Allied Properties Real Estate Investment Trust
Annual Report 2025

Annual Report 
December 31,  
2025
02.10.26

Annual Report
December 31, 2025

Contents
MANAGEMENT’S DISCUSSION  
AND ANALYSIS OF RESULTS OF  
OPERATIONS AND FINANCIAL  
CONDITION AS AT DECEMBER 31, 2025 . .  .  .  .  4
SECTION I—Overview . .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  5
Summary of Key Operating and Financial 
Performance Measures. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  6
Operating and Financial Highlights . .  .  .  .  .  .  .  .  .  .  .  .  8
Summary of Rental Properties. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  10
Business Overview and Strategy . .  .  .  .  .  .  .  .  .  .  .  .  .  . 11
Environmental, Social and Governance (“ESG”). .  . 13
Business Environment and Outlook. .  .  .  .  .  .  .  .  .  .  .  . 16
Non-GAAP Measures. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 18
Forward-Looking Statements. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  22
SECTION II—Operations. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  24
Net Income and Comprehensive Income. .  .  .  .  .  .  .  25
Net Operating Income. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  30
Same Asset NOI. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  33
Interest Expense . .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  35
General and Administrative Expenses. .  .  .  .  .  .  .  .  .  37
Interest Income. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  39
Other Financial Performance Measures. .  .  .  .  .  .  .  .  40

SECTION III—Leasing . .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  48
Status. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  49
User Retention. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 51
Activity. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 51
User Profile. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  53
Lease Maturity. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  54
SECTION IV—Historical Performance. .  .  .  .  .  .  .  .  56
SECTION V—Asset Profile . .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  59
Rental Properties. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  64
Development Properties. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  68
Loans Receivable. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 71
SECTION VI—Liquidity  
and Capital Resources. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  73
Debt . .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  74
Credit Ratings . .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 81
Financial Covenants.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 82
Equity. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  84
Distributions . .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  86
Off-Balance Sheet Arrangements. .  .  .  .  .  .  .  .  .  .  .  .  .  88
SECTION VII—Accounting Estimates  
and Assumptions. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  89
SECTION VIII—Disclosure Controls  
and Internal Controls. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 90
SECTION IX—Risks and Uncertainties. .  .  .  .  .  .  .  .  . 91
Operating Risks and Risk Management. .  .  .  .  .  .  .  .  92
Financial Risks and Risk Management. .  .  .  .  .  .  .  .  .  95
Other Risks. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 101
SECTION X—Property Table. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  107
CONSOLIDATED FINANCIAL  
STATEMENTS FOR THE YEARS ENDED 
DECEMBER 31, 2025 AND 2024. .  .  .  .  .  .  .  .  .  . 114
Management’s Statement of  
Responsibility for Financial Reporting. .  .  .  .  .  .  .  .  . 115
Independent Auditor’s Report . .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 116
Consolidated Balance Sheets. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  120
Consolidated Statements of Loss and 
Comprehensive Loss. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 121
Consolidated Statements of Equity. .  .  .  .  .  .  .  .  .  .  . 122
Consolidated Statements of Cash Flows. .  .  .  .  .  .  . 123
Notes to the Consolidated  
Financial Statements . .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 125

4
ALLIED 2025 ANNUAL REPORT
Management’s Discussion and 
Analysis of Results of Operations 
and Financial Condition as at 
December 31, 2025

5
ALLIED 2025 ANNUAL REPORT
Section I
—Overview
Allied is an unincorporated open-end real estate investment trust created pursuant to the Declaration of 
Trust (“Declaration of Trust”) dated October 25, 2002, as most recently amended on June 12, 2023.  Allied is 
governed by the laws of Ontario.  Allied’s units (“Units”) are publicly traded on the Toronto Stock Exchange 
under the symbol “AP. UN”.  Additional information on Allied, including its annual information form, is 
available on SEDAR+ at www.sedarplus.ca.
This Management’s Discussion and Analysis (“MD&A”) of results of operations and financial condition relates 
to the year ended December 31, 2025.  Unless the context indicates otherwise, all references to “Allied”, 
“we”, “us” and “our” in this MD&A refer to Allied Properties Real Estate Investment Trust.  The Board of 
Trustees (the “Board”) of Allied, upon the recommendation of its Audit Committee, approved the contents 
of this MD&A.
This MD&A has been prepared with an effective date of February 10, 2026, and should be read in 
conjunction with the audited consolidated financial statements and notes thereto for the year ended 
December 31, 2025.  Historical results and percentage relationships contained in this MD&A, including trends 
that might appear, should not be taken as indicative of future results, operations or performance.  Unless 
otherwise indicated, all amounts in this MD&A are in thousands of Canadian dollars.
This section includes certain terms that do not have a standardized meaning prescribed under IFRS® 
Accounting Standards as issued by the International Accounting Standards Board (“IFRS Accounting 
Standards” or “GAAP”) and includes certain forward-looking statements within the meaning of applicable 
securities law.  Refer to Non-GAAP Measures and Forward-Looking Statements on pages 18 and 22, 
respectively.  

6
ALLIED 2025 ANNUAL REPORT
SUMMARY OF KEY OPERATING AND FINANCIAL PERFORMANCE MEASURES
The following table summarizes the key operating and financial performance measures for the periods listed 
below:
 
($000’s except per-square 
foot, per-unit and financial 
ratios)
THREE MONTHS ENDED
YEAR ENDED
DECEMBER 31, 
2025
DECEMBER 31, 
2024
DECEMBER 31, 
2025
DECEMBER 31, 
2024
DECEMBER 31, 
2023
Leased area (1)
87.4%
87. 2%
87.4%
87. 2%
87. 3%
Occupied area (1)
85.3%
85. 9%
85.3%
85. 9%
86. 4%
Average in-place net rent  
per occupied square foot (1)
25.23
25. 41
25.23
25. 41
24. 10
Retention rate (1)(2)
60.2%
68. 8%
69.4%
69. 3%
61. 2%
Rent (decrease) increase  
on renewal (1)
(1.2)%
2. 0%
0.5%
1. 9%
6. 8%
Investment properties (3)
8,443,045
9,448,363
8,443,045
9,448,363
9,387,032
Unencumbered investment 
properties (4)
7,510,485
7,817,543
7,510,485
7,817,543
8,757,510
Total assets (3)
9,257,404
10,603,979
9,257,404
10,603,979
10,609,285
Cost of PUD as % of GBV (4)
7.6%
10. 1%
7.6%
10. 1%
11. 6%
NAV per unit (5)
29.87
41. 25
29.87
41. 25
45. 60
Debt (3)
4,681,763
4,403,375
4,681,763
4,403,375
3,659,611
Total indebtedness ratio (4)
50.7%
41. 7%
50.7%
41. 7%
34. 7%
Annualized Adjusted 
EBITDA (4)(8)
355,536
393,404
371,399
389,239
416,019
Net debt as a multiple 
of Annualized Adjusted 
EBITDA (4)(8)
12.9x
10. 8x
12.3x
10. 9x
8. 1x
Interest coverage ratio 
including interest capitalized 
and excluding financing 
prepayment costs - three 
months trailing (4)(8)
1.9x
2. 3x
1.9x
2. 3x
2. 9x
Interest coverage ratio 
including interest capitalized 
and excluding financing 
prepayment costs - twelve 
months trailing (4)(8)
2.1x
2. 4x
2.1x
2. 4x
2. 5x
Rental revenue (3)
148,766
155,120
592,379
592,040
563,980
Property operating costs (3)
(73,714)
(70,737)
(275,415)
(263,566)
(246,949)
Operating income (3)
75,052
84,383
316,964
328,474
317,031
Net loss and comprehensive 
loss (3)(8)
(1,011,743)
(257,652)
(1,327,532)
(342,530)
(420,716)
Net income excluding 
fair value adjustments, 
transaction costs, financing 
prepayment costs, 
impairment and expected 
credit loss on loans and 
notes receivable (4)(6)(8)
42,243
56,694
197,039
233,307
221,833

7
ALLIED 2025 ANNUAL REPORT
 
($000’s except per-square 
foot, per-unit and financial 
ratios)
THREE MONTHS ENDED
YEAR ENDED
DECEMBER 31, 
2025
DECEMBER 31, 
2024
DECEMBER 31, 
2025
DECEMBER 31, 
2024
DECEMBER 31, 
2023
Adjusted EBITDA (4)(8)
88,884
98,351
371,399
389,239
416,019
Same Asset NOI -  
rental portfolio (4)(7)
80,930
84,351
303,611
307,356
N/A
Same Asset NOI -  
total portfolio (4)(7)
80,443
85,515
316,945
320,686
N/A
FFO (4)(8)
60,475
72,395
264,277
303,278
332,578
FFO per unit (diluted) (4)(8)
0.433
0. 518
1.891
2. 170
2. 380
FFO payout ratio (4)(8)
83.20%
86. 9%
90.40%
83. 0%
75. 6%
All amounts below are 
excluding condominium-
related items, financing 
prepayment costs, and 
the mark-to-market 
adjustment on unit-based 
compensation (4)(8):
FFO
58,571
74,747
265,026
303,806
332,622
FFO per unit (diluted)
0.419
0. 535
1.896
2. 174
2. 380
FFO payout ratio
85.90%
84. 1%
90.20%
82. 8%
75. 6%
AFFO
50,488
66,626
240,572
273,434
304,225
AFFO per unit (diluted)
0.361
0. 477
1.721
1. 956
2. 177
AFFO payout ratio
99.70%
94. 4%
99.30%
92. 0%
82. 7%
(1)	 This metric excludes assets held for sale based on the classification at the end of each period.
(2)	 The retention rate includes relocations and maturities during the period which were leased in the current period and prior year. Refer to User 
Retention on page 51 for further details.
(3)	 This measure is presented on a GAAP basis. For the year ended December 31, 2023, rental revenue, operating expenses and operating income 
are from continuing operations. Net loss and comprehensive loss, contains both continuing operations and discontinued operations. 
(4)	 This is a non-GAAP measure, as defined on page 18.
(5)	 Net asset value per unit (“NAV per unit”) is calculated as total equity plus the value of class B limited partnership units of Allied Properties 
Exchangeable Limited Partnership (“Exchangeable LP Units”) as at the corresponding period ended, divided by the actual number of Units and 
Exchangeable LP Units. The rationale for including the value of Exchangeable LP Units is because they are economically equivalent to Units, 
receive distributions equal to the distributions paid on the Units and are exchangeable, at the holder’s option, for Units.
(6)	 For the year ended December 31, 2023, the net income excluding fair value adjustments, transaction costs, financing prepayment costs, 
impairment, and expected credit loss on loans and notes receivable is from continuing operations.
(7)	 The Same Asset NOI for the year ended December 31, 2023, is not applicable as the composition of properties is different from the years ended 
December 31, 2024 and 2025.
(8)	 For the three months ended December 31, 2025, includes interest income and interest income per unit on loans receivable on KING Toronto 
and 150 West Georgia of $9,700 and $0.069 (2024 - $8,504 and $0.061), respectively. For the year ended December 31, 2025, includes interest 
income and interest income per unit on loans receivable on KING Toronto and 150 West Georgia of $36,415 and $0.261 (2024 - $36,035 and 
$0.258), respectively. An expected credit loss on loans receivable of $128,000 and $128,000 (2024 - $nil and $nil) was recognized for the three 
months and year ended December 31, 2025, respectively.

8
ALLIED 2025 ANNUAL REPORT
Operating and  
Financial Highlights
Above all, Allied is an owner-operator of distinctive urban workspace in Canada’s major cities.  For Allied, 
neither acquisition activity nor development activity is an end in itself.  Rather, both are a means of 
providing knowledge-based organizations with distinctive urban workspace effectively and profitably.

9
ALLIED 2025 ANNUAL REPORT
(1)	 These metrics are for the rental portfolio which excludes the assets held for sale and properties under development based on the classification 
at the end of the period.
(2)	 This is a non-GAAP measure, as defined on page 18. 
(3)	 FFO per unit and AFFO per unit exclude condominium-related items, financing prepayment costs, and the mark-to-market adjustment on  
unit-based compensation on a diluted basis.
(4)	 Liquidity is the sum of cash and cash equivalents and the amount available on Allied’s unsecured revolving operating facility as at 
December 31, 2025.
(5)	 This interest coverage ratio, including capitalized interest, is for the three months trailing period.
(6)	 For more information, refer to Allied’s 2024 Environmental, Social and Governance Report published on June 9, 2025, available on  
www.alliedreit.com.
Q4 2025 Operating Results (1)
LEASED AREA
87.4%
AVERAGE IN-PLACE NET 
RENT PER OCCUPIED 
SQUARE FOOT
$25.23
2024: $25.41
 0.7% from Q4 2024
RENT DECREASE ON 
RENEWAL
(1.2)%
WEIGHTED AVERAGE 
REMAINING LEASE TERM 
IN YEARS
5.7
OCCUPIED AREA
85.3%
Q4 2025 Financial Results
SAME ASSET NOI -  
RENTAL PORTFOLIO (2)
 4.1%
from Q4 2024
FFO PER UNIT (2)(3)
$0.419
 21.7% from Q4 2024
AFFO PER UNIT (2)(3)
$0.361
 24.3% from Q4 2024
Q4 2025 Balance Sheet
LIQUIDITY (4)
$836.4M
$936.4M including  
accordion
UNENCUMBERED 
INVESTMENT 
PROPERTIES (2)
$7.5B
89.0% of investment 
properties
NET DEBT AS A 
MULTIPLE OF 
ANNUALIZED 
ADJUSTED EBITDA (2)
12.9x
TOTAL 
INDEBTEDNESS 
RATIO (2)
50.7%
INTEREST 
COVERAGE  
RATIO (2)(5)
1.9x
ESG Results (6)
2025 GRESB SCORE FOR STANDING INVESTMENTS
87/100 Up from 84/100 in 2024
2024 TARGET RELATIVE TO 2019 BASELINE
2024 ACTUAL RELATIVE TO 2019 BASELINE
2024 ENERGY USE 
INTENSITY (“EUI”)
 9% reduction
 19% reduction
2024 GREENHOUSE GAS 
INTENSITY (“GHGI”)
 7% reduction
 20% reduction
2024 WATER USE 
INTENSITY (“WUI”)
 12% reduction
 28% reduction
2024 WASTE DIVERSION
 64% diversion
 64% diversion

10
ALLIED 2025 ANNUAL REPORT
(1)	 Source: cbre.ca, CBRE Office Figures reports for Allied’s sub-markets.
(2)	 Excludes 790 suites in Allied’s rental-residential portfolio. See Section X - Property Table - Rental Residential.
ALLIED LEASED
90. 1%
ALLIED OCCUPANCY
89. 0%
MARKET OCCUPANCY (1)
83. 9%
PROPERTIES
25
EMPLOYEES
66
MONTRÉAL
5.9M
SF
KITCHENER
0.7M
SF
ALLIED LEASED
85. 1%
ALLIED OCCUPANCY
82. 3%
MARKET OCCUPANCY (1)
77. 0%
PROPERTIES
30
EMPLOYEES
24
CALGARY
1.1M
SF
ALLIED LEASED
87. 8%
ALLIED OCCUPANCY
87. 8%
MARKET OCCUPANCY (1)
89. 3%
PROPERTIES
13
EMPLOYEES
27
VANCOUVER
1.2M
SF
SUMMARY OF RENTAL PROPERTIES 
191 Rental Properties 
valued at $8.0B
(Not including Properties Under Development valued at $0. 4B  
and Investment Properties Held for Sale valued at $0. 1B)
TOTAL RENTAL 
PORTFOLIO GLA (2) 
14.5M SF
ALLIED LEASED
75. 5%
ALLIED OCCUPANCY
74. 6%
MARKET OCCUPANCY (1)
58. 0%
PROPERTIES
6
ANCILLARY PARKING 
FACILITY
1
EMPLOYEES
4
ALLIED LEASED
86. 4%
ALLIED OCCUPANCY
83. 0%
MARKET OCCUPANCY (1)
77. 5%
PROPERTIES
107
ANCILLARY PARKING 
FACILITIES
9
EMPLOYEES
229
TORONTO
5.6M
SF

11
ALLIED 2025 ANNUAL REPORT
BUSINESS OVERVIEW AND STRATEGY
Allied is a leading owner-operator of distinctive urban workspace in Canada’s major cities.
DISTINCTIVE URBAN WORKSPACE 
Allied was known initially for its leading role in the emergence of Class I workspace in Toronto, a format 
created through the adaptive re-use of light industrial structures in the Downtown East and Downtown West 
submarkets.  This format typically features high ceilings, abundant natural light, exposed structural frames, 
interior brick and hardwood floors.  When restored and retrofitted to high standards, Class I workspace 
can satisfy the needs of the most demanding office and retail users.  When operated in a coordinated 
manner, this workspace becomes a vital part of the urban fabric and contributes meaningfully to a sense 
of community.  
Allied went public in 2003 for the express purpose of consolidating Class I workspace that was centrally 
located, distinctive and cost-effective.  The consolidation that ensued was continuous, enabling Allied to 
evolve into a leading owner-operator of distinctive urban workspace in Canada’s major cities.  
WORKSPACE INNOVATION 
Allied’s long and extensive experience continues to inform its approach to workspace innovation.  Office 
users today value light, air and an open-plan.  Abundant natural light and fresh air contribute enormously 
to human wellness and productivity.  An open-plan improves collaboration and creativity.  When people 
can move around and freely connect with one another, communication is improved, along with mutual 
understanding, and sparks of ingenuity occur.  
Technology has contributed to workspace innovation.  Light harvesting has made great strides, as has 
fresh air delivery.  Raised-floor systems have made aesthetic and practical contributions in recent years.  
Aesthetically, they declutter the workspace and obviate the need for drop-ceilings.  Practically, they improve 
air circulation by pressurizing the underfloor area and de-pressurizing the actual work environment.  All this 
can be delivered to workspace users in an environmentally sustainable manner.  
Workspace amenities have made an equivalent contribution to workspace innovation.  While achievable 
to an extent within a single building, amenity-richness is best achieved within a surrounding urban 
neighbourhood.  This in turn places a premium on clustering buildings within an amenity-rich urban 
neighbourhood.  Clustering also allows Allied to accommodate needs for expansion and contraction within 
the neighbourhood.  
Allied’s experience with Class I workspace also increased its sensitivity to design.  When people migrated to 
the suburbs in the 1950s, the sensitivity to design in the inner-cities seemed to diminish, if not disappear 
altogether.  Heritage properties were destroyed to make way for non-descript, inward-looking buildings, and 
synthetic materials seemed to cover everything everywhere.  Fortunately, design now matters, and design 
now pays.  The workspace Allied created at QRC West in Toronto is an excellent example.  Allied’s architects 
came up with a creative and beautiful way to build a new office tower above two fully-restored heritage 
buildings.  Although the design entailed additional cost, the ultimate economic and social return on the 
investment was exceptional.  The design paid off in every conceivable way.  

