris has a high quality mall portfolio, a clear investment strategy, and a meaningful opportunity set. I look forward to supporting the continued thoughtful deployment of capital and building upon the REIT’s success.”

From Dead Space to Dynamic Assets

Perhaps the most compelling part of Schonfeldt's new mandate is to unlock the value of the REIT's "substantial excess lands." This opportunity has been made particularly actionable by the recent departure of anchor tenant Hudson's Bay from several locations. Primaris controls approximately 1,400 acres of land across Canada, of which an estimated 400 acres are considered "excess" and ripe for development.

A prime example of this strategy in motion is the planned intensification of Dufferin Mall in Toronto. Primaris intends to transform a 4-acre northern parking area into a vibrant mixed-use community, featuring over 1,200 residential rental units and 130,000 square feet of new retail space. The land alone for this project has been appraised at $137 million, illustrating the massive latent value within the REIT's existing footprint. Schonfeldt's role will be central to identifying optimal uses, structuring partnerships with developers, and executing land sales or joint ventures for these types of projects nationwide.

The decline of the traditional department store, once seen as a crisis for mall owners, is now viewed by proactive landlords like Primaris as a golden opportunity. With 10 Hudson's Bay locations in its portfolio, the REIT has already moved swiftly to re-lease five of the 11 spaces disclaimed by the retailer, demonstrating an ability to pivot and backfill large vacancies with more productive and diverse tenants.

Navigating an Evolving Retail Landscape

While focusing on a single asset class like enclosed malls carries inherent risks, Primaris has leveraged its specialization to its advantage. The Canadian retail market remains robust, with a national vacancy rate hovering around a historically low two percent. This tight market, coupled with Canada's strong population growth, provides a favorable backdrop for landlords, enabling them to push rents and curate a more profitable mix of tenants.

Primaris has posted strong financial results, including a 9.2% growth in Funds From Operations (FFO) per unit and a healthy committed occupancy rate of 90.6% in its most recent reporting period. This performance, combined with a conservative balance sheet and low debt levels, differentiates it from more broadly diversified competitors like RioCan REIT or those focused on necessity-based retail like SmartCentres.

By bringing in a heavy-hitter like Julian Schonfeldt, Primaris is clearly signaling its intent to not just manage its assets, but to actively transform them. His appointment represents a calculated bet that the future of the Canadian shopping mall lies in aggressive, data-driven investment, strategic redevelopment, and the creative reimagining of what a retail centre can be. His expertise will be critical as the REIT aims to build upon its recent successes and solidify its position as a leader in the next evolution of Canadian retail real estate.