OCCUPANCY GAINS AND RENTAL GROWTH IN Q3 2021 LEAD TO 10TH CONSECUTIVE YEAR OF DISTRIBUTION INCREASE FOR INTERRENT REIT

Occupancy Gains and Rental Growth in Q3 2021 Lead to 10^th consecutive year of distribution increase for InterRent REIT

Ottawa, Ontario (November 8, 2021) – InterRent Real Estate Investment Trust (TSX-IIP.UN) (“InterRent” or the “REIT”) today reported financial results for the third quarter ended September 30, 2021.

InterRent REIT reports sequential occupancy gains across all portfolio segments in Q3 2021 and continues to grow average monthly rent per suite across all regions

Total portfolio occupancy for September 2021 was 94.4%, an increase of 290bps compared to June 2021
Same property occupancy for September 2021 was 94.9%, an increase of 270bps compared to June 2021
Same property average monthly rent per suite at $1,367 as of September 2021; growth of 4.4% over September 2020 ($1,310)
Same property NOI was $26.3 million for the quarter, an increase of 2.4% compared to Q3 2020
Same property NOI margin in Q3 2021 was 65.3%, an improvement of 60bps relative to Q2 2021 and down 50bps compared to Q3 2020
FFO increases to $19.3 million ($0.135 per Unit – diluted) in Q3 2021; growth of 12.3% overall and 11.6% on a per Unit basis compared to Q3 2020
Strong acquisition performance post quarter with closings on 285 suites in Toronto, 48 suites in Montréal and a 50% interest in a 104-suite LEED Gold property in Vancouver
Board of Trustees has approved a 5.1% increase to the distribution, from $0.3255 per unit to $0.3420 per unit, marking the 10^th consecutive year that the REIT has grown its distribution by 5% or more
ESG performance reinforced with inaugural sustainability report, 25% increase in 2021 GRESB score and “Green Star” rating

Occupancy improvements, scale effects, and average rent growth lead to strong increase in operating revenues

At 94.4% in September 2021, the occupancy rate in InterRent’s portfolio has improved 290bps relative to June 2021 (91.5%) and 230bps compared to September 2020 (92.1%). The REIT’s same property portfolio saw consistent improvements, posting a quarter-over-quarter increase of 270bps and a year-over-year gain of 290bps as of September 2021. Strong leasing activity in Vancouver drove a sequential occupancy improvement of 430bps in the REIT’s non-repositioned portfolio, with vacancy in the Greater Vancouver Area shrinking by 1,590bps over the quarter.

As of September 30, 2021, InterRent has 100% ownership in 11,897 suites. Including properties that the REIT owns in partnership with Crestpoint Real Estate Investments Ltd. (Crestpoint), InterRent owned or managed 12,273 suites as of September 30, 2021, up 11.1% from 11,046 as of September 30, 2020. Operating revenues stood at $46.9 million in Q3 2021, growing at 18.0% from $39.7 million in Q3 2020 as occupancy gains, scale effects from acquisitions and improvements in average rent per suite (+5.0%) helped offset the burn-off of pandemic-related rebates and higher advertising expenses in select properties.

These improvements translated into a same property NOI margin of 65.3% in Q3 2021, a sequential improvement of 60bps compared to Q2 2021 and down slightly relative to Q3 2020 (-50bps). Management expects elevated promotional activity seen during the pandemic to gradually normalize in the REIT’s financials over the next 12 months, and continues to view the decision to hold face rents as the right strategy for the long-term financial health of the REIT.

Net income for the quarter was $104.5 million, an increase of $72.0 million compared to Q3 2020. This difference was due primarily to the $85.5 million fair value gain on investment properties and an increase in operating revenue to $46.9 million for the quarter from $39.7 million in Q3 2020.

The REIT posted another strong FFO result in the quarter. At $19.3 million ($0.135 per Unit – diluted), FFO increased by 12.3% compared to Q3 2020 ($17.2 million or $0.121 per Unit - diluted), resulting in 11.6% growth on a per Unit basis. AFFO likewise grew from $15.1 million ($0.106 per Unit – diluted) in Q3 2020 to $17.2 million ($0.120 per Unit – diluted) in Q3 2021, representing 14.4% and 13.2% growth on an absolute and per Unit basis, respectively.