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ALLIED 2025 ANNUAL REPORT
Finally, Allied’s experience with Class I workspace put it at the forefront of creating workspace for the 
knowledge-based economy.  This led Allied to place ever-greater emphasis on the ongoing relationship 
between the user and provider of workspace.  Put differently, it led Allied to understand the need for a 
partnership-like relationship between itself and workspace users.
FOCUS AND DEFINITION 
From the outset, Allied adhered to a clear investment and operating focus.  It focused initially on the Class I 
format and continues to do so on a large scale in major urban centres in Canada.  More recently, Allied 
expanded its focus to include hybrid structures like QRC West and King Portland Centre in Toronto and 
425 Viger in Montréal, where heritage buildings were integrated with new structures in a way that resonated 
meaningfully with the knowledge-based organizations Allied serves.  Allied will continue to do so on a large 
scale in major urban centres in Canada.  
As Allied’s business grew and evolved, it was defined not by the specific workspace format Allied owns, 
operates and develops, but rather by the workspace users Allied serves.  If a particular format enables 
Allied to serve knowledge-based organizations better and more profitably, Allied will invest in it.  The Well 
in Toronto is a good example.  The workspace component is a high-rise tower for the most part with no 
heritage element at all.  However, because of its architecture, performance attributes and location within a 
vibrant and amenity-rich neighbourhood, it has attracted outstanding knowledge-based organizations.  
When Allied’s business is defined by the workspace users it serves, the actual format becomes less 
important and the specific building attributes and neighbourhood amenities take on paramount importance.  
Accordingly, if a conventional office tower can be transformed to provide the specific attributes and 
amenities favoured by knowledge-based organizations, it falls squarely within Allied’s investment and 
operating focus.  This expands Allied’s opportunity-set materially.  
Allied continues to experience steady demand for urban workspace, urban rental-residential space and 
urban amenity space, as well as strong and quantifiable engagement among users of space in the Allied 
portfolio generally.  Allied expects to continue the ongoing upgrade of its urban workspace portfolio and 
to accelerate the establishment of its urban rental-residential portfolio flowing from mixed-use urban 
development in which it has participated over the past decade.

13
ALLIED 2025 ANNUAL REPORT
VISION AND MISSION 
Allied’s vision statement is as follows: To make a continuous contribution to cities and culture that elevates 
and inspires the humanity in all people.  In isolation, this could be seen as somewhat extravagant and 
nebulous, but it is fully grounded and informed by Allied’s mission statement, which is as follows: To provide 
knowledge-based organizations with distinctive urban workspace in a manner that is sustainable and conducive 
to human wellness, creativity, connectivity and diversity.  Like all such statements, Allied’s vision and mission 
statements need elaboration.  
From inception, Allied’s approach to workspace was both humanistic and technical.  Allied sees workspace 
from the vantage point of people who use it rather than people who invest in it.  Allied sees workspace 
as optimal light and air, a flexible and open floorplan and a collaborative rather than feudal relationship 
between owner and user.  Allied sees workspace as a product of aesthetic and technical design.  Finally, 
Allied sees workspace as part of a large, amenity-rich, urban ecosystem rather than as an instance of the 
monumental isolation that characterizes so many conventional office towers.  
ENVIRONMENTAL, SOCIAL AND GOVERNANCE (“ESG”)
Environmental, social and governance sensitivities are an integral part of Allied.  They flow from its evolution 
as an organization focused on the provision of distinctive urban workspace in Canada’s major cities.
Long before going public, Allied focused on the adaptive re-use of older structures built over a century 
ago for light-industrial purposes.  The goal at the time was not to minimize the impact on the environment.  
Rather, it was to meet what was rightly perceived to be a growing need on the part of users of workspace 
for environments that would assist them in attracting, motivating and retaining knowledge workers.  
Nevertheless, by recycling buildings rather than re-building them, Allied minimized the impact on the 
environment.  This evolved into greater sensitivity as to the environmental impact of its activity.  
Again, long before its initial public offering (“IPO”), Allied concentrated its properties in specific urban 
areas.  The goal at the time was not to make a social contribution.  Rather, it was to meet what was rightly 
perceived to be the need on the part of users of workspace to grow in amenity-rich, mixed-use urban 
communities.  Nevertheless, by aggregating buildings in this way, Allied became sensitized to the impact on 
the surrounding communities in which it operates.  Allied began to see its buildings as part of a larger urban 
ecosystem and to acknowledge its responsibility to the surrounding community as a whole.  
Finally, the launch of Allied’s IPO in 2003 increased its sensitivity to governance.  The sensitivities at the time 
were predominantly financial and operational, but as Allied evolved and attracted Unitholders globally, the 
sensitivity to a broader conception of governance increased.  Allied’s Board and Management began to see 
governance as something that could strengthen the business significantly.

14
ALLIED 2025 ANNUAL REPORT
ESG OVERSIGHT & REPORTING
The Board is responsible for the oversight of the ESG Strategy and ESG initiatives developed by 
management, including the integration of sustainability into Allied’s overall business strategy, the 
development of Allied’s Net Zero Carbon Plan and emissions reduction targets.  The Governance, 
Compensation and Nomination Committee (the “GC&NC”) oversees and monitors Allied’s ESG performance, 
including performance against Allied’s emissions reduction targets, and reviews Allied’s ESG Report, ESG 
Policy and other governance policies and practices annually.  Allied’s Executive ESG Committee assists 
management and the Board in defining, designing, implementing, expanding and evaluating Allied’s ESG 
Strategy and ESG initiatives.  
In June 2025, Allied published its 2024 ESG Report in accordance with the Global Reporting Initiative 
(“GRI”) 2021 Universal Standards, the SASB Real Estate Standard, the Task Force on Climate-related 
Financial Disclosures (“TCFD”) recommendations and the United Nations Sustainable Development Goals 
(“UN SDGs”).
Management reports to the Board at least once annually with respect to: (i) Allied’s ESG Strategy and ESG 
initiatives, including Allied’s progress in advancing its Net Zero Carbon Plan and performance against its 
emissions reduction targets; and (ii) climate risks and opportunities, Allied’s strategy for mitigating and 
addressing climate risks, and the status of Allied’s climate-related risk management measures.  The overview 
of relevant climate-related risks and opportunities, and the results of management’s scenario analysis, 
inform the Board’s review of Allied’s strategy, risk management and operating performance.
NET ZERO CARBON PATHWAY 
As part of its continuing decarbonization efforts, in 2024 Allied established near- and long-term greenhouse 
gas (“GHG”) emissions reduction targets for its rental and development portfolios in line with the Science 
Based Targets initiative (“SBTi”) and a 1. 5°C decarbonization pathway.  These targets were validated by the 
SBTi in May 2025.  Allied is implementing its multi-year plan to achieve its near- term targets by 2030.

15
ALLIED 2025 ANNUAL REPORT
ESG HIGHLIGHTS
Set Science-Based 
Emissions Reduction 
Targets (1)
Allied’s near- and long-term GHG 
emissions reduction targets were 
validated by the SBTi in May 2025.  
Received Global 
Recognition for 
ESG Performance
Allied was recognized in 2025 among 
Sustainalytics’ ESG Top-Rated 
Companies.
In its 2025 GRESB assessment, 
Allied achieved a score of 87 for its 
standing investments, three points 
above the prior year and eight points 
above the GRESB average.
Achieved Green 
Financing
In February 2025 and September 
2025, Allied issued green bonds 
under its Green Financing Framework 
totaling $900 million, raising a total 
of $2. 0 billion in green bonds to date.
Exceeded 
Environmental 
Reduction Targets (1)
In 2024, Allied exceeded its five-year 
environmental reduction targets for 
energy use intensity, greenhouse gas 
intensity, and water use intensity.
Increased Portfolio 
Certification from  
48% to 54%
Increased the percentage of Allied’s 
portfolio certified to LEED and/or 
BOMA BEST from 48% in 2024 to 
54% in 2025, with an aim to certify 
56% of its portfolio by 2028.
Advanced Commitment 
to Equity, Diversity and 
Inclusion (“EDI”)
Allied completed its inaugural EDI 
Roadmap in 2023 and developed 
its second EDI Roadmap in 2024.  
Feedback from Allied’s 2025 User 
Experience Assessment indicated 
that 96% of users are satisfied  
with its commitment to EDI.
Outperformed Peers 
in User Experience 
Assessment Ratings 
Score 
Sustained focus on user experience 
has led to an increase in Allied’s Net 
Promoter Score (2) by 31% compared 
to 2024, achieving 130% higher than 
the industry average in 2025.  
Supported over 
4,000 Artists
Allied has provided affordable 
workspace for over 4,000 artists 
in Calgary, Toronto and Montréal 
since 2022.
Recognized 
as a Canadian 
“Best Employer”  
in 2025
Since 2020, Allied has engaged 
Mercer (formerly Kincentric) to 
conduct a third-party employee 
engagement survey.  Allied was 
recognized as a “Best Employer”  
by Mercer in 2025, which is the  
fourth time Allied has received  
this recognition.
(1)	 For details of these targets, see Allied’s 2024 ESG Report, available on www.alliedreit.com.
(2)	 Net Promoter Score is a widely-used metric of user satisfaction and loyalty.

16
ALLIED 2025 ANNUAL REPORT
BUSINESS ENVIRONMENT AND OUTLOOK
OUTLOOK
A strengthened balance sheet from execution of the Action Plan creates the foundation from which expected 
higher occupancy can drive improved financial performance, support ongoing deleveraging, and position 
Allied for long-term growth as market fundamentals recover.  The below outlook is provided to help 
stakeholders understand management’s expectations for the periods indicated and may not be appropriate 
for other purposes.
Looking beyond 2026, as the Action Plan is fully executed and 2026 targets are achieved, Allied anticipates 
improved operating metrics driven by occupancy rates approaching historical averages.  The table below 
details management’s outlook for year-end 2026, 2027 and 2028 (the “Outlook”).  All figures assume that 
the proposed $350 million marketed public offering of Units (the “Offering”) and the proposed $150 million 
concurrent private placement of Units (the “Concurrent Private Placement”) will raise aggregate gross 
proceeds of $500 million with proceeds to be allocated to debt repayment.  
METRIC
2026 OUTLOOK
2027 OUTLOOK/ 
TARGET
2028 OUTLOOK/ 
TARGET
Occupied area by year-end
84% to 86% (1)
86% to 88%
88% to 90%
NOI (2)
$310 million to $320 million
-
-
Growth/(decline) in Same Asset 
NOI (2) (rental portfolio) 
(5.5%) to (6.5%)
12% to 16%
9% to 13%
FFO (2)(3)
$185 million to $200 million (4)
Growth of 7% to 10% (5)
Growth of 5% to 8%
Interest expense (6)
$145 million to $155 million
-
-
Capital expenditures
$180 million to $190 million 
(development, residential 
inventory, recurring rental 
portfolio)
-
-
Non-core, low-yielding property 
dispositions
~ $500 million aggregate 
gross proceeds
-
-
Net debt to EBITDA (2)(7)
Mid-11x range
Low 10x range
Low 9x range
(1)	 ~82% at the end of Q2 due to non-renewals.
(2)	 This is a non-GAAP measure. Refer to the “Non-GAAP Measures” section below.
(3)	 Excluding condominium related items, financing prepayment costs, and the mark-to-market adjustment on unit-based compensation.
(4)	 This includes $20 million of interest income from loans receivable on KING Toronto and 150 West Georgia.
(5)	 Excluding the $20 million of interest income from loans receivable on KING Toronto and 150 West Georgia in 2026, growth in 2027 is expected 
to be 18%-22%.
(6)	 Interest expense before capitalized interest and excluding distributions on Exchangeable LP Units is expected to be $175 million to $185 million.
(7)	 Net debt as a multiple of Annualized Adjusted EBITDA by year-end.

17
ALLIED 2025 ANNUAL REPORT
FORECAST ASSUMPTIONS
A comprehensive analysis of all aspects of the business was conducted by management in determining the 
Outlook.  Below are the key assumptions considered reasonable at this time:
KEY ASSUMPTIONS
Operating fundamentals
•	
Allied conducted a review on a unit-by-unit basis
•	
Vacant suites were assessed for timing of lease up and occupancy taking into account the 
state of the space and capital requirements, feedback from brokers, tour activity and lead 
time associated with lease negotiations
•	
No new development projects initiated
•	
No additional equity offering other than the Offering and Concurrent Private Placement in 
February 2026
Non-core, low-yielding property 
dispositions
•	
Allied continues to execute on its property disposition program totaling ~$500 million of 
gross proceeds
•	
$29 million closed in Q1 2026, $17 million is under firm agreement and expected to 
close by the end of Q1 2026, and ~$454 million is at various stages of marketing and 
targeted to close by year-end 2026
•	
Management is continuously evaluating additional properties for sale to support 
deleveraging objectives
General and administrative expenses
•	
Between $25 million and $30 million
Loans receivable
•	
Partial repayment of the 150 West Georgia loan receivable in December 2026 ($125 
million)
•	
The KING Toronto loan will be settled through a partial cash payment and conversion of 
equity in the commercial component resulting in Allied owning 100%
KING Toronto condo sale proceeds
•	
KING Toronto condo development project is ~92% pre-sold by unit count (405 units)
•	
Condo closings expected to occur between August 2026 and March 2027, with proceeds 
forecasted to be received in March 2027
•	
Allied’s share of expected condo proceeds of $245 million (net of HST and deposits)
•	
Proceeds used to fully repay construction loan
Financing
•	
The Offering and Concurrent Private Placement in February 2026 with proceeds to repay 
maturity of the $600 million Series H debentures, remainder to be funded with proceeds 
from non-core asset sales
•	
Net proceeds from the remaining non-core dispositions will be used to repay indebtedness
•	
Remaining debenture maturities forecasted to be refinanced at maturity based on market 
interest rates
Distribution
•	
$0.72/unit per year
Allied has assembled the largest and most concentrated portfolio of economically-productive, underutilized 
urban land in Canada, one that affords extraordinary mixed-use intensification potential in major cities 
going forward.  Allied believes deeply in the continued success of Canadian cities and has the platform and 
the breadth of funding relationships necessary to drive value in the coming years and decades for the benefit 
of its constituents.
The foregoing sections contain non-GAAP measures and forward-looking statements.  Management believes 
these combined results provide a more meaningful measure of financial performance for the periods 
presented.  Refer to Non-GAAP Measures and Forward-Looking Statements below.

18
ALLIED 2025 ANNUAL REPORT
NON-GAAP MEASURES
Readers are cautioned that certain terms used in the MD&A listed below, including any related per unit 
amounts, used by Management of Allied to measure, compare and explain the operating results and 
financial performance of Allied do not have any standardized meaning prescribed under IFRS Accounting 
Standards and, therefore, should not be construed as alternatives to net income, cash flow from operating 
activities, or any other measure prescribed under IFRS Accounting Standards.  These terms are defined in 
the following table and reconciliations to the most comparable IFRS Accounting Standards measure are 
referenced, as applicable.  The following terms do not have a standardized meaning prescribed by IFRS 
Accounting Standards and may not be comparable to similarly titled measures presented by other publicly 
traded entities.
NON-GAAP MEASURE
DEFINITION
RECONCILIATION
Allied’s proportionate 
share or proportionate 
basis
All references to “proportionate share” or “proportionate basis” refer 
to a non-GAAP financial measure representing Allied’s proportionate 
share of equity accounted investments. Allied applies the equity 
method of accounting to its joint venture, the 7th Avenue Sky 
Partnership (the “TELUS Sky Partnership”), as prescribed under IFRS 
Accounting Standards. Management presents the proportionate share 
of its interests in joint arrangements that are accounted for using the 
equity method as it is viewed as relevant in demonstrating Allied’s 
performance and is the basis of many of Allied’s key performance 
measures.
Section II -  
Operations,  
Section VI -  
Liquidity and 
Capital Resources
Funds from Operations 
(“FFO”) (1)
FFO is a non-GAAP financial measure used by most Canadian real 
estate investment trusts based on a standardized definition established 
in REALPAC’s “Funds From Operations (FFO) & Adjusted Funds From 
Operations (AFFO) for IFRS” issued in January 2022. FFO is defined 
as net income and comprehensive income less certain adjustments, 
on a proportionate basis, including fair value changes in investment 
properties, investment properties held for sale, Exchangeable LP Units 
and derivative instruments, impairment, transaction costs, incremental 
leasing costs, distributions on Exchangeable LP Units as they are 
puttable instruments classified as financial liabilities, expected credit 
loss on loans and notes receivable, amortization of improvement 
allowances and amortization of property, plant and equipment which 
relates to owner-occupied property. FFO is reconciled to net income and 
comprehensive income, which is the most directly comparable GAAP 
measure. Management believes FFO is a key measure of operating 
performance.
Section II -  
Operations -  
Other Financial  
Performance Measures
FFO excluding 
condominium costs, 
financing prepayment 
costs and the mark-to-
market adjustment on  
unit-based compensation (1)
FFO excluding condominium-related items, financing prepayment 
costs and the mark-to-market adjustment on unit-based compensation 
starts with FFO and removes the effects of condominium revenue, 
condominium cost of sales, condominium marketing costs, financing 
prepayment costs and the mark-to-market adjustment on unit-based 
compensation. FFO excluding condominium-related items, financing 
prepayment costs and the mark-to-market adjustment on unit-based 
compensation is reconciled to net income and comprehensive income, 
which is the most directly comparable GAAP measure. Management 
believes this is a useful measure as these condominium and 
financing prepayment items are not indicative of recurring operating 
performance, and the mark-to-market adjustments of unit-based 
compensation can fluctuate widely with the market.
Section II -  
Operations -  
Other Financial  
Performance Measures 

19
ALLIED 2025 ANNUAL REPORT
NON-GAAP MEASURE
DEFINITION
RECONCILIATION
Adjusted Funds from 
Operations (“AFFO”)(1)
AFFO is a non-GAAP financial measure used by most Canadian real 
estate investment trusts based on a standardized definition established 
in REALPAC’s “Funds From Operations (FFO) & Adjusted Funds From 
Operations (AFFO) for IFRS” issued in January 2022. AFFO is defined as 
FFO less amortization of straight-line rent, regular leasing expenditures, 
regular and recoverable maintenance capital expenditures, and 
incremental leasing costs (related to regular leasing expenditures). 
AFFO is reconciled to net income and comprehensive income, which is 
the most directly comparable GAAP measure. Management considers 
AFFO to be a useful measure of recurring economic earnings and 
relevant in understanding Allied’s ability to service its debt, fund capital 
expenditures and provide distributions to Unitholders.
Section II -  
Operations -  
Other Financial  
Performance Measures
AFFO excluding 
condominium-related 
items, financing 
prepayment costs and 
the mark-to-market 
adjustment on unit-based 
compensation (1)
AFFO excluding condominium-related items, financing prepayment 
costs and the mark-to-market adjustment on unit-based compensation 
starts with AFFO and removes the effects of condominium revenue, 
condominium cost of sales, condominium marketing costs, financing 
prepayment costs and the mark-to-market adjustment on unit-based 
compensation. AFFO excluding condominium-related items, financing 
prepayment costs and the mark-to-market adjustment on unit-based 
compensation is reconciled to net income and comprehensive income, 
which is the most directly comparable GAAP measure. Management 
believes this is a useful measure as these condominium and financing 
prepayment items are not indicative of recurring economic earnings, 
and the mark-to-market adjustments of unit-based compensation can 
fluctuate widely with the market.
Section II -  
Operations -  
Other Financial  
Performance Measures
Net income excluding 
fair value adjustments, 
transaction costs, 
financing prepayment 
costs, impairment and 
expected credit loss 
on loans and notes 
receivable (2)
Net income excluding fair value adjustments, transaction costs, 
financing prepayment costs, impairment and expected credit loss on 
loans and notes receivable is a non-GAAP financial measure that starts 
with net income and removes the effects of fair value gains or losses 
on investment properties and investment properties held for sale, 
Exchangeable LP Units, or derivative instruments, the mark-to-market 
adjustment on unit-based compensation, transaction costs, financing 
prepayment costs, impairment and expected credit loss on loans and 
notes receivable on a GAAP basis. Management considers this to be a 
useful measure of operating performance, as fair value adjustments 
can fluctuate widely with the market, and transaction costs, financing 
prepayment costs, impairment and expected credit loss on loans and 
notes receivable are non-recurring in nature.
Section II -  
Operations
Net Rental Income (“NRI”)
NRI is a non-GAAP financial measure defined as rental revenue 
less property operating costs on a proportionate basis. It excludes 
condominium revenue and condominium cost of sales. The most 
directly comparable GAAP measure is operating income. Management 
considers NRI to be a useful measure of the operating performance of 
its rental properties portfolio.
Section II -  
Operations -  
Net Operating Income 
Net Operating Income 
(“NOI”)
NOI is a non-GAAP financial measure defined as NRI excluding the 
impact of non-cash items such as amortization of improvement 
allowances and the amortization of straight-line rents on a 
proportionate basis. The most directly comparable GAAP measure to 
NOI is Operating Income. Management believes this is a useful measure 
as it demonstrates the cash generating operating performance of its 
income producing properties.
Section II -  
Operations -  
Net Operating Income

20
ALLIED 2025 ANNUAL REPORT
NON-GAAP MEASURE
DEFINITION
RECONCILIATION
Same Asset NOI
Same Asset NOI is a non-GAAP measure defined as NOI for the 
properties that Allied owned and operated for the entire duration of 
both the current and comparative period on a proportionate basis. 
The most directly comparable GAAP measure to Same Asset NOI is 
Operating Income. Management believes this is a useful measure as 
NOI growth can be assessed on its portfolio excluding the impact of 
acquisition and disposition activities. Allied uses Same Asset NOI to 
evaluate the performance of its properties.
Section II -  
Operations -  
Same Asset NOI
Gross Book Value (“GBV”)
GBV is a non-GAAP measure defined as the total assets of Allied on a 
proportionate basis. The most directly comparable GAAP measure to 
GBV is total assets. Management believes GBV is a useful measure to 
assess the growth in Allied’s total portfolio of rental and development 
properties.
N/A
Unencumbered investment 
properties
Unencumbered investment properties is a non-GAAP measure defined 
as the fair value of investment properties which are free and clear of 
any encumbrances. This is calculated on a proportionate basis. The 
most directly comparable GAAP measure to unencumbered investment 
properties is investment properties.
Management believes unencumbered investment properties is a useful 
measure to assess the borrowing capacity of Allied.
N/A
Cost of Properties Under 
Development (“PUD”) as  
a percentage of GBV
Cost of PUD as a percentage of GBV is a non-GAAP measure defined 
as the book value of Allied’s properties under development, on a 
proportionate basis, divided by the GBV at period-end. Management 
believes this is a useful metric in assessing development risk. Allied has 
a limit of 15% as outlined in its Declaration of Trust.
N/A
Adjusted Earnings 
Before Interest, 
Taxes, Depreciation 
and Amortization 
(“Adjusted EBITDA”) (1)
and
Annualized Adjusted 
EBITDA(1)
Adjusted EBITDA is a non-GAAP measure calculated on a proportionate 
basis comprised of earnings before interest expense, income taxes, 
depreciation and amortization expense (including amortization of 
improvement allowances), impairment, expected credit loss on loans 
and notes receivable, transaction costs, gains and losses on disposal 
of investment properties and the fair value gains or losses associated 
with investment properties and investment properties held for 
sale, Exchangeable LP Units, financial instruments, and unit-based 
compensation.
Annualized Adjusted EBITDA is a non-GAAP measure calculated as the 
Adjusted EBITDA for the current period annualized. 
The most directly comparable GAAP measure to Adjusted EBITDA and 
Annualized Adjusted EBITDA is net income and comprehensive income. 
Management believes Adjusted EBITDA and Annualized Adjusted 
EBITDA are useful metrics to determine Allied’s ability to service its 
debt, finance capital expenditures and provide distributions to its 
Unitholders.
Section II -  
Operations -  
Other Financial  
Performance Measures 
Net debt
Net debt is a non-GAAP measure, calculated on a proportionate 
basis, as debt less cash, cash equivalents and a deposit Management 
considers to be cash equivalent. The most directly comparable GAAP 
measure to net debt is debt. Management considers net debt a useful 
measure for evaluating debt levels.
Section VI -  
Liquidity and  
Capital Resources -  
Debt

21
ALLIED 2025 ANNUAL REPORT
NON-GAAP MEASURE
DEFINITION
RECONCILIATION
Net debt as a multiple 
of Annualized Adjusted 
EBITDA(1)
Net debt as a multiple of Annualized Adjusted EBITDA is a non-GAAP 
measure of Allied’s financial leverage and is defined as net debt divided 
by Annualized Adjusted EBITDA. This measure indicates the number 
of years required for Allied’s Annualized Adjusted EBITDA to repay 
all outstanding debts, taking into consideration the cash on hand to 
decrease debt. Management considers this metric a useful measure for 
evaluating Allied’s ability to service its debt.
N/A
FFO and AFFO Payout 
Ratios (1)
and 
FFO and AFFO Payout 
Ratios excluding 
condominium-related 
items, financing 
prepayment costs and 
the mark-to-market 
adjustment on unit-based 
compensation(1)
FFO and AFFO payout ratios and FFO and AFFO payout ratios excluding 
condominium-related items, financing prepayment costs and the 
mark-to-market adjustment on unit-based compensation are non-GAAP 
measures.
These payout ratios are calculated by dividing the actual distributions 
declared (excluding any special distributions declared in cash or Units, 
as applicable) by FFO, AFFO and FFO and AFFO excluding condominium-
related items, financing prepayment costs and the mark-to-market 
adjustment on unit-based compensation in a given period.
Management considers these metrics a useful way to evaluate Allied’s 
distribution paying capacity.
N/A
Interest Coverage Ratio (1)
and
Interest Coverage 
Ratio including interest 
capitalized (1)
and
Interest Coverage 
Ratio including interest 
capitalized and excluding 
financing prepayment 
costs(1)
Interest coverage ratio, interest coverage ratio including interest 
capitalized, and interest coverage ratio including interest capitalized 
and excluding financing prepayment costs are non-GAAP measures 
calculated on a trailing three-month basis and twelve-month basis.
Interest coverage ratio is defined as Adjusted EBITDA divided by 
interest expense excluding the distributions on Exchangeable LP Units 
which are recognized as interest expense.
Interest coverage ratio including interest capitalized is defined as 
Adjusted EBITDA divided by interest expense with interest capitalized 
included. The interest expense excludes the distributions on the 
Exchangeable LP Units, which are recognized as interest expense.
Interest coverage ratio including interest capitalized and excluding 
financing prepayment costs is defined as Adjusted EBITDA divided 
by interest expense with interest capitalized included and financing 
prepayment costs excluded. The interest expense excludes the 
distributions on Exchangeable LP Units which are recognized as 
interest expense.
Management considers these metrics useful as they indicate Allied’s 
ability to meet its interest cost obligations.
N/A
Total Indebtedness Ratio
or 
Total Debt Ratio
Total indebtedness ratio or total debt ratio is a non-GAAP measure of 
Allied’s financial leverage, which is calculated on a proportionate basis 
by taking debt plus outstanding letters of credit divided by total assets. 
Management considers this metric useful as it indicates Allied’s ability 
to meet its debt obligations.
Section V -  
Asset Profile
(1)	 The composition of this non-GAAP financial measure changed from the prior period to adjust for expected credit loss on loans and notes 
receivable as they are non-recurring.
(2)	 The label and composition of this non-GAAP financial measure changed from the prior period to adjust for expected credit loss on loans and 
notes receivable as they are non-recurring.

22
ALLIED 2025 ANNUAL REPORT
FORWARD-LOOKING STATEMENTS
Certain information included in this MD&A contains forward-looking statements within the meaning of 
applicable securities laws, including, among other things, statements concerning the Outlook, economic 
conditions, market conditions, market trends, Allied’s growth or financial targets to achieve in 2026, 2027 
and 2028, statements with respect to management of Allied’s beliefs, plans, estimates and intentions and 
statements concerning anticipated future events, circumstances, expectations, results, operations or 
performance that are not historical facts, and the assumptions underlying any of the foregoing.  Forward-
looking statements can be identified generally by the use of forward-looking terminology, such as “forecast”, 
“goals”, “outlook”, “may”, “will”, “expect”, “estimate”, “anticipate”, “intends”, “believe”, “assume”, 
“plans”, “continue” or similar expressions suggesting future outcomes or events.  In particular, certain 
statements in Section I - Overview, under the headings “Business Overview and Strategy”, “Focus and 
Definition”, “Vision and Mission”, “Environmental, Social and Governance” and “Business Environment 
and Outlook”, Section II - Operations, under the heading “Other Financial Performance Measures”, Section 
III - Leasing, under the headings “Status” and “Lease Maturity”, Section V - Asset Profile, under the headings 
“Rental Properties” and “Development Properties”, Section VI - Liquidity and Capital Resources and Section 
IX - Risks and Uncertainties, constitute forward-looking information.  Forward-looking statements in this 
MD&A include, but are not limited to, statements regarding: the anticipated completion of the Offering and 
Concurrent Private Placement and the intended use of its net proceeds; timing for successful execution of 
the Action Plan and the results of the Action Plan; market recovery in 2026 and beyond; increases to Allied’s 
annual NOI due to development activities; Allied’s ability to maintain its distribution commitment at current 
levels; expected timing and results of the non-core property dispositions in its portfolio and the closings 
thereof; anticipated use of proceeds from the non-core property dispositions; expected enhancements to 
the productivity of Allied’s national portfolio of urban income-producing properties; expected ongoing 
strengthening of Allied’s debt-metrics; expected capital expenditure and allocation; completion of 
construction and lease-up in connection with Properties Under Development (“PUDs”); the creation of 
future value; expected occupied area; estimated gross leasable area (“GLA”), expected same asset NOI; 
expected NOI; expected FFO per unit and AFFO per unit; expected timing and amount on the repayment 
of the 150 West Georgia loan receivable; expected net debt to annualized adjusted EBITDA; expected 
interest expense; expected general and administrative expenses; expected capital expenditures; timing 
of the KING Toronto condominiums closing and the forecasted proceeds; KING Toronto loan receivable’s 
settlement through a partial cash payment and conversion to equity in the commercial component 
resulting in Allied owning 100%; estimated NOI and growth from PUDs; estimated costs of PUDs; estimated 
gross proceeds from the sale of residential inventory; future economic occupancy; yield on cost of PUDs; 
estimated GLA on completion of PUDs; anticipated rental rates; lease up of our intensification projects; 
timing of PUDs transferring to the rental portfolio; targets for LEED and/or BOMA certification; targets on 
its GHG emissions; our ability to achieve risk-adjusted returns on intensification; our expectations regarding 
the timing of development of potential incremental density; receipt of municipal approval for value-
creation projects, including intensifications; Management’s expectations regarding future distributions; 
and completion of future financings and availability of capital.  Such forward-looking statements reflect 
Management’s current beliefs and are based on information currently available to Management.

23
ALLIED 2025 ANNUAL REPORT
The forward-looking statements in this MD&A are not guarantees of future results, operations or 
performance and are based on estimates and assumptions that are subject to risks and uncertainties, 
including those described in Section IX - Risks and Uncertainties, which could cause actual results, 
operations or performance to differ materially from the forward-looking statements in this MD&A.  Those 
risks and uncertainties include risks associated with joint arrangements and partnerships, availability of 
cash flow and distributions, execution of the Action Plan and Financial Outlook, financing, covenant and 
interest rate risk, access to capital, general and adverse global market, economic and political conditions 
including tariffs and other trade protection measures and the effect an economic slowdown may have on 
market conditions and lease rates in the jurisdictions in which we operate, development and construction, 
the financial condition of residential tenants and condominium purchasers, demand for condominiums 
and rental residential, condominium purchasers defaulting on their obligations to close, unexpected costs 
or liabilities related to acquisitions, lease roll-over, user terminations and financial stability, competition 
for users, unit-based compensation liabilities, potential volatility of Unit prices, credit ratings, dilution 
from issuance or future sales of securities, reliance on key personnel, valuation of properties, unexpected 
or ongoing geopolitical events, data and privacy, cybersecurity, taxation and legislative changes, general 
uninsured losses, environmental and climate change, and public health crises.  Material assumptions that 
were made in formulating the forward-looking statements in this MD&A include the following: that our 
current target markets remain stable, with no material increase in supply of directly-competitive office 
space; that there is continued demand for development office space; that acquisition capitalization rates 
remain reasonably constant; that the trend toward intensification within our target markets continues; and 
that the equity and debt markets provide us with access to capital at a reasonable cost to fund our future 
growth and potentially refinance our debt as it matures.  Although the forward-looking statements contained 
in this MD&A are based on what Management believes are reasonable assumptions, there can be no 
assurance that actual results, operations or performance will be consistent with these statements.
All forward-looking statements in this MD&A are qualified in their entirety by this forward-looking 
disclaimer.  Without limiting the generality of the foregoing, the discussion in Section I - Overview, Section 
II - Operations, Section III - Leasing, Section V - Asset Profile and Section VI - Liquidity and Capital Resources 
are qualified in their entirety by this forward-looking disclaimer.  These statements are made as of February 
10, 2026, and, except as required by applicable law, Allied undertakes no obligation to update publicly or 
revise any such statements to reflect new information or the occurrence of future events or circumstances.

24
ALLIED 2025 ANNUAL REPORT
Section II
—Operations
Allied’s operating platform is built on its concentration of distinctive urban workspace, focused strategy and 
integrated team.  

25
ALLIED 2025 ANNUAL REPORT
NET INCOME AND COMPREHENSIVE INCOME
The following table reconciles the consolidated statements of loss and comprehensive loss from a GAAP 
basis to a proportionate basis, which is a non-GAAP measure, for the three months and years ended 
December 31, 2025, and December 31, 2024, as defined on page 18.  
There is an additional table to reconcile net loss and comprehensive loss to net income excluding fair value 
adjustments, transaction costs, financing prepayment costs, impairment and expected credit loss on loans 
and notes receivable, a non-GAAP measure, for the three months and years ended December 31, 2025, and 
December 31, 2024, as defined on page 18.  
On December 19, 2024, the TELUS Sky Partnership (in which Allied owns a one-third interest) sold the 
commercial component of TELUS Sky and Calgary House - 655 Centre Street SW, which was previously 
known as the residential component of TELUS Sky.  Accordingly, the TELUS Sky Partnership no longer 
owns any interest in TELUS Sky after this disposition.  Refer to notes 4 and 7 in Allied’s audited consolidated 
financial statements for the years ended December 31, 2025, and December 31, 2024, for further details.  

26
ALLIED 2025 ANNUAL REPORT
THREE MONTHS ENDED
DECEMBER 31, 2025
DECEMBER 31, 2024
GAAP BASIS
INVESTMENT 
IN JOINT 
VENTURE
PROPORTIONATE 
BASIS
GAAP 
BASIS
INVESTMENT 
IN JOINT 
VENTURE
PROPORTIONATE 
BASIS
Rental revenue
$148,766
$—
$148,766
$155,120
$2,064
$157,184
Property operating costs
(73,714)
—
(73,714)
(70,737)
(1,246)
(71,983)
Operating income
$75,052
$—
$75,052
$84,383
$818
$85,201
Interest income
10,632
—
10,632
10,393
14
10,407
Interest expense
(36,464)
—
(36,464)
(31,743)
—
(31,743)
General and 
administrative expenses
(4,527)
—
(4,527)
(8,374)
—
(8,374)
Condominium marketing 
expenses
(21)
—
(21)
(17)
—
(17)
Amortization of other 
assets
(504)
—
(504)
(388)
(43)
(431)
Transaction costs
(3,690)
—
(3,690)
(1,586)
(80)
(1,666)
Net income from joint 
venture
—
—
—
105
(105)
—
Fair value loss on 
investment properties 
and investment 
properties held for sale
(1,014,137)
—
(1,014,137)
(346,035)
(604)
(346,639)
Fair value gain on 
Exchangeable LP Units
87,034
—
87,034
36,254
—
36,254
Fair value gain (loss) on 
derivative instruments
2,882
—
2,882
(644)
—
(644)
Expected credit loss 
on loans and notes 
receivable
(128,000)
—
(128,000)
—
—
—
Impairment of residential 
inventory
—
—
—
—
—
—
Net loss and  
comprehensive loss
$(1,011,743)
$—
$(1,011,743)
$(257,652)
$—
$(257,652)

27
ALLIED 2025 ANNUAL REPORT
THREE MONTHS ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Net loss and comprehensive loss
$(1,011,743)
$(257,652)
Fair value loss on investment properties and investment properties held for sale
1,014,137
346,035
Fair value gain on Exchangeable LP Units
(87,034)
(36,254)
Fair value (gain) loss on derivative instruments
(2,882)
644
Mark-to-market adjustment on unit-based compensation
(1,925)
1,834
Transaction costs
3,690
1,586
Financing prepayment costs
—
501
Expected credit loss on loans and notes receivable
128,000
—
Impairment of residential inventory
—
—
Net income excluding fair value adjustments, transaction costs, financing 
prepayment costs, impairment and expected credit loss on loans and notes 
receivable
$42,243
$56,694
On a GAAP basis, operating income for the three months ended December 31, 2025, decreased by $9,331 
or 11. 1% from the comparable period.  The decrease was primarily attributable to dispositions and non-
renewals.  These decreases were partially offset by rent commencement from development completions at 
1001 Boulevard Robert-Bourassa, RCA Building - 1001 Lenoir and Toronto House, net of decapitalization of 
operating costs as space became ready for its intended use.
On a GAAP basis, net loss and comprehensive loss for the three months ended December 31, 2025, increased 
by $754,091 from the comparable period.  The increase was driven primarily by a higher fair value loss on 
investment properties and investment properties held for sale of $668,102 and an expected credit loss on 
loans and notes receivable of $128,000.  Additional contributing factors included lower operating income of 
$9,331, and higher interest expense of $4,721.  These increases were partially offset by a higher fair value gain 
on Exchangeable LP Units of $50,780, a higher fair value gain on derivative instruments of $3,526, and lower 
general and administrative expenses of $3,847 (including a higher mark-to-market recovery on unit-based 
compensation of $3,759).