Acquisitions of 1,662 owned or managed suites year to date fuel repositioning opportunity to improve Canada’s multi-family housing stock

From January to November 2021, InterRent has acquired a total of 1,662 owned or managed rental suites at a total purchase price of $673.8 million^([1]). In the third quarter, the REIT closed on a previously announced transaction in Mississauga in partnership with Crestpoint.

Subsequent to the quarter end, InterRent acquired two properties in Toronto on October 18, 2021 for a combined purchase price of $125.0 million. Comprising a total of 285 suites, these properties are located in highly desirable, amenity-rich neighbourhoods with a weighted-average walk score of 92. On October 22, 2021, the REIT, together with Crestpoint, increased its footprint in Vancouver by 104 suites for a combined purchase price of $52.0 million (of which InterRent’s interest is 50%). This latest addition in Vancouver’s vibrant Collingwood neighbourhood was completed in 2020 with a LEED Gold building certification and sits within walking distance to two SkyTrain stations. On November 8, 2021, InterRent closed on a 48-suite property (including 46 2-bedroom or larger suites) and also included ground floor commercial space, in the heart of Westmount in Montréal for $18.5 million, complementing the REIT’s existing portfolio in the neighbourhood.

^([1]) At 100% share; $477.0 million based on InterRent’s ownership interest.

InterRent REIT is a growth-oriented real estate investment trust engaged in increasing Unitholder value and creating a growing and sustainable distribution through the acquisition and ownership of multi-residential properties.

InterRent's strategy is to expand its portfolio primarily within markets that have exhibited stable market vacancies, sufficient suites available to attain the critical mass necessary to implement an efficient portfolio management structure, and offer opportunities for accretive acquisitions.

InterRent's primary objectives are to use the proven industry experience of the Trustees, Management and Operational Team to: (i) grow both funds from operations per Unit and net asset value per Unit through investments in a diversified portfolio of multi-residential properties; (ii) provide Unitholders with sustainable and growing cash distributions, payable monthly; and (iii) maintain a conservative payout ratio and balance sheet.

*Non-GAAP Measures

InterRent prepares and releases unaudited quarterly and audited consolidated annual financial statements prepared in accordance with IFRS (GAAP). In this and other earnings releases, as a complement to results provided in accordance with GAAP, InterRent also discloses and discusses certain non-GAAP financial measures, including Gross Rental Revenue, NOI, Same Property results, Repositioned Property results, FFO, AFFO, ACFO and EBITDA. These non-GAAP measures are further defined and discussed in the MD&A dated November 8, 2021, which should be read in conjunction with this press release. Since Gross Rental Revenue, NOI, Same Property results, Repositioned Property results, FFO, AFFO, ACFO and EBITDA are not determined by GAAP, they may not be comparable to similar measures reported by other issuers. InterRent has presented such non-GAAP measures as Management believes these measures are relevant measures of the ability of InterRent to earn and distribute cash returns to Unitholders and to evaluate InterRent's performance. These non-GAAP measures should not be construed as alternatives to net income (loss) or cash flow from operating activities determined in accordance with GAAP as an indicator of InterRent's performance.

Cautionary Statements

The comments and highlights herein should be read in conjunction with the most recently filed annual information form as well as our consolidated financial statements and management’s discussion and analysis for the same period. InterRent’s publicly filed information is located at www.sedar.com.

This news release contains “forward-looking statements” within the meaning applicable to Canadian securities legislation. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as “plans”, “anticipated”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. InterRent is subject to significant risks and uncertainties which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward looking statements contained in this release. A full description of these risk factors can be found in InterRent’s most recently publicly filed information located at www.sedar.com. InterRent cannot assure investors that actual results will be consistent with these forward looking statements and InterRent assumes no obligation to update or revise the forward looking statements contained in this release to reflect actual events or new circumstances.

The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

For further information, please contact:

Sandy Rose, CFA

Director - Investor Relations & Sustainability

(514) 704-2459

sandy.rose@interrentreit.com