28
ALLIED 2025 ANNUAL REPORT
YEAR ENDED
DECEMBER 31, 2025
DECEMBER 31, 2024
GAAP BASIS
INVESTMENT 
IN JOINT 
VENTURE
PROPORTIONATE 
BASIS
GAAP 
BASIS
INVESTMENT 
IN JOINT 
VENTURE
PROPORTIONATE 
BASIS
Rental revenue
$592,379
$—
$592,379
$592,040
$7,716
$599,756
Property operating costs
(275,415)
—
(275,415)
(263,566)
(5,239)
(268,805)
Operating income
$316,964
$—
$316,964
$328,474
$2,477
$330,951
Interest income
41,402
—
41,402
45,069
40
45,109
Interest expense
(135,453)
—
(135,453)
(116,467)
—
(116,467)
General and 
administrative expenses
(24,666)
—
(24,666)
(24,333)
—
(24,333)
Condominium marketing 
expenses
(39)
—
(39)
(134)
—
(134)
Amortization of other 
assets
(1,879)
—
(1,879)
(1,538)
(204)
(1,742)
Transaction costs
(5,349)
—
(5,349)
(1,722)
(80)
(1,802)
Net income from joint 
venture
—
—
—
1,842
(1,842)
—
Fair value loss on 
investment properties 
and investment properties 
held for sale
(1,408,235)
—
(1,408,235)
(557,569)
(391)
(557,960)
Fair value gain on 
Exchangeable LP Units
44,639
—
44,639
35,782
—
35,782
Fair value loss on 
derivative instruments
(2,996)
—
(2,996)
(13,675)
—
(13,675)
Expected credit loss 
on loans and notes 
receivable
(128,000)
—
(128,000)
—
—
—
Impairment of residential 
inventory
(23,920)
—
(23,920)
(38,259)
—
(38,259)
Net loss and 
comprehensive loss
$(1,327,532)
$—
$(1,327,532)
$(342,530)
$—
$(342,530)

29
ALLIED 2025 ANNUAL REPORT
YEAR ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Net loss and comprehensive loss
$ (1,327,532)
$(342,530)
Fair value loss on investment properties and investment properties held for sale
1,408,235
557,569
Fair value gain on Exchangeable LP Units
(44,639)
(35,782)
Fair value loss on derivative instruments
2,996
13,675
Mark-to-market adjustment on unit-based compensation
(24)
(107)
Transaction costs
5,349
1,722
Financing prepayment costs
734
501
Expected credit loss on loans and notes receivable
128,000
—
Impairment of residential inventory
23,920
38,259
Net income excluding fair value adjustments, transaction costs, financing 
prepayment costs, impairment and expected credit loss on loans and notes 
receivable
$197,039
$233,307
On a GAAP basis, operating income for the year ended December 31, 2025, decreased by $11,510 or 3. 5% 
from the comparable period.  The decrease was primarily attributable to dispositions, non-renewals, and 
lower development fees from the completion of the The Well project.  These decreases were partially 
offset by rent commencement from development completions at 1001 Boulevard Robert-Bourassa, QRC 
West Phase II and Toronto House, net of decapitalization of operating costs as space became ready for its 
intended use.  In addition, there were contributions from acquisition of incremental interests in 19 Duncan, 
400 West Georgia, Calgary House and Toronto House.
On a GAAP basis, net loss and comprehensive loss for the year ended December 31, 2025, increased by 
$985,002 from the comparable period.  The increase was driven primarily by a higher fair value loss on 
investment properties and investment properties held for sale of $850,666 and an expected credit loss on 
loans and notes receivable of $128,000.  Additional contributing factors included higher interest expense of 
$18,986, lower operating income of $11,510, lower interest income of $3,667, and higher transaction costs of 
$3,627.  These increases were partially offset by a lower impairment loss on residential inventory of $14,339, 
a lower fair value loss on derivative instruments of $10,679, and a higher fair value gain on Exchangeable LP 
Units of $8,857.

30
ALLIED 2025 ANNUAL REPORT
NET OPERATING INCOME
Allied operates in five urban markets, which are Montréal, Toronto, Kitchener, Calgary and Vancouver.  
On December 18, 2024, Allied disposed of its Ottawa properties.  On April 30, 2025, Allied disposed of its 
Edmonton property.  For the purpose of analyzing NOI, Allied groups the cities by geographic location.  
The following table reconciles operating income to net operating income, a non-GAAP measure, as defined 
on page 18:
THREE MONTHS ENDED
YEAR ENDED
DECEMBER 31, 
2025
DECEMBER 31, 
2024
DECEMBER 31, 
2025
DECEMBER 31, 
2024
Operating income, GAAP basis
$75,052
$84,383
$316,964
$328,474
Add: investment in joint venture
—
818
—
2,477
Operating income, proportionate basis
$75,052
$85,201
$316,964
$330,951
Amortization of improvement allowances (1)
9,673
9,300
37,762
37,753
Amortization of straight-line rent (1)
(1,370)
(1,702)
(3,409)
(7,600)
Total NOI
$83,355
$92,799
$351,317
$361,104
(1)	 Includes Allied’s proportionate share of the equity accounted investment of the following amounts for the three months and year ended 
December 31, 2025: amortization improvement allowances of $nil and $nil, respectively (December 31, 2024 - $189 and $778, respectively),  
and amortization of straight-line rent of $nil and $nil, respectively (December 31, 2024 - $(38) and $(190), respectively). 

31
ALLIED 2025 ANNUAL REPORT
The following tables set out the NOI by segment and space type for the three months and years ended 
December 31, 2025, and 2024:
THREE MONTHS ENDED 
CHANGE
SEGMENT
DECEMBER 31,  
2025
DECEMBER 31,  
2024
$
%
Montréal & Ottawa (1)
$27,907
33.5%
$28,804
31. 0%
$(897)
(3. 1)%
Toronto & Kitchener
41,387
49.6
48,090
51. 9
(6,703)
(13. 9)
Calgary & Edmonton (2)
3,237
3.9
4,209
4. 5
(972)
(23. 1)
Vancouver
10,824
13.0
11,696
12. 6
(872)
(7. 5)
Total NOI
$83,355
100.0%
$92,799
100. 0%
$(9,444)
(10. 2)%
(1)	 On December 18, 2024, Allied disposed of its Ottawa properties.
(2)	 On April 30, 2025, Allied disposed of its Edmonton property.
THREE MONTHS ENDED 
CHANGE
TYPE OF SPACE
DECEMBER 31,  
2025
DECEMBER 31,  
2024
$
%
Office
$67,169
80.5%
$75,288
81. 1%
$(8,119)
(10. 8)%
Retail
10,800
13.0
11,707
12. 6
(907)
(7. 7)
Parking
5,386
6.5
5,804
6. 3
(418)
(7. 2)
Total NOI
$83,355
100.0%
$92,799
100. 0%
$(9,444)
(10. 2)%
The NOI for the three months ended December 31, 2025, decreased by $9,444 or 10. 2% from the comparable 
period.  Of this decrease, $10,863 was due to dispositions, non-renewals, lower development fees from 
the completion of The Well project, and re-assessment on The Well and Toronto House’s supplementary 
realty taxes.  This was partially offset by $1,865 due to rent commencement from development completions 
at 20 Breithaupt, 1001 Boulevard Robert-Bourassa, RCA Building - 1001 Lenoir and Toronto House, net of 
decapitalization of operating costs as space became ready for its intended use.  

32
ALLIED 2025 ANNUAL REPORT
YEAR ENDED
CHANGE
SEGMENT
DECEMBER 31,  
2025
DECEMBER 31,  
2024
$
%
Montréal & Ottawa (1)
$113,143
32.2%
$117,227
32. 5%
$(4,084)
(3. 5)%
Toronto & Kitchener
179,058
51.0
184,401
51. 1
(5,343)
(2. 9)
Calgary & Edmonton (2)
15,830
4.5
18,550
5. 1
(2,720)
(14. 7)
Vancouver
43,286
12.3
40,926
11. 3
2,360
5. 8
Total NOI
$351,317
100.0%
$361,104
100. 0%
$(9,787)
(2. 7)%
(1)	 On December 18, 2024, Allied disposed of its Ottawa properties. 
(2)	 On April 30, 2025, Allied disposed of its Edmonton property. 
YEAR ENDED
CHANGE
TYPE OF SPACE
DECEMBER 31,  
2025
DECEMBER 31,  
2024
$
%
Office
$283,725
80.7%
$294,148
81. 4%
$(10,423)
(3. 5)%
Retail
45,543
13.0
43,970
12. 2
1,573
3. 6
Parking
22,049
6.3
22,986
6. 4
(937)
(4. 1)
Total NOI
$351,317
100.0%
$361,104
100. 0%
$(9,787)
(2. 7)%
The NOI for the year ended December 31, 2025, decreased by $9,787 or 2. 7% from the comparable 
period.  Of this decrease, $25,268 was due to dispositions, non-renewals, and lower development fees 
from the completion of The Well project.  This was partially offset by $7,399 of rent commencement from 
development completions at 20 Breithaupt, 700 Saint-Hubert, 1001 Boulevard Robert-Bourassa, RCA 
Building - 1001 Lenoir, QRC West Phase II, and Toronto House, net of decapitalization of operating costs as 
space became ready for its intended use.  In addition, there were contributions related to the acquisition 
of incremental interests of $7,706 from 19 Duncan, 400 West Georgia, Calgary House and Toronto House, 
and $2,080 from a lease termination fee received to accommodate an expansion of a long-term user at 1001 
Boulevard Robert-Bourassa.

33
ALLIED 2025 ANNUAL REPORT
SAME ASSET NOI
Same Asset NOI, a non-GAAP measure shown in the table below, refers to investment properties that were 
owned by Allied from October 1, 2024, to December 31, 2025, as defined on page 18.  Same Asset NOI of 
the development portfolio for the three months ended December 31, 2025, consists of 108 East 5th Avenue, 
185 Spadina, 422-424 Wellington W, KING Toronto, Kipling Square, and portions of 375 Water, 469 King 
West, 700 Saint-Hubert, 747 Square-Victoria, 1001 Boulevard Robert-Bourassa, RCA Building - 1001 Lenoir 
Street, The Well, and Toronto House.
THREE MONTHS ENDED
CHANGE
DECEMBER 31, 
2025
DECEMBER 31, 
2024
$
%
Montréal
$26,651
$26,137
$514
2. 0%
Toronto & Kitchener
40,933
43,743
(2,810)
(6. 4)
Calgary
3,074
3,107
(33)
(1. 1)
Vancouver
10,272
11,364
(1,092)
(9. 6)
Rental portfolio - Same Asset NOI
$80,930
$84,351
$(3,421)
(4. 1)%
Assets held for sale - Same Asset NOI 
289
633
(344)
(54. 3)
Rental portfolio and assets held for sale - 
Same Asset NOI
$81,219
$84,984
$(3,765)
(4. 4)%
Development portfolio - Same Asset NOI
(776)
531
(1,307)
(246. 1)
Total portfolio - Same Asset NOI
$80,443
$85,515
$(5,072)
(5. 9)%
Acquisitions
540
335
205
Dispositions
950
3,244
(2,294)
Lease terminations
90
—
90
Development fees and corporate items
1,332
3,705
(2,373)
Total NOI
$83,355
$92,799
$(9,444)
(10. 2)%
Same Asset NOI of the total portfolio decreased by $5,072 or 5. 9% and Same Asset NOI of the rental portfolio 
decreased by $3,421 or 4. 1% for the three months ended December 31, 2025.  Of this decrease, $3,938 was 
due to non-renewals, primarily at QRC West - 134 Peter and 555 Richmond in Toronto, and collection of a 
bad debt in the comparable period in Vancouver.  This was partially offset by rent commencement at 700 
Saint-Hubert, 1001 Boulevard Robert-Bourassa and the RCA Building - 1001 Lenoir Street in Montréal of 
$1,196.
Same Asset NOI of the development portfolio decreased by $1,307 or 246. 1%, primarily due to lower NOI 
during periods of development activity within the portfolio and decapitalization of operating costs as space 
became ready for its intended use.

34
ALLIED 2025 ANNUAL REPORT
Same Asset NOI, a non-GAAP measure shown in the table below, refers to investment properties owned by 
Allied from January 1, 2024, to December 31, 2025.  Same Asset NOI of the development portfolio for the 
year ended December 31, 2025, consists of 108 East 5th Avenue, 185 Spadina, 422-424 Wellington W, KING 
Toronto, Kipling Square, QRC West Phase II, Toronto House, and portions of 375 Water, 469 King West, 700 
Saint-Hubert, 747 Square-Victoria, 1001 Boulevard Robert-Bourassa, RCA Building - 1001 Lenoir Street and 
The Well.  
YEAR ENDED
CHANGE
DECEMBER 31, 
2025
DECEMBER 31, 
2024
$
%
Montréal
$103,522
$100,947
$2,575
2. 6%
Toronto & Kitchener
158,834
163,801
(4,967)
(3. 0)
Calgary
14,474
13,756
718
5. 2
Vancouver
26,781
28,852
(2,071)
(7. 2)
Rental portfolio - Same Asset NOI
$303,611
$307,356
$(3,745)
(1. 2)%
Assets held for sale - Same Asset NOI
2,027
2,660
(633)
(23. 8)
Rental portfolio and assets held for sale -  
Same Asset NOI
$305,638
$310,016
$(4,378)
(1. 4)%
Development portfolio - Same Asset NOI
11,307
10,670
637
6. 0
Total portfolio - Same Asset NOI 
$316,945
$320,686
$(3,741)
(1. 2)%
Acquisitions
20,679
12,973
7,706
Dispositions
5,469
17,641
(12,172)
Lease terminations
2,244
28
2,216
Development fees and corporate items
5,980
9,776
(3,796)
Total NOI
$351,317
$361,104
$(9,787)
(2. 7)%
Same Asset NOI of the total portfolio decreased by $3,741 or 1. 2% and Same Asset NOI of the rental portfolio 
decreased by $3,745 or 1. 2% for the year ended December 31, 2025.  Of this decrease, $7,815 due to non-
renewals, primarily at QRC West - 134 Peter and 555 Richmond in Toronto, and collection of a bad debt in 
the comparable period in Vancouver.  This was partially offset by rent commencement at 700 Saint-Hubert, 
1001 Boulevard Robert-Bourassa and the RCA Building - 1001 Lenoir Street in Montréal, totalling $4,060.
Same Asset NOI of the development portfolio increased by $637 or 6. 0%.  Of this increase, $3,748 was due to 
rent commencement at QRC West Phase II and Toronto House, net of decapitalization of operating costs as 
space became ready for its intended use.  This was partially offset by $3,111 of lower NOI during periods of 
development activity within the portfolio.

35
ALLIED 2025 ANNUAL REPORT
INTEREST EXPENSE
Interest expense for the three months and years ended December 31, 2025 and 2024, is as follows: 
THREE MONTHS ENDED
CHANGE
DECEMBER 31, 
2025
DECEMBER 31, 
2024
$
%
Interest on debt:
Mortgages payable
$5,975
$1,894
$4,081
215. 5%
Construction loans payable
1,003
8,417
(7,414)
(88. 1)
Unsecured revolving operating facility
972
2,464
(1,492)
(60. 6)
Senior unsecured debentures
35,277
22,122
13,155
59. 5
Unsecured term loans
912
7,093
(6,181)
(87. 1)
Interest on lease liabilities
354
691
(337)
(48. 8)
Amortization, net financing costs
1,283
848
435
51. 3
Distributions on Exchangeable LP Units (1)
4,252
5,314
(1,062)
(20. 0)
$50,028
$48,843
$1,185
2. 4%
Interest capitalized to qualifying investment 
properties and residential inventory
(13,564)
(17,601)
4,037
22. 9
Interest expense excluding financing 
prepayment costs
$36,464
$31,242
$5,222
16. 7%
Financing prepayment costs (2)
—
501
(501)
(100. 0)
Interest expense, GAAP basis
$36,464
$31,743
$4,721
14. 9%
(1)	 The distributions declared on Exchangeable LP Units are recognized as interest expense as Allied is an open-end trust.
(2)	 For the three months ended December 31, 2025, Allied incurred $nil financing prepayment costs (December 31, 2024 - $501 for an accelerated 
amortization of deferred financing costs in connection with the disposition of a property).
For the three months ended December 31, 2025, interest expense increased by $4,721 or 14. 9% from the 
comparable period.  
The increase was primarily driven by a $13,155 rise in interest expense on senior unsecured debentures, 
reflecting 2025 refinancing activities which included the issuance of Series K, L, M, and N debentures to 
repay the Series C debentures and other debt.  In addition, mortgage interest increased by $4,081 due to new 
mortgages placed at the end of 2024.  
These increases were partially offset by lower interest on construction loans payable of $7,414 and lower 
interest on unsecured term loans of $6,181 primarily due to 2025 refinancing activities mentioned above and 
a construction loan repayment in 2024.  There was also lower interest expense of $1,492 on the unsecured 
revolving operating facility and lower distributions on Exchangeable LP Units of $1,062.  
Capitalized interest decreased by $4,037, or 22. 9%, for the three months ended December 31, 2025.  Of this 
decrease, $4,915 is due to lower capitalized interest from the completion of development projects, partially 
offset by $878 due to a higher weighted average interest rate.

36
ALLIED 2025 ANNUAL REPORT
YEAR ENDED
CHANGE
DECEMBER 31, 
2025
DECEMBER 31, 
2024
$
%
Interest on debt:
Mortgages payable
$22,956
$4,864
$18,092
372. 0%
Construction loans payable
9,406
32,853
(23,447)
(71. 4)
Unsecured revolving operating facility
6,009
13,127
(7,118)
(54. 2)
Senior unsecured debentures
118,860
78,300
40,560
51. 8
Unsecured term loans
12,602
28,175
(15,573)
(55. 3)
Interest on lease liabilities
1,373
3,016
(1,643)
(54. 5)
Amortization, net premium on debt
—
(231)
231
(100. 0)
Amortization, net financing costs
4,652
3,046
1,606
52. 7
Distributions on Exchangeable LP Units (1)
20,194
21,256
(1,062)
(5. 0)
$196,052
$184,406
$11,646
6. 3%
Interest capitalized to qualifying investment 
properties and residential inventory
(61,333)
(68,440)
7,107
10. 4
Interest expense excluding financing 
prepayment costs
$134,719
$115,966
$18,753
16. 2%
Financing prepayment costs (2)
734
501
233
46. 5
Interest expense, GAAP basis
$135,453
$116,467
$18,986
16. 3%
(1)	 The distributions declared on Exchangeable LP Units are recognized as interest expense as Allied is an open-end trust.
(2)	 For the year ended December 31, 2025, Allied incurred $734 for accelerated amortization of deferred financing costs in connection with the 
early repayment of an unsecured term loan and the refinancing of its unsecured revolving operating facility (December 31, 2024 - $501 for an 
accelerated amortization of deferred financing costs in connection with the disposition of a property).
For the year ended December 31, 2025, interest expense increased by $18,986 or 16. 3% from the comparable 
period.  
The increase was primarily driven by higher senior unsecured debenture interest of $40,560, mainly related 
to the issuance of Series J debentures in September 2024 and issuance of Series K, L, M, and N debentures 
to repay the Series C debentures and other debt, which reflects 2025 refinancing activities.  In addition, 
mortgage interest increased by $18,092, due to new mortgages placed at the end of 2024.
These increases were partially offset by lower interest on construction loans of $23,447 and lower 
unsecured term loan interest of $15,573, primarily due to 2025 refinancing activities mentioned above and 
a construction loan repayment in 2024.  There was also lower interest expense of $7,118 on the unsecured 
revolving operating facility resulting from lower average balances.
Capitalized interest decreased by $7,107, or 10. 4%, for the year ended December 31, 2025.  Of this decrease, 
$11,591 is due to lower capitalized interest from the completion of development projects, partially offset by 
$4,484 due to a higher weighted average interest rate.

37
ALLIED 2025 ANNUAL REPORT
In accordance with IAS 23 - Borrowing Costs, interest is capitalized on qualifying assets in connection 
with all costs required to get the assets ready for their intended use (refer to note 2 (g) in Allied’s audited 
consolidated financial statements for the year ended December 31, 2025, for further details).  This would 
include upgrade work as well as work completed in relation to a future development, such as obtaining 
zoning approval, completing site approval plans, and engineering and architectural drawings.
Qualifying assets include those properties in the development portfolio as well as areas of properties in 
the rental portfolio where capital investment is taking place to upgrade and/or reposition space (such as 
conversions from office to retail use, major floorplate reconfigurations, system infrastructure upgrades, 
or significant user build-outs/lobby transformations associated with repositioning initiatives).  Interest is 
capitalized on the cost base of the property at the rate applicable to property-specific debt.  If no property-
specific debt exists, Allied’s weighted average cost of debt is applied.
The cost base of qualifying assets includes predevelopment costs to acquire the land and building as well 
as incremental capital.  Capitalization commences when the activities necessary to prepare an asset for 
development or redevelopment begin, ceases once the asset is substantially complete or if the development 
of the asset is suspended.  The amount of borrowing costs capitalized is determined first by reference 
to borrowings specific to the project, where applicable.  Where borrowings are associated with specific 
developments, the amount capitalized is the interest incurred on those specific borrowings.  If there are no 
borrowings specific to the project, a weighted average cost of borrowings is applied to eligible expenditures 
after adjusting for borrowings associated with specific developments.  The capitalization of borrowing costs 
is suspended if there are prolonged periods when development activity is interrupted.  On completion of 
upgrade and development activity, the ability to capitalize interest expense ends, partially offsetting the 
financial impact of lease commencement.
GENERAL AND ADMINISTRATIVE EXPENSES
General and administrative expenses for the three months and years ended December 31, 2025 and 2024, 
are as follows:
THREE MONTHS ENDED
CHANGE
DECEMBER 31, 
2025
DECEMBER 31, 
2024
$
%
Salaries and benefits 
$4,557
$5,774
$(1,217)
(21. 1)%
Mark-to-market (recovery) expense on unit-
based compensation plans
(1,925)
1,834
(3,759)
(205. 0)
Professional and trustees fees
1,652
1,639
13
0. 8
Office and general expenses
1,736
1,804
(68)
(3. 8)
$6,020
$11,051
$(5,031)
(45. 5)%
Capitalized to qualifying investment properties
(1,493)
(2,677)
1,184
44. 2
Total general and administrative expenses, 
GAAP basis
$4,527
$8,374
$(3,847)
(45. 9)%

38
ALLIED 2025 ANNUAL REPORT
For the three months ended December 31, 2025, general and administrative expenses decreased by $3,847 
or 45. 9% from the comparable period.  Of this decrease, $3,759 is due to higher mark-to-market recovery on 
unit-based compensation plans (as Allied’s unit price decreased).  Excluding the mark-to-market adjustment 
on unit-based compensation, the total general and administrative expenses for the three months ended 
December 31, 2025, would be $6,452 (December 31, 2024 - $6,540).  The mark-to-market adjustment is added 
back in the calculation of FFO defined in REALPAC’s “Funds From Operations (FFO) & Adjusted Funds From 
Operations (AFFO) for IFRS” issued in January 2022.
YEAR ENDED
CHANGE
DECEMBER 31, 
2025
DECEMBER 31, 
2024
$
%
Salaries and benefits
$19,122
$21,479
$(2,357)
(11. 0)%
Mark-to-market recovery on unit-based 
compensation plans
(24)
(107)
83
77. 6
Professional and trustees fees
6,131
6,783
(652)
(9. 6)
Office and general expenses
6,357
6,583
(226)
(3. 4)
$31,586
$34,738
$(3,152)
(9. 1)%
Capitalized to qualifying investment properties
(6,920)
(10,405)
3,485
33. 5
Total general and administrative expenses, 
GAAP basis
$24,666
$24,333
$333
1. 4%
For the year ended December 31, 2025, general and administrative expenses increased by $333 or 1. 4% from 
the comparable period.  Of this increase, $1,128 is due to net lower capitalization to qualifying investment 
properties as development and upgrade activities were completed, partially offset by dispositions of 
investment properties closed.  This was partially offset by $652 of lower legal expenses and consulting 
expenses.  Excluding the mark-to-market adjustment on unit-based compensation, the total general and 
administrative expenses for the year ended December 31, 2025, would be $24,690 (December 31, 2024 - 
$24,440).  The mark-to-market adjustment is added back in the calculation of FFO defined in REALPAC’s 
“Funds From Operations (FFO) & Adjusted Funds From Operations (AFFO) for IFRS” issued in January 2022.

39
ALLIED 2025 ANNUAL REPORT
INTEREST INCOME
Interest income for the three months and years ended December 31, 2025 and 2024, are as follows:
THREE MONTHS ENDED
CHANGE
DECEMBER 31, 
2025
DECEMBER 31, 
2024
$
%
Interest on loans and notes receivable
$9,877
$8,686
$1,191
13. 7%
Guarantee fees
252
665
(413)
(62. 1)
Interest on cash, cash equivalents and deposit
503
1,042
(539)
(51. 7)
Interest income, GAAP basis
$10,632
$10,393
$239
2. 3%
For the three months ended December 31, 2025, interest income increased by $239 or 2. 3% from the 
comparable period, primarily due to $1,191 of higher interest income earned on loans receivable, partially 
offset by $413 lower guarantee fees primarily due to the full repayment of the Breithaupt Phase III 
construction loan in April 2025 and $539 lower interest income on a deposit that was fully repaid in 
July 2025.
YEAR ENDED
CHANGE
DECEMBER 31, 
2025
DECEMBER 31, 
2024
$
%
Interest on loans and notes receivable
$37,840
$36,771
$1,069
2. 9%
Guarantee fees
1,320
3,023
(1,703)
(56. 3)
Interest on cash, cash equivalents and deposit
2,242
5,275
(3,033)
(57. 5)
Interest income, GAAP basis
$41,402
$45,069
$(3,667)
(8. 1)%
For the year ended December 31, 2025, interest income decreased by $3,667 or 8. 1% from the comparable 
period, primarily due to $3,033 lower interest on a deposit that was fully repaid in July 2025, and $1,703 
lower guarantee fees due to the full repayment of the Breithaupt Phase III construction loan in April 2025 
and the full settlement of the Adelaide & Duncan and Telus Sky guarantee fees receivable in December 2024.  
This is partially offset by higher interest income earned on loans receivable of $1,069.

40
ALLIED 2025 ANNUAL REPORT
Based on Allied’s assessment of expected credit losses on an individual loan basis, a portion of the loans 
receivable experienced a significant increase in credit risk since initial recognition.  Therefore, Allied has 
recognized an expected credit loss equal to the lifetime expected credit losses on the loans receivable.  The 
expected credit loss is measured as a probability-weighted estimate of the expected present value of cash 
shortfalls.  Cash shortfalls represent the difference between the cash flows owed to Allied (including future 
interest income until maturity of each loan) and the cash flows expected to be received by Allied.  Allied’s 
assessment took into consideration the borrower’s financial position, status of corporate guarantees, 
construction and leasing status on development projects, status of principal and interest payments, and the 
underlying value of the borrower’s security or collateral.  As a result of the assessment based on the factors 
described above, Allied recorded an expected credit loss on loans receivable for the year ended December 
31, 2025 of $128,000 (December 31, 2024 - $nil).
OTHER FINANCIAL PERFORMANCE MEASURES 
FFO AND FFO EXCLUDING CONDOMINIUM-RELATED ITEMS, FINANCING PREPAYMENT COSTS, AND  
THE MARK-TO-MARKET ADJUSTMENT ON UNIT-BASED COMPENSATION
Allied’s calculation of FFO, a non-GAAP measure, is in compliance with REALPAC’s standardized definition 
in REALPAC’s “Funds From Operations (FFO) & Adjusted Funds From Operations (AFFO) for IFRS” issued 
in January 2022.  FFO excluding condominium-related items, financing prepayment costs, and the mark-
to-market adjustment on unit-based compensation, a non-GAAP measure, starts with the standardized 
definition of FFO and removes the effects of condominium revenue, condominium cost of sales, 
condominium marketing costs, financing prepayment costs, and the mark-to-market adjustment on unit-
based compensation, as defined on page 18.
For the three months ended December 31, 2025, FFO per unit excluding condominium-related items, 
financing prepayment costs, and the mark-to-market adjustment on unit-based compensation totalled 
$0. 419.  This is a decrease of $0. 116 or 21. 7% over the comparable period in the prior year.  The decrease 
was primarily due to lower operating income of $10,149 and higher interest expense excluding financing 
prepayment costs and distributions on Exchangeable LP Units of $6,284.
For the year ended December 31, 2025, FFO per unit excluding condominium-related items, financing 
prepayment costs, and the mark-to-market adjustment on unit-based compensation totalled $1. 896.  This is a 
decrease of $0. 278 or 12. 8% over the comparable period in the prior year.  The decrease was primarily due to 
higher interest expense excluding financing prepayment costs and distributions on Exchangeable LP Units of 
$19,815, lower operating income of $13,987, and lower interest income of $3,707.
For the three months and year ended December 31, 2025, the FFO payout ratio excluding condominium-
related items, financing prepayment costs, and the mark-to-market adjustment on unit-based compensation 
was 85. 9% and 90. 2%, respectively.  

41
ALLIED 2025 ANNUAL REPORT
AFFO AND AFFO EXCLUDING CONDOMINIUM-RELATED ITEMS, FINANCING PREPAYMENT COSTS, AND 
THE MARK-TO-MARKET ADJUSTMENT ON UNIT-BASED COMPENSATION
Allied’s calculation of AFFO, a non-GAAP measure, is in compliance with REALPAC’s standardized definition 
in REALPAC’s “Funds From Operations (FFO) & Adjusted Funds From Operations (AFFO) for IFRS” issued 
in January 2022.  AFFO excluding condominium-related items, financing prepayment costs, and the mark-
to-market adjustment on unit-based compensation, a non-GAAP measure, starts with the standardized 
definition of AFFO and removes the effects of condominium revenue, condominium cost of sales, 
condominium marketing costs, financing prepayment costs, and the mark-to-market adjustment on unit-
based compensation, as defined on page 18.
For the three months ended December 31, 2025, AFFO per unit excluding condominium-related items, 
financing prepayment costs, and the mark-to-market adjustment on unit-based compensation totalled 
$0. 361.  This represents a decrease of $0. 116 or 24. 3% over the comparable period in the prior year.  The 
decrease was primarily due to the changes in FFO discussed above and higher maintenance capital 
expenditures of $1,042, partially offset by lower regular leasing expenditures of $497 and lower amortization 
of straight-line rent of $294.  
For the year ended December 31, 2025, AFFO per unit excluding condominium-related items, financing 
prepayment costs, and the mark-to-market adjustment on unit-based compensation totalled $1. 721.  This 
represents a decrease of $0. 235 or 12. 0% over the comparable period in the prior year.  The decrease was 
primarily due to the changes in FFO discussed above, partially offset by lower amortization of straight-line 
rent of $4,001, lower regular leasing expenditures of $704, lower incremental leasing costs of $626, and 
lower maintenance capital expenditures of $389.
For the three months and year ended December 31, 2025, the AFFO payout ratio excluding condominium-
related items, financing prepayment costs, and the mark-to-market adjustment on unit-based compensation 
was 99. 7% and 99. 3%, respectively.

42
ALLIED 2025 ANNUAL REPORT
RECONCILIATION OF FFO AND AFFO
The following tables reconcile Allied’s net loss and comprehensive loss to FFO, FFO excluding condominium-
related items, financing prepayment costs, and the mark-to-market adjustment on unit-based compensation, 
AFFO, and AFFO excluding condominium-related items, financing prepayment costs, and the mark-to-
market adjustment on unit-based compensation, which are on a non-GAAP basis, for the three months and 
years ended December 31, 2025, and December 31, 2024, as defined on page 18.
THREE MONTHS ENDED
DECEMBER 31, 
2025
DECEMBER 31, 
2024
CHANGE
Net loss and comprehensive loss (1)
$(1,011,743)
$(257,652)
$(754,091)
Adjustment to fair value of investment properties and  
investment properties held for sale
1,014,137
346,035
668,102
Adjustment to fair value of Exchangeable LP Units
(87,034)
(36,254)
(50,780)
Adjustment to fair value of derivative instruments
(2,882)
644
(3,526)
Expected credit loss on loans and notes receivable
128,000
—
128,000
Impairment of residential inventory
—
—
—
Transaction costs
3,690
1,586
2,104
Incremental leasing costs
2,281
2,640
(359)
Amortization of improvement allowances
9,673
9,111
562
Amortization of property, plant and equipment (2)
101
98
3
Distributions on Exchangeable LP Units
4,252
5,314
(1,062)
Adjustments relating to joint venture:
Adjustment to fair value on investment properties
—
604
(604)
Amortization of improvement allowances
—
189
(189)
Transaction costs
—
80
(80)
FFO
$60,475
$72,395
$(11,920)
Condominium marketing costs
21
17
4
Financing prepayment costs
—
501
(501)
Mark-to-market adjustment on unit-based compensation
(1,925)
1,834
(3,759)
FFO excluding condominium-related items, financing  
prepayment costs, and the mark-to-market adjustment  
on unit-based compensation
$58,571
$74,747
$(16,176)
FFO
$60,475
$72,395
$(11,920)
Amortization of straight-line rent
(1,370)
(1,664)
294
Regular leasing expenditures (3)
(2,860)
(3,357)
497
Regular and recoverable maintenance capital expenditures
(2,256)
(1,214)
(1,042)
Incremental leasing costs (related to regular leasing expenditures)
(1,597)
(1,847)
250
Adjustment relating to joint venture:
Amortization of straight-line rent
—
(38)
38
Regular leasing expenditures
—
(1)
1

43
ALLIED 2025 ANNUAL REPORT
THREE MONTHS ENDED
DECEMBER 31, 
2025
DECEMBER 31, 
2024
CHANGE
AFFO
$52,392
$64,274
$(11,882)
Condominium marketing costs
21
17
4
Financing prepayment costs
—
501
(501)
Mark-to-market adjustment on unit-based compensation
(1,925)
1,834
(3,759)
AFFO excluding condominium-related items, financing  
prepayment costs, and the mark-to-market adjustment  
on unit-based compensation 
$50,488
$66,626
$(16,138)
Weighted average number of units (4)
Basic and diluted
139,765,128
139,765,128
—
Per unit - basic and diluted (1)
FFO
$0.433
$0. 518
$(0. 085)
FFO excluding condominium-related items, financing  
prepayment costs, and the mark-to-market adjustment  
on unit-based compensation
$0.419
$0. 535
$(0. 116)
AFFO
$0.375
$0. 460
$(0. 085)
AFFO excluding condominium-related items, financing  
prepayment costs, and the mark-to-market adjustment  
on unit-based compensation 
$0.361
$0. 477
$(0. 116)
Payout Ratio
FFO 
83.2%
86. 9%
(3. 7)%
FFO excluding condominium-related items, financing  
prepayment costs, and the mark-to-market adjustment  
on unit-based compensation
85.9%
84. 1%
1. 8%
AFFO
96.0%
97. 9%
(1. 9)%
AFFO excluding condominium-related items, financing  
prepayment costs, and the mark-to-market adjustment  
on unit-based compensation 
99.7%
94. 4%
5. 3%
(1)	 Includes interest income and interest income per unit on loans receivable on KING Toronto and 150 West Georgia for the three months ended 
December 31, 2025, of $9,700 and $0.069 (2024 - $8,504 and $0.061), respectively. An expected credit loss on loans receivable of $128,000 
(2024 - $nil) was recognized for the three months ended December 31, 2025.
(2)	 Property, plant and equipment relates to owner-occupied property.
(3)	 Refer to Capital Expenditures on page 46 for a description of regular leasing expenditures.
(4)	 The weighted average number of units includes Units and Exchangeable LP Units. 

44
ALLIED 2025 ANNUAL REPORT
YEAR ENDED
DECEMBER 31, 
2025
DECEMBER 31, 
2024
CHANGE
Net loss and comprehensive loss (1)
$(1,327,532)
$(342,530)
(985,002)
Adjustment to fair value of investment properties and  
investment properties held for sale
1,408,235
557,569
850,666
Adjustment to fair value of Exchangeable LP Units
(44,639)
(35,782)
(8,857)
Adjustment to fair value of derivative instruments
2,996
13,675
(10,679)
Expected credit loss on loans and notes receivable
128,000
—
128,000
Impairment of residential inventory
23,920
38,259
(14,339)
Transaction costs
5,349
1,722
3,627
Incremental leasing costs
9,591
10,487
(896)
Amortization of improvement allowances
37,762
36,975
787
Amortization of property, plant and equipment (2)
401
398
3
Distributions on Exchangeable LP Units
20,194
21,256
(1,062)
Adjustments relating to joint venture:
Adjustment to fair value on investment properties
—
391
(391)
Amortization of improvement allowances
—
778
(778)
Transaction costs
—
80
(80)
FFO
$264,277
$303,278
$(39,001)
Condominium marketing costs
39
134
(95)
Financing prepayment costs
734
501
233
Mark-to-market adjustment on unit-based compensation
(24)
(107)
83
FFO excluding condominium-related items, financing  
prepayment costs, and the mark-to-market adjustment  
on unit-based compensation
$265,026
$303,806
$(38,780)
FFO
$264,277
$303,278
$(39,001)
Amortization of straight-line rent
(3,409)
(7,410)
4,001
Regular leasing expenditures (3)
(10,056)
(10,760)
704
Regular and recoverable maintenance capital expenditures
(4,275)
(4,664)
389
Incremental leasing costs (related to regular leasing expenditures)
(6,714)
(7,340)
626
Adjustment relating to joint venture:
Amortization of straight-line rent
—
(190)
190
Regular leasing expenditures
—
(8)
8
AFFO
$239,823
$272,906
$(33,083)
Condominium marketing costs
39
134
(95)
Financing prepayment costs
734
501
233
Mark-to-market adjustment on unit-based compensation
(24)
(107)
83
AFFO excluding condominium-related items, financing  
prepayment costs, and the mark-to-market adjustment  
on unit-based compensation 
$240,572
$273,434
$(32,862)

45
ALLIED 2025 ANNUAL REPORT
YEAR ENDED
DECEMBER 31, 
2025
DECEMBER 31, 
2024
CHANGE
Weighted average number of units (4)
Basic and diluted
139,765,128
139,765,128
—
Per unit - basic and diluted (1)
FFO
$1.891
$2. 170
$(0. 279)
FFO excluding condominium-related items, financing  
prepayment costs, and the mark-to-market adjustment  
on unit-based compensation
$1.896
$2. 174
$(0. 278)
AFFO
$1.716
$1. 953
$(0. 237)
AFFO excluding condominium-related items, financing  
prepayment costs, and the mark-to-market adjustment  
on unit-based compensation 
$1.721
$1. 956
$(0. 235)
Payout Ratio
FFO
90.4%
83. 0%
7. 4%
FFO excluding condominium-related items, financing  
prepayment costs, and the mark-to-market adjustment  
on unit-based compensation
90.2%
82. 8%
7. 4%
AFFO
99.7%
92. 2%
7. 5%
AFFO excluding condominium-related items, financing  
prepayment costs, and the mark-to-market adjustment  
on unit-based compensation 
99.3%
92. 0%
7. 3%
(1)	 Includes interest income and interest income per unit on loans receivable on KING Toronto and 150 West Georgia for the year ended December 
31, 2025, of $36,415 and $0.261 (2024 - $36,035 and $0.258), respectively. An expected credit loss on loans receivable of $128,000 (2024 - $nil) 
was recognized for the year ended December 31, 2025.
(2)	 Property, plant and equipment relates to owner-occupied property.
(3)	 Refer to Capital Expenditures on page 46 for a description of regular leasing expenditures.
(4)	 The weighted average number of units includes Units and Exchangeable LP Units. 

46
ALLIED 2025 ANNUAL REPORT
CAPITAL EXPENDITURES
Our portfolio requires ongoing maintenance capital expenditures and leasing expenditures.  
Regular maintenance capital expenditures are costs incurred to maintain and sustain the existing property 
infrastructure, including structural repairs.  Recoverable maintenance capital expenditures are typically 
not structural in nature, but allow the building to operate more efficiently, such as investing in building 
automation systems and HVAC systems.  These improvements provide a direct benefit to users and can 
be recovered over the useful life of the asset according to the lease.  Both regular maintenance capital 
expenditures and recoverable maintenance capital expenditures are deducted in the calculation of AFFO.
Regular leasing expenditures are leasing costs incurred to maintain the existing revenues of a property 
and are deducted in the calculation of AFFO.  These costs are considered operational, and typically include 
improvement allowances, landlord’s work and leasing commissions required to replace or renew users at 
existing rates or market rates.
Revenue-enhancing capital is invested to improve the revenue generating ability of the properties.  This 
includes investments to change the use of space, increase gross leasable area, or materially improve the 
aesthetics or efficiency of a property.  Development costs are investments to generate new revenue streams 
and/or to increase the productivity of a property.  These consist of pre-development costs, carrying costs, 
direct construction costs, leasing costs, improvement allowances, borrowing costs, and costs of internal staff 
directly attributable to the projects under development.
THREE MONTHS ENDED
YEAR ENDED
DECEMBER 31, 
2025
DECEMBER 31, 
2024
DECEMBER 31, 
2025
DECEMBER 31, 
2024
Revenue-enhancing capital and development 
costs
$43,167
$80,202
$182,815
$270,842
Regular and recoverable maintenance capital 
expenditures
2,256
1,214
4,275
4,664
Total capital expenditures
$45,423
$81,416
$187,090
$275,506
Revenue-enhancing and development leasing 
expenditures
$46,164
$10,334
$80,206
$82,751
Regular leasing expenditures
2,860
3,357
10,056
10,760
Total improvement allowances and leasing 
commissions
$49,024
$13,691
$90,262
$93,511

47
ALLIED 2025 ANNUAL REPORT
During the three months ended December 31, 2025, Allied incurred $45,423 of capital expenditures, 
consisting of $21,089 in the development portfolio and $24,334 in the rental portfolio.  Revenue-enhancing 
capital in the rental portfolio primarily related to close-out costs for completed developments transferred 
to the rental portfolio and upgrades at select properties to support higher future revenues.  Allied incurred 
$49,024 of leasing costs to investment properties, including costs for the full build-out of three floors at 400 
West Georgia to support a 15-year lease at materially higher rents, construction and system upgrades for a 
new user at La Cité – 111 Robert-Bourassa Boulevard, and the expansion of an existing user at 1001 Boulevard 
Robert-Bourassa.
During the year ended December 31, 2025, Allied incurred $187,090 of capital expenditures, consisting of 
$126,661 in the development portfolio and $60,429 in the rental portfolio.  Allied incurred $90,262 of leasing 
costs to investment properties, including costs for the full build-out of three floors at 400 West Georgia to 
support a 15-year lease at materially higher rents, construction and system upgrades for a new user at La 
Cité – 111 Robert-Bourassa Boulevard, and the expansion of existing and new users at 1001 Boulevard Robert-
Bourassa.
ADJUSTED EBITDA
The following table reconciles Allied’s net loss and comprehensive loss to Adjusted EBITDA, a non-GAAP 
measure, for the three months and years ended December 31, 2025, and December 31, 2024, as defined on 
page 18:
THREE MONTHS ENDED
YEAR ENDED
DECEMBER 31, 
2025
DECEMBER 31, 
2024
DECEMBER 31, 
2025
DECEMBER 31, 
2024
Net loss and comprehensive loss for the period (1)
$(1,011,743)
$(257,652)
$(1,327,532)
$(342,530)
Interest expense
36,464
31,743
135,453
116,467
Amortization of other assets
504
431
1,879
1,742
Amortization of improvement allowances
9,673
9,300
37,762
37,753
Expected credit loss on loans and notes 
receivable
128,000
—
128,000
—
Impairment of residential inventory
—
—
23,920
38,259
Transaction costs
3,690
1,666
5,349
1,802
Fair value loss on investment properties and 
investment properties held for sale 21)
1,014,137
346,639
1,408,235
557,960
Fair value gain on Exchangeable LP Units
(87,034)
(36,254)
(44,639)
(35,782)
Fair value (gain) loss on derivative instruments
(2,882)
644
2,996
13,675
Mark-to-market adjustment on unit-based 
compensation
(1,925)
1,834
(24)
(107)
Adjusted EBITDA
$88,884
$98,351
$371,399
$389,239
(1)	 For the three months ended December 31, 2025, includes interest income on loans receivable on KING Toronto and 150 West Georgia of $9,700 
(2024 - $8,504), respectively. For the year ended December 31, 2025, includes interest income on loans receivable on KING Toronto and 150 
West Georgia of $36,415 (2024 - $36,035). An expected credit loss on loans receivable of $128,000 and $128,000 (2024 - $nil and $nil) was 
recognized for the three months and year ended December 31, 2025, respectively.
(2)	 Includes Allied’s proportionate share of the equity accounted investment’s fair value loss on investment properties of $nil and $nil for the three 
months and year ended December 31, 2025, respectively (December 31, 2024 - $604 and $391, respectively).

48
ALLIED 2025 ANNUAL REPORT
Section III
—Leasing
Allied strives to maintain high levels of occupancy and leased area and to increase net rent per occupied 
square foot.  At December 31, 2025, Allied’s rental portfolio was 87. 4% leased, and net rent per occupied 
square foot decreased by 0. 7%, from $25. 41 to $25. 23 over the comparable period.  

49
ALLIED 2025 ANNUAL REPORT
STATUS
Leasing status for the rental portfolio, which excludes properties under development, investment properties 
held for sale, and residential GLA, as at December 31, 2025, is summarized below:
GLA (SF)
AS A % OF TOTAL GLA
Leased area (occupied & committed) - December 31, 2024
12,478,526
87. 2%
Vacancy committed for future leases
(173,988)
Occupancy - December 31, 2024
12,304,538
85. 9%
Previously committed vacant space now occupied
173,988
New leases and expansions on vacant space
454,302
New vacancies during the period
(650,728)
Suite additions, remeasurements and removals
(8,859)
Occupancy before transfers from/(to) the rental portfolio
12,273,241
85. 7%
Occupancy related to transfers from/(to) the rental portfolio
100,680
Occupancy - December 31, 2025
12,373,921
85.3%
Vacancy committed for future leases
297,236
Leased area (occupied & committed) - December 31, 2025
12,671,157
87.4%
Of the 14,499,715 square feet total GLA in Allied’s rental portfolio, 12,373,921 square feet were occupied 
on December 31, 2025.  Another 297,236 square feet were subject to contractual lease commitments with 
users whose leases commence after December 31, 2025, bringing the leased area to 12,671,157 square feet, 
representing 87. 4% of Allied’s total rental portfolio GLA.  
The table below outlines the timing of the contractual lease commitments:
Q1 2026
Q2 2026
Q3 2026
Q4 2026
THEREAFTER
TOTAL
Fixturing Commencement (Occupancy)
Lease commitments - GLA
75,716
15,183
30,348
—
175,989
297,236
% of lease commitments
25. 5%
5. 1%
10. 2%
—%
59. 2%
100. 0%
Rent Commencement  
(Economic Occupancy)
Lease commitments - GLA
26,553
19,774
57,741
6,126
187,042
297,236
% of lease commitments
8. 9%
6. 7%
19. 4%
2. 1%
62. 9%
100. 0%

50
ALLIED 2025 ANNUAL REPORT
In most instances, occupancy commences with a fixturing period prior to rent commencement.  During the 
fixturing period, straight-line rent revenue is recognized.  Thereafter, base and additional rent are paid by 
the user and recognized as rental revenue.  In cases where interest, operating costs and realty taxes were 
being capitalized prior to occupancy (in accordance with IFRS Accounting Standards), capitalization ends on 
occupancy.  During occupancy, interest, operating costs and realty taxes are expensed and rental revenue is 
recognized.
In some instances, particularly in ground-up developments, there may be fixturing periods outside of the 
term of the lease while base building work is being completed.  In this case, capitalization is taking place, so 
revenue is not recognized.
Allied monitors the level of sublease space being marketed in its rental portfolio.  Below is a summary:
DECEMBER 31,  
2025
SEPTEMBER 30,  
2025
JUNE 30,  
2025
MARCH 31,  
2025
Toronto
137,204
307,424
370,217
337,089
Montréal
196,270
245,755
344,394
419,148
Calgary
8,859
7,191
1,557
2,927
Vancouver
39,468
23,430
46,643
46,643
Total sublease space  
(in square feet)
381,801
583,800
762,811
805,807
% of total GLA
2.6%
4. 1%
5. 3%
5. 6%

51
ALLIED 2025 ANNUAL REPORT
USER RETENTION
Allied places a high value on user retention and when retention is neither possible nor desirable, Allied 
strives to introduce high-quality new users to its portfolio.
Allied endeavours to renew leases in advance of expiry or retain users by accommodating them within 
its portfolio based on their business needs.  The retention rate is calculated as the renewed, replaced, or 
relocated area within its portfolio over the total expiring area for the period.  When the amount of relocated 
space differs from the area expired, the lesser of the two is used.  Including relocations and early renewals in 
the prior year related to the maturities in the three months and year ended December 31, 2025, Allied leased 
60. 2% and 69. 4%, respectively, of the expiring GLA, which is summarized in the following table:
MATURITIES 
DURING  
THE PERIOD
THREE MONTHS ENDED  
DECEMBER 31, 2025
YEAR ENDED  
DECEMBER 31, 2025
LEASABLE 
SF
LEASED SF BY 
DECEMBER 31
% LEASED BY 
DECEMBER 31
LEASABLE 
SF
LEASED SF BY 
DECEMBER 31
% LEASED BY 
DECEMBER 31
Leased in prior year (1)
74,399
74,399
100%
407,696
407,696
100. 0%
Leased in current year
444,649
224,241
50. 4%
1,616,230
973,040
60. 2%
Relocations within 
Allied’s portfolio
—
13,657
—%
—
24,392
—%
Retention Rate
519,048
312,297
60.2%
2,023,926
1,405,128
69.4%
(1)	 In the prior year, these leases were reported as maturities in future years.
ACTIVITY
Leasing activity in connection with the rental portfolio for the year ended December 31, 2025, is 
summarized in the following table:
LEASABLE SF
LEASED SF BY 
DECEMBER 31
% LEASED BY 
DECEMBER 31
UNLEASED SF AT 
DECEMBER 31
Total GLA as at December 31, 2024
14,316,773
Leased area as at December 31, 2024
12,478,526
Unleased area as at December 31, 2024
1,838,247
Area expiring on December 31, 2024, and  
vacant on January 1, 2025
122,992
Vacancy related to transfers from/(to) PUD  
and investment properties held for sale, 
including re-measurement
102,085
Unleased area on January 1, 2025 (1)
2,063,324
760,921
36. 9%
1,302,403
Maturities during the period ended  
December 31, 2025 (2)
1,616,230
973,040
60. 2%
643,190
Maturities in future years
730,802
Total
3,679,554
2,464,763
1,945,593
(1)	 The unleased area on January 1, 2025, including re-measurement, consists of Allied’s rental properties owned as at December 31, 2025.
(2)	 Some maturities occurred on December 31, 2025, and are included in Allied’s leased area.

52
ALLIED 2025 ANNUAL REPORT
The leasing activity in the rental portfolio for the three months and year ended December 31, 2025, is 
summarized in the following table:
THREE MONTHS ENDED  
DECEMBER 31, 2025
YEAR ENDED  
DECEMBER 31, 2025
NEW LEASES
RENEWALS
TOTAL
NEW LEASES
RENEWALS
TOTAL
Tours
216
1,054
Net leased square feet
375,684
339,602
715,286
1,312,412
1,152,351
2,464,763
Number of transactions
50
64
114
202
212
414
Lease term (in years)
6. 9
4. 0
5. 5
7. 3
4. 3
5. 9
The rental rates achieved for leases that were renewed in the rental portfolio for the three months and year 
ended December 31, 2025, are summarized in the following table:
THREE MONTHS ENDED  
DECEMBER 31, 2025
YEAR ENDED  
DECEMBER 31, 2025
LEASING SPREAD 
ON RENEWALS
EXPIRING 
RATE
RENEWAL 
RATE
SPREAD
SQUARE 
FEET
EXPIRING 
RATE
RENEWAL 
RATE
SPREAD
SQUARE 
FEET
Ending-to-Starting Base Rent
Total Portfolio
$24. 28
$23. 98
(1. 2)%
339,602
$22. 81
$22. 93
0. 5%
1,152,351
Average-to-Average Base Rent
Total Portfolio
$23. 00
$24. 38
6. 0%
339,602
$21. 67
$23. 43
8. 1%
1,152,351
Leasing activity resulted in a decrease of 1. 2% and an increase of 0. 5% in ending-to-starting and an increase 
of 6. 0% and 8. 1% in average-to-average net rent per square foot from maturing leases upon renewal for the 
three months and year ended December 31, 2025, respectively, illustrating Allied’s ability to generate rent 
growth upon renewal.
The following table summarizes the renewals which were above, at, or below the maturing rate for the year 
ended December 31, 2025: 
LEASE RENEWAL RATE
YEAR ENDED DECEMBER 31, 2025
ABOVE IN-PLACE 
RENTS
AT IN-PLACE 
RENTS
BELOW IN-PLACE 
RENTS
% of total renewed square feet
37. 7%
45. 9%
16. 4%
Maturing leases - weighted average rent
$23. 02
$21. 20
$26. 83
Renewing leases - weighted average rent
$24. 70
$21. 20
$23. 72

53
ALLIED 2025 ANNUAL REPORT
USER PROFILE
Allied’s user-mix on the basis of percentage of rental revenue for the year ended December 31, 2025, is 
summarized in the following table:
CATEGORY
% OF RENTAL REVENUE  
DECEMBER 31, 2025
Business and professional services
37. 9%
Telecommunications and information technology
17. 4
Media and entertainment
13. 1
Retail
11. 1
Financial services
6. 1
Parking and other
3. 8
Government
3. 7
Educational and institutional
3. 5
Life sciences
3. 4
100.0%
Information on the top-10 users by rental revenue for the year ended December 31, 2025, is summarized in 
the following table:
USER
% OF RENTAL 
REVENUE
WEIGHTED 
AVERAGE 
REMAINING LEASE 
TERM (YEARS)
% OF TOTAL 
RENTAL GLA
CREDIT RATING 
DBRS/S&P/
MOODY’S
Ubisoft Divertissements Inc.
3. 1%
7. 2
4. 1%
Not Rated
Google Canada Corporation (1)
3. 1
7. 6
3. 3
-/AA+/Aa2
Shopify Inc.  (2)
2. 8
8. 5
1. 9
Not Rated
Deloitte Management Services LP
2. 4
9. 7
1. 4
Not Rated
Northeastern University
1. 9
9. 5
0. 9
-/-/A1
Morgan Stanley Services Canada Corp.
1. 7
4. 7
1. 6
AAL/A-/A1
TMG MacManus Canada Inc.
1. 7
6. 6
1. 4
Not Rated
Société Québécoise des Infrastructures
1. 6
2. 5
1. 7
AAL/A+/Aa2
Thomson Reuters Canada Limited
1. 5
9. 7
0. 8
-/A-/Baa1
Hydro-Quebec
1. 0
4. 3
1. 7
AAL/A+/Aa2
20.8%
6.9
18.8%
(1)	 The credit rating for this user is for the parent company.
(2)	 Includes 129,099 SF at Allied’s ownership that is subleased to a financial institution with a credit rating of AA/A+/Aa2.

54
ALLIED 2025 ANNUAL REPORT
1,227,970
1,382,429
1,096,565
1,186,060
1,649,387
SQUARE FEET
8.5%
9.5%
7.6%
8.2%
11.4%
$21.82 
$23.28 
$23.21 
$24.67 
$24.83 
$24.40
$25.42
$26.00
$26.25
$26.77
$0.00
$5.00
$10.00
$15.00
$20.00
$25.00
$30.00
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
December 31, 2026
December 31, 2027
December 31, 2028
December 31, 2029
December 31, 2030
Weighted average rental rate
% of Total GLA
% OF TOTAL GLA
WEIGHTED AVERAGE RENTAL RATE
ESTIMATED WEIGHTED AVERAGE MARKET RATE
LEASE MATURITY 
As at December 31, 2025, 87. 4% of the GLA in Allied’s rental portfolio was leased and its weighted average 
term to maturity was 5. 7 years.  The estimated weighted average market net rental rate is based on 
Management’s estimates of today’s market rental rates and is supported by third-party information and deal 
activity in the market.  There can be no assurance that Management’s current estimates are accurate or that 
they will not change with the passage of time.
The following contains information on the urban workspace leases that mature through 2030 and the 
corresponding estimated weighted average market rental rate as at December 31, 2025.
TOTAL RENTAL 
PORTFOLIO
SQUARE  
FEET
% OF TOTAL 
GLA
WEIGHTED AVERAGE  
IN-PLACE RENTAL RATE
ESTIMATED WEIGHTED 
AVERAGE MARKET  
RENTAL RATE
December 31, 2026
1,227,970
8. 5%
$21. 82
$24. 40
December 31, 2027
1,382,429
9. 5%
$23. 28
$25. 42
December 31, 2028
1,096,565
7. 6%
$23. 21
$26. 00
December 31, 2029
1,186,060
8. 2%
$24. 67
$26. 25
December 31, 2030
1,649,387
11. 4%
$24. 83
$26. 77

55
ALLIED 2025 ANNUAL REPORT
The following tables contain information on lease maturities by segment:
MONTRÉAL
SQUARE  
FEET
% OF 
SEGMENT GLA
WEIGHTED AVERAGE  
IN-PLACE RENTAL RATE
ESTIMATED WEIGHTED 
AVERAGE MARKET  
RENTAL RATE
December 31, 2026
501,753
8. 6%
$17. 09
$18. 66
December 31, 2027
505,431
8. 6%
$16. 88
$21. 06
December 31, 2028
317,930
5. 4%
$17. 11
$18. 09
December 31, 2029
413,504
7. 1%
$20. 44
$19. 88
December 31, 2030
956,556
16. 4%
$20. 44
$23. 38
TORONTO & 
KITCHENER
SQUARE  
FEET
% OF 
SEGMENT GLA
WEIGHTED AVERAGE  
IN-PLACE RENTAL RATE
ESTIMATED WEIGHTED 
AVERAGE MARKET  
RENTAL RATE
December 31, 2026
367,870
5. 9%
$25. 23
$30. 27
December 31, 2027
620,843
9. 9%
$28. 89
$30. 27
December 31, 2028
486,921
7. 8%
$28. 42
$32. 49
December 31, 2029
548,540
8. 8%
$29. 51
$32. 63
December 31, 2030
523,518
8. 4%
$29. 63
$30. 40
CALGARY
SQUARE  
FEET
% OF 
SEGMENT GLA
WEIGHTED AVERAGE  
IN-PLACE RENTAL RATE
ESTIMATED WEIGHTED 
AVERAGE MARKET  
RENTAL RATE
December 31, 2026
161,383
14. 1%
$11. 16
$12. 74
December 31, 2027
144,248
12. 6%
$11. 39
$11. 65
December 31, 2028
183,777
16. 1%
$9. 43
$13. 16
December 31, 2029
119,860
10. 5%
$8. 86
$11. 32
December 31, 2030
65,443
5. 7%
$18. 95
$18. 20
VANCOUVER
SQUARE  
FEET
% OF 
SEGMENT GLA
WEIGHTED AVERAGE  
IN-PLACE RENTAL RATE
ESTIMATED WEIGHTED 
AVERAGE MARKET  
RENTAL RATE
December 31, 2026
196,964
15. 8%
$36. 25
$37. 59
December 31, 2027
111,907
9. 0%
$36. 40
$36. 04
December 31, 2028
107,937
8. 7%
$41. 11
$41. 94
December 31, 2029
104,156
8. 4%
$34. 14
$35. 10
December 31, 2030
103,870
8. 3%
$44. 84
$45. 10

56
ALLIED 2025 ANNUAL REPORT
Section IV
—Historical Performance
The following sets out summary information and financial results for the eight most recently completed 
fiscal quarters.

57
ALLIED 2025 ANNUAL REPORT
Q4 2025
Q3 2025
Q2 2025
Q1 2025
Q4 2024
Q3 2024
Q2 2024
Q1 2024
Rental revenue (1)
$148,766
$147,932
$145,045
$150,636
$155,120
$146,593
$146,750
$143,577
Property operating costs (1)
(73,714)
(67,205)
(65,095)
(69,401)
(70,737)
(63,364)
(64,359)
(65,106)
Operating income (1)
$75,052
$80,727
$79,950
$81,235
$84,383
$83,229
$82,391
$78,471
Net income (loss) and 
comprehensive income (loss) (1)
$(1,011,743)
$(113,389)
$(94,740)
$(107,660)
$(257,652)
$(94,177)
$28,062
$(18,763)
per unit (basic and diluted) (1)
$(7. 24)
$(0. 81)
$(0. 68)
$(0. 77)
$(1. 84)
$(0. 67)
$0. 20
$(0. 13)
Weighted average units  
(basic and diluted) (2)
139,765,128 139,765,128 139,765,128 139,765,128 139,765,128 139,765,128 139,765,128 139,765,128
Distributions (1)(3)
$50,316
$62,895
$62,894
$62,894
$62,894
$62,895
$62,894
$62,894
FFO (4)
$60,475
$63,719
$68,999
$71,084
$72,395
$77,645
$72,089
$81,149
FFO per unit  
(basic and diluted) (4)
$0. 433
$0. 456
$0. 494
$0. 509
$0. 518
$0. 556
$0. 516
$0. 581
FFO payout ratio (4)
83. 2%
98. 7%
91. 2%
88. 5%
86. 9%
81. 0%
87. 2%
77. 5%
All amounts below are excluding 
condominium-related items, 
financing prepayment costs and 
the mark-to-market adjustment  
on unit-based compensation (5)
FFO (4)
$58,571
$65,742
$69,198
$71,515
$74,747
$74,782
$73,483
$80,794
FFO per unit  
(basic and diluted) (4)
$0. 419
$0. 470
$0. 495
$0. 512
$0. 535
$0. 535
$0. 526
$0. 578
FFO payout ratio (4)
85. 9%
95. 7%
90. 9%
87. 9%
84. 1%
84. 1%
85. 6%
77. 8%
AFFO (4)
$50,488
$61,152
$63,676
$65,256
$66,626
$65,142
$66,612
$75,054
AFFO per unit  
(basic and diluted) (4)
$0. 361
$0. 438
$0. 456
$0. 467
$0. 477
$0. 466
$0. 477
$0. 537
AFFO payout ratio (4)
99. 7%
102. 9%
98. 8%
96. 4%
94. 4%
96. 6%
94. 4%
83. 8%
NAV per unit (6)
$29. 87
$38. 05
$38. 97
$39. 99
$41. 25
$43. 76
$44. 43
$44. 84
Net debt as a multiple of 
annualized adjusted EBITDA (4)
12. 9x
12. 3x
11. 9x
11. 6x
10. 8x
10. 7x
10. 9x
9. 4x
Total indebtedness ratio (4)
50. 7%
45. 2%
44. 0%
42. 9%
41. 7%
39. 7%
39. 1%
35. 9%
Total rental GLA
14,500
14,403
14,419
14,314
14,317
14,504
14,869
14,636
Leased rental GLA
12,671
12,583
12,570
12,436
12,479
12,642
12,947
12,728
Leased area %
87. 4%
87. 4%
87. 2%
86. 9%
87. 2%
87. 2%
87. 1%
87. 0%

58
ALLIED 2025 ANNUAL REPORT
(1)	 This measure is presented on a GAAP basis.
(2)	 This includes the weighted average number of Units and Exchangeable LP Units.
(3)	 Includes distributions on Units and Exchangeable LP Units. 
(4)	 This is a non-GAAP measure, as defined on page 18.
(5)	 In the second quarter of 2025, Allied incurred $166 for accelerated amortization of deferred financing costs in connection with the early 
repayment of an unsecured term loan. In the third quarter of 2025, Allied incurred $568 for accelerated amortization of deferred financing 
costs in connection with the refinancing of its unsecured revolving operating facility. In the fourth quarter of 2024, Allied incurred $501 for 
accelerated amortization of deferred financing costs in connection with the disposition of a property. 
(6)	 Net asset value per unit (“NAV per unit”) is calculated as total equity plus the value of class B limited partnership units of Allied Properties 
Exchangeable Limited Partnership (“Exchangeable LP Units”) as at the corresponding period ended, divided by the actual number of Units  
and Exchangeable LP Units. The rationale for including the value of Exchangeable LP Units is because they are economically equivalent to 
Units, receive distributions equal to the distributions paid on the Units and are exchangeable, at the holder’s option, for Units.
Allied’s quarterly results for the past eight quarters are impacted by occupancy, the economic productivity 
of the portfolio, acquisitions, dispositions, the magnitude and timing of development expenditures and 
project completions, interest rate fluctuations and changes in the fair values of investment properties and 
investment properties held for sale, derivative instruments, and Exchangeable LP Units.

59
ALLIED 2025 ANNUAL REPORT
Section V
—Asset Profile
Allied is an owner-operator of distinctive urban workspace in five major cities across Canada.  Its urban 
portfolios are concentrated in mixed-use, amenity-rich neighbourhoods.

60
ALLIED 2025 ANNUAL REPORT
As at December 31, 2025, Allied’s portfolio of 198 investment properties consists of 191 rental properties 
(four of which are partially under development), two development properties, and five investment 
properties held for sale.  Allied’s portfolio of investment properties and investment properties held for 
sale has a fair value of $8,493,625 as at December 31, 2025.  Refer to note 5 of Allied’s audited consolidated 
financial statements for the years ended December 31, 2025, and December 31, 2024, for details for the 
methodologies utilized in the valuation of Allied’s investment properties and investment properties held 
for sale.
Changes to the carrying amounts of investment properties and investment properties held for sale are 
summarized in the following table:
THREE MONTHS ENDED  
DECEMBER 31, 2025
YEAR ENDED  
DECEMBER 31, 2025
RENTAL 
PROPERTIES
PROPERTIES 
UNDER 
DEVELOPMENT
TOTAL
RENTAL 
PROPERTIES
PROPERTIES 
UNDER 
DEVELOPMENT
TOTAL
Balance, beginning of period
$8,904,358
$610,680
$9,515,038
$8,861,454
$846,739
$9,708,193
Additions:
Acquisitions
—
—
—
—
90,592
90,592
Improvement allowances 
36,072
229
36,301
64,447
2,520
66,967
Leasing commissions 
10,578
2,145
12,723
19,251
4,044
23,295
Capital expenditures 
24,334
21,089
45,423
60,429
126,661
187,090
Dispositions
(93,325)
—
(93,325)
(139,575)
—
(139,575)
Transfers from PUD
71,181
(71,181)
—
461,217
(461,217)
—
Transfers to PUD
(3,830)
3,830
—
(58,218)
58,218
—
Transfers from (to) other 
assets
(95)
—
(95)
(349)
—
(349)
Amortization of straight-
line rent and improvement 
allowances 
(8,303)
—
(8,303)
(34,075)
(278)
(34,353)
Fair value loss on investment 
properties and investment 
properties held for sale 
(902,756)
(111,381)
(1,014,137)
(1,196,367)
(211,868)
(1,408,235)
Balance, end of period 
$8,038,214
$455,411
$8,493,625
$8,038,214
$455,411
$8,493,625
Investment properties 
$7,987,634
$455,411
$8,443,045
$7,987,634
$455,411
$8,443,045
Investment properties held 
for sale
50,580
— 
50,580
50,580
— 
50,580
Investment properties and 
investment properties held 
for sale
$8,038,214
$455,411
$8,493,625
$8,038,214
$455,411
$8,493,625

61
ALLIED 2025 ANNUAL REPORT
As at December 31, 2025, Allied had five investment properties held for sale, totalling $50,580.  As at 
December 31, 2024, Allied had 14 properties classified as investment properties held for sale totalling 
$259,830.  The decrease of $209,250 for the year ended December 31, 2025, is due to the re-classification 
of eight properties from investment properties held for sale to investment properties and the sale of 
nine investment properties held for sale, partially offset by the addition of eight properties to investment 
properties held for sale.  
For the three months ended and year ended December 31, 2025, Allied recognized a fair value loss on 
investment properties and investment properties held for sale of $1,014,137 and $1,408,235, respectively.  
This was mainly due to adjustments to the expansion of capitalization rates based on recent transactions 
in the market, adjustments to cash flow assumptions, and carrying and construction cost increases in the 
development portfolio.
In accordance with IAS 23 - Borrowing Costs, interest is capitalized on qualifying assets in connection 
with all costs required to get the assets ready for their intended use (refer to note 2 (g) in Allied’s audited 
consolidated financial statements for the year ended December 31, 2025, for further details).  This would 
include upgrade work as well as work completed in relation to a future development, such as obtaining 
zoning approval, completing site approval plans, and engineering and architectural drawings.
Qualifying assets include those properties in the development portfolio as well as areas of properties in 
the rental portfolio where capital investment is taking place to upgrade and/or reposition space (such as 
conversions from office to retail use, major floorplate reconfigurations, system infrastructure upgrades, 
or significant user build-outs/lobby transformations associated with repositioning initiatives).  Interest is 
capitalized on the cost base of the property at the rate applicable to property-specific debt.  If no property-
specific debt exists, Allied’s weighted average cost of debt is applied.
The cost base of qualifying assets includes predevelopment costs to acquire the land and building as well 
as incremental capital.  Capitalization commences when the activities necessary to prepare an asset for 
development or redevelopment begin, ceases once the asset is substantially complete or if the development 
of the asset is suspended.  The amount of borrowing costs capitalized is determined first by reference 
to borrowings specific to the project, where applicable.  Where borrowings are associated with specific 
developments, the amount capitalized is the interest incurred on those specific borrowings.  If there are no 
borrowings specific to the project, a weighted average cost of borrowings is applied to eligible expenditures 
after adjusting for borrowings associated with specific developments.  The capitalization of borrowing costs 
is suspended if there are prolonged periods when development activity is interrupted.  On completion of 
upgrade and development activity, the ability to capitalize interest expense ends, partially offsetting the 
financial impact of lease commencement.
For the three months ended December 31, 2025, Allied capitalized $13,564 of borrowing costs to its capital 
expenditures, $8,688 of which related to development activity, $2,660 to upgrade activity in the rental 
portfolio and $2,216 to qualifying residential inventory.  The weighted average cost base of qualifying asset 
for the three months ended December 31, 2025 was $1,465,068.

62
ALLIED 2025 ANNUAL REPORT
For the year ended December 31, 2025, Allied capitalized $61,333 of borrowing costs to its capital 
expenditures, $40,638 of which related to development activity, $11,485 to upgrade activity in the rental 
portfolio and $9,210 to qualifying residential inventory.  The weighted average cost base of qualifying assets 
was $1,657,648 for the year ended December 31, 2025.
Upgrade activity within the rental portfolio included various repositioning initiatives where Allied has 
undertaken significant capital expenditures over a substantial period of time to materially improve the space 
with the objective of attracting higher quality users at significantly improved rental rates to generate future 
economic benefit.  These initiatives primarily took place at La Cité in Montréal, 175 Bloor Street E in Toronto, 
and 1185 West Georgia in Vancouver.
Transformations include asset repositioning, upgrades of common area amenities, and select urban office 
units as well as conversion of ground floor space to retail use.  These projects are typically completed using a 
phased approach to mitigate disruption to existing income generation.
Allied also undertook major repositioning of individual units across several properties in the rental portfolio 
totalling 130,170 square feet with a cost base of $57,786 during 2025.  
In accordance with IFRS, Allied revalues all of its investment properties and investment properties held for 
sale for each reporting period.  
Allied primarily uses the discounted cash flow (“DCF”) method to calculate the value of its properties.  The 
DCF method applies discount rates to the projected annual operating cash flow, generally over a minimum 
ten-year period, including a terminal value of the properties based on a terminal capitalization rate 
applied to the estimated NOI, a non-GAAP measure, in the terminal year.  The DCF method includes rental 
projections from contractual leases, operating cost recoveries and assumptions with respect to inflation, 
credit loss, turnover, and market leasing assumptions.  
Where applicable, Allied also uses the comparable sales method.  This approach compares a subject 
property’s characteristics with those of comparable properties which have recently sold.  The process uses 
one of several techniques to adjust the price of the comparable transactions according to the presence, 
absence, or degree of characteristics which influence value.  Allied primarily uses this method to value 
underutilized land, including properties with incremental density when allowed by IFRS.  To reflect the 
value of future density, three criteria must be met: it must be financially feasible, legally permissible, and 
physically possible.
The other valuation methodology that is commonly used in real estate valuations is the direct capitalization 
method (“DCM”).  Under this approach, capitalization rates are applied to the estimated stabilized NOI of the 
properties, less any costs incurred to lease-up vacancy.  Allied uses this methodology primarily for stabilized 
multifamily properties, as applicable.  
Allied engages a third-party professional appraiser to maintain the appraisal models and conclude on the 
appropriateness of the terminal capitalization rates and discount rates applied in each DCF model.  The 
engagement is led by professional, independent and qualified appraisers who are designated Accredited 
Appraiser Canadian Institute members and hold their P. App designation.  

63
ALLIED 2025 ANNUAL REPORT
Allied views the DCF method as the most robust methodology because it includes forecasted detailed cash 
flows, which capture expected turnover, contractual rental increases, and the ability to mark-to-market 
rental rates upon tenant expiry.  Allied also assigns an overall capitalization rate to each property to compare 
to market data, which is typically quoted on an overall capitalization rate basis.  Allied compares the 
valuation that would be obtained under the DCM approach using the overall capitalization rate to the value 
determined using the DCF method, as a reasonability check.  Allied’s terminal capitalization rates used in 
the DCF model are typically 25-75 bps above the overall capitalization rates assigned, to reflect the risk and 
uncertainty over time.
Allied determines capitalization rates and discount rates by looking at both market reports and actual 
property sales.  When a property is sold, it provides valuable market data that helps inform rate selection.  
Allied examines the details of each sale to understand factors that affect the capitalization rate, since each 
transaction is unique.
Allied compares the rates in the market to its own portfolio across a wide range of attributes.  These include 
the intentions of the purchaser (such as owner-occupier, developer, or investor), the nature of the interest 
sold (freehold vs leasehold), and key location factors like proximity to transit, the urban core, and nearby 
amenities.  Allied also considers the property’s retail and office mix, classification (Class A, B, I, etc. ), user 
mix, user covenant strength, occupancy levels, and weighted average lease term.  Physical characteristics 
such as building age, floor plate size, property condition, and frontage on major streets are reviewed, 
along with financial factors including in-place income, potential uptick, or erosion of rental rates upon 
lease expiry and rollover to market, expected turnover, and user credit risk.  Collectively, these factors are 
analyzed to determine how appropriate the capitalization rates of sales in the market are as a benchmark for 
Allied’s properties.
The weighted average rates utilized in the valuation of investment properties and investment properties 
held for sale are as follows:
WEIGHTED AVERAGE
DECEMBER 31, 
2025
DECEMBER 31, 
2024
Discount rate
6.54%
6. 09%
Terminal capitalization rate
5.71%
5. 27%
Overall capitalization rate
5.33%
4. 88%

64
ALLIED 2025 ANNUAL REPORT
The analysis below shows the estimated impact on fair values of possible changes in discount rates or 
terminal capitalization rates, assuming no changes in NOI or other assumptions: 
CHANGE IN DISCOUNT 
RATE OF
-0.50%
-0.25%
0.25%
0.50%
Increase (decrease) in fair value
Investment properties and investment 
properties held for sale
$332,072
$163,865 
$(159,649)
$(315,205)
CHANGE IN TERMINAL 
CAPITALIZATION RATE OF
-0.50%
-0.25%
0.25%
0.50%
Increase (decrease) in fair value
Investment properties and investment 
properties held for sale
$469,400
$223,460
$(203,976)
$(390,949)
The table below further details the overall capitalization rates assigned to Allied’s urban workspace portfolio 
as at December 31, 2025.  While these rates are not direct inputs to the DCF model, Allied uses them for 
comparison to market data to determine the appropriateness of the terminal capitalization rate and 
discount rate used in each DCF model.  
OVERALL 
CAPITALIZATION  
RATE
DECEMBER 31, 2025
DECEMBER 31, 2024
RANGE %
WEIGHTED 
AVERAGE %
FAIR  
VALUE $ 
RANGE %
WEIGHTED 
AVERAGE %
FAIR  
VALUE $ 
Montréal
5.25% - 7.75%
5.74%
$2,057,120
4. 75% - 7. 50%
5. 30%
$2,333,875
Toronto & Kitchener 
4.50% - 6.75%
5.14%
4,463,430
4. 00% - 6. 00%
4. 72%
4,632,053
Calgary 
7.00% - 9.50%
8.68%
137,954
6. 75% - 7. 75%
7. 33%
183,632
Vancouver
4.50% - 6.00%
5.17%
945,360
4. 00% - 5. 25%
4. 32%
1,170,000
Urban workspace (1)
4.50% - 9.50%
5.40%
$7,603,864
4. 00% - 7. 75%
4. 90%
$8,319,560
(1)	 Urban workspace includes the retail component of office buildings and excludes the rental-residential portfolio of $383,770 and the properties 
under development of $455,411 as at December 31, 2025 (December 31, 2024 - $282,064 and $846,739, respectively).
RENTAL PROPERTIES
Allied’s rental portfolio was built by consolidating the ownership of urban office properties.  Scale within 
each city of focus proved to be important as Allied grew.  It enabled Allied to provide users with greater 
expansion flexibility, more parking and better human and digital connectivity than its direct competitors.  
Scale across the country also proved to be important.  It enabled Allied to serve national and global users 
better, to expand its growth opportunities and to achieve meaningful geographic diversification.  Allied has 
evolved into a leading owner-operator of urban workspace in Canada’s major cities.  

65
ALLIED 2025 ANNUAL REPORT
ACQUISITIONS AND DISPOSITIONS
During the year ended December 31, 2025, Allied completed the following acquisition:
PROPERTY
ACQUISITION  
DATE
PROPERTY  
TYPE
INVESTMENT 
PROPERTY
INTEREST 
ACQUIRED
108 East 5th Avenue (1)
September 25, 2025
Office
$90,592
50%
 
$90,592
(1)	 Allied acquired an incremental 50% interest on September 25, 2025, increasing Allied’s total ownership in 108 East 5th Avenue to 100%.
On September 25, 2025, the purchase price, including acquisition costs, for an incremental 50% interest in 
108 East 5th Avenue in Vancouver of $90,592, was satisfied by the assumption of the remaining construction 
loan of $64,745, settlement of receivables due from the seller of $24,930 and working capital of $917.
During the year ended December 31, 2025, Allied completed the following dispositions of investment 
properties:
PROPERTY
DISPOSITION  
DATE
PROPERTY  
TYPE
GROSS  
PROCEEDS
Boardwalk-Revillon Building, Edmonton
April 30, 2025
Office, retail
$20,000
1220 Homer, Vancouver
July 25, 2025
Office
13,250
4396-4410 Saint-Laurent, Montréal
September 30, 2025
Office, retail
13,000
342 Water, Vancouver
November 10, 2025
Office, retail
10,700
3510 Saint-Laurent, Montréal
November 19, 2025
Office, retail
23,000
3530-3540 Saint-Laurent, Montréal
November 19, 2025
Office, retail
10,000
3575 Saint-Laurent, Montréal
December 11, 2025
Office, retail
30,000
252-264 Adelaide Street E, Toronto (1)
December 15, 2025
Office, retail
11,600
365 Railway, Vancouver
December 30, 2025
Office
8,025
Total gross proceeds
$139,575
Net working capital adjustments
(1,471)
Selling costs
(5,349)
Net cash consideration received
$132,755
(1)	 Includes disposition of one ancillary parking facility.

66
ALLIED 2025 ANNUAL REPORT
The gross proceeds were equivalent to the fair value of these investment properties at the time of 
disposition, therefore, there was no gain or loss recorded on closing.
During the fourth quarter of 2025, Allied entered into agreements to sell four of its investment properties 
held for sale.  On February 2, 2026, Allied closed on the disposition of three of these investment properties 
held for sale, which includes 183 Bathurst in Toronto, for a selling price of $11,000, 489 Queen E in Toronto, 
for a selling price of $10,000 and 70 Richmond E in Toronto, for a selling price of $8,000.  The sale of 400 
Atlantic in Montréal is expected to close on February 18, 2026 for a selling price of $17,000.
RENTAL PROPERTIES UNDERGOING INTENSIFICATION APPROVAL
One way Allied creates value is by intensifying the use of underutilized land.  The land beneath the buildings 
in Toronto is significantly underutilized in relation to the existing zoning potential.  This is also true of some 
of Allied’s buildings in Kitchener, Montréal, Calgary, and Vancouver.  These opportunities are becoming more 
compelling as the urban areas of Canada’s major cities intensify.  Since Allied has captured the underutilized 
land value at a low cost, it can achieve attractive risk-adjusted returns on intensification.  
Allied began tracking the intensification potential inherent in the Toronto portfolio in the fourth quarter of 
2007.  At the time, the 46 properties in Toronto comprised 2. 4 million square feet of GLA and were situated 
on 780,000 square feet (17. 8 acres) of underutilized land immediately east and west of the Downtown Core.  
The 107 properties (excluding those held for sale) in Toronto now comprise 5. 8 million square feet of current 
rental portfolio GLA (including residential) and are situated on 36. 5 acres of underutilized land immediately 
east and west of the Downtown Core.  With achievable rezoning, the underlying land in our Toronto portfolio 
could permit up to 12. 1 million square feet of GLA, 6. 3 million square feet more than currently is in place.  
Allied entered the Montréal market in April of 2005.  The 25 properties (excluding those held for sale) in 
Montréal now comprise 5. 9 million square feet of current rental portfolio GLA.  As they are much larger 
buildings on average than those comprising the Toronto portfolio, the 34. 2 acres of land on which they sit 
(immediately south, east and northeast of the Downtown Core) are more fully utilized than the land in the 
Toronto portfolio.  Nevertheless, the underlying land in the Montréal portfolio could permit up to 8. 1 million 
square feet of GLA, 2. 2 million square feet more than currently is in place.
There is similar potential inherent in the rest of Allied’s portfolio, which is quantified in the chart below.  
Across Canada on a portfolio-wide basis, there are 0. 9 million square feet currently in PUD and 10. 3 million 
square feet of potential incremental density, totalling 11. 2 million square feet as at December 31, 2025.  Of the 
10. 3 million square feet of potential incremental density, 6. 1 million square feet is reflected in the appraised 
fair values, mainly on properties where zoning approvals are in place.  The remaining 4. 2 million square feet 
is not reflected in the appraised fair values.

67
ALLIED 2025 ANNUAL REPORT
The table below summarizes the potential incremental density by city:
CITY
CURRENT 
RENTAL 
PROPERTIES (1)
CURRENT PUD 
(ESTIMATED ON 
COMPLETION)
POTENTIAL DENSITY 
FROM ZONING 
COMPLETED OR  
IN PROGRESS
ADDITIONAL 
POTENTIAL 
DENSITY
TOTAL 
POTENTIAL GLA 
Toronto
5,841,989
84,000
3,289,864
2,920,147
12,136,000
Kitchener
708,490
—
—
333,184
1,041,674
Montréal
5,843,884
563,818
1,071,387
665,077
8,144,166
Calgary
1,264,972
—
—
1,521,686
2,786,658
Vancouver
1,243,990
255,356
214,997
307,227
2,021,570
Total
14,903,325
903,174
4,576,248
5,747,321
26,130,068
(1)	 Includes residential GLA of 282,539 for Toronto House and 121,071 for Calgary House. 
The timing of development for the 10. 3 million square feet of potential incremental density is impossible to 
predict with precision.  One factor is our self-imposed limitation on development activity.  The chart below 
provides a reasonable estimate of when the potential could begin to be realized:
84
1,309
5,234
1,522
564
127
1,609
255
522
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
10,000
Current PUD
Short Term
(0-5 Years)
Medium Term
 (5-10 Years)
Long Term
(10+ Years)
Potential Incremental Density (in thousands of square feet)
Development Potential
Toronto & Kitchener
Calgary
Montréal
Vancouver

68
ALLIED 2025 ANNUAL REPORT
DEVELOPMENT PROPERTIES 
Development is another way to create value and a particularly effective one for Allied, given the strategic 
positioning of its portfolio in the urban areas of Canada’s major cities.  Urban intensification is the single 
most important trend in relation to Allied’s business.  Not only does it anchor Allied’s investment and 
operating focus, it provides the context within which Allied creates value for its Unitholders.  
The completion of projects currently under development is an important component of Allied’s 
growth.  The expectation is largely contingent upon completing the development projects in the manner 
contemplated.  The most important factor affecting completion will be successful lease-up of space in the 
development portfolio.  The material assumption is that there continues to be demand for leasing office 
space.  Allied will not commence material development of its urban office portfolio unless it has significant 
pre-leased commitments to mitigate risk.  Pursuant to the Declaration of Trust, the cost of Properties 
Under Development cannot exceed 15% of GBV.  At December 31, 2025, the cost of the Properties Under 
Development was 7. 6% of GBV (December 31, 2024 - 10. 1%).  This self-imposed limitation is intended to align 
the magnitude of Allied’s development activity with the overall size of the business.
Properties Under Development consist of properties purchased with the intention of being developed or 
redeveloped before being operated and properties transferred from the rental portfolio once activities 
changing the condition or state of the property, such as the de-leasing process, commence.  There are two 
main types of properties under development: ground-up developments and redevelopments.  Ground-up 
developments involve construction of significant amounts of new leasable area.  Redevelopments involve 
transformation of existing leasable area to enhance revenue-producing capabilities.
Allied has six Properties Under Development, of which two are ground-up developments and four are 
redevelopments.  Of the six properties under development, four are partially in the rental portfolio.  
The following table sets out the Properties Under Development as at December 31, 2025, as well as 
Management’s estimates with respect to the financial outcome on completion.  Estimated NOI from 
development completion is based on stabilized occupancy and, in the first year, its impact is moderated by 
the discontinuation of capitalized costs.

69
ALLIED 2025 ANNUAL REPORT
ESTIMATED
ACTUAL
PROPERTY 
NAME
OWNERSHIP
TRANSFER 
TO RENTAL 
PORTFOLIO
OFFICE  
GLA
RETAIL  
GLA
ANNUAL  
NOI
TOTAL 
COST (1)
YIELD  
ON COST
COST TO 
COMPLETE
% 
LEASED
Ground-up 
developments
108 East 5th Avenue, 
Vancouver (2)
100%
Q1 2026
204,000
—
$9,000 - 9,200
$217,768
4. 1% - 4. 2%
$17,082
90%
KING Toronto, 
Toronto -  
Commercial (3)
50%
Q2 2027 to 
Q3 2027
23,000
61,000
5,000 - 6,000
158,069
3. 2% - 3. 8%
41,076
20%
Redevelopments (4)(5)
100%
Up to 
Q4 2026
535,755
79,419
14,300 - 15,100+
439,460+
3. 3% - 3. 4%+
20,812+
31%
Total
762,755
140,419 $28,300 - $30,300+
(1)	 Total cost includes the pre-development costs to acquire land and building (excluding any fair value adjustments).
(2)	 On September 25, 2025, Allied acquired an incremental 50% interest in 108 East 5th Avenue, increasing its ownership to 100%.
(3)	 KING Toronto includes a residential component. 
(4)	 Includes redevelopment projects with phased completions. Reported total cost and expected yield may vary as phases are completed or as 
future phases are added to the redevelopment activity. 
(5)	 Excluding the pre-development costs, the yield on cost on the redevelopments would be 7.8% - 8.2%.
The following table summarizes Management’s estimates as at December 31, 2025, with respect to the 
financial outcome on completion of the KING Toronto development, which has a commercial and residential 
component.
ESTIMATED
PROPERTY NAME
OWNERSHIP
COMPLETION DATE
TOTAL COST
COST TO COMPLETE
KING Toronto, Toronto - Residential (1)
50%
Q3 2026 to Q4 2026
$339,053
$73,280
KING Toronto, Toronto - Commercial
50%
Q2 2027 to Q3 2027
$158,069
$41,076
Total
$497,122
$114,356
(1)	 The estimated gross proceeds are $285,000 - $294,500 from the sale of the residential inventory. The residential component consists of 
440 units. As at December 31, 2025, 405 units or 92% have been pre-sold, subject to customary closing conditions. Management expects the 
condominium occupancy to begin in the third quarter of 2026 with condominium sales to close in the first quarter of 2027, at which time the 
building will be registered and all cash proceeds will be received. 

70
ALLIED 2025 ANNUAL REPORT
The following are the redevelopment projects:
ESTIMATED GLA (SF) (1)
PROPERTY NAME
OFFICE
RETAIL
375 Water, Vancouver
47,393
3,963
1001 Boulevard Robert-Bourassa, Montréal
249,193
21,217
RCA Building, Montréal
158,444
32,880
747 Square-Victoria, Montréal
80,725
21,359
Total
535,755
79,419
(1)	 The GLA represents the portion of the property that is under development.
The initial cost of Properties Under Development includes the acquisition cost of the property, direct 
development costs, operating costs, realty taxes and borrowing costs directly attributable to the 
development.  Borrowing costs, operating costs and realty taxes associated with direct expenditures on 
Properties Under Development are capitalized.  The amount of capitalized borrowing costs is determined 
first by reference to borrowings specific to the project, where relevant, and otherwise by applying a 
weighted average cost of borrowings to eligible expenditures after adjusting for borrowings associated with 
other specific developments.
Transfer to the rental portfolio occurs when the property is capable of operating in the manner intended 
by Management.  Generally this occurs upon completion of construction and receipt of all necessary 
occupancy and other permits.  In some instances, particularly in ground-up developments, base building 
work is underway during the fixturing period.  In this case, transfer to the rental portfolio occurs when 
the base building work is complete.  Estimated annual NOI is based on 100% economic occupancy.  The 
most important factor affecting estimated annual NOI is the successful lease-up of vacant space in the 
development properties at current levels of net rent per square foot.  The material assumption is that the 
office leasing market in the relevant markets remains stable.  Estimated total cost includes acquisition cost, 
estimated total construction, financing costs and realty taxes.  The material assumption made in formulating 
the estimated total cost is that construction and financing costs remain stable for the remainder of the 
development period.  Estimated yield on cost is the estimated annual NOI as a percentage of the estimated 
total cost.  Estimated cost to complete is the difference between the estimated total cost and the costs 
incurred to date.
As at December 31, 2023, Allied had ground-up and redevelopment projects that were expected to 
contribute $90,000 to $103,000 in stabilized NOI on completion, which included Toronto House and 
properties that have been disposed since then.  Excluding Toronto House which is contemplated to be sold 
in 2026 and properties that have been disposed since December 31, 2023, Allied now expects to achieve 
stabilized NOI of $77,000 to $96,000 throughout 2027 and 2028, subject to timing and terms of leasing 
activity.

71
ALLIED 2025 ANNUAL REPORT
As at December 31, 2025, completed projects have contributed $60,349 based on this quarter’s annualized 
NOI, including Toronto House.  Excluding Toronto House, we expect incremental annualized NOI of $5,000 
in 2026 primarily from rent commencement at 108 East 5th Avenue in Vancouver which will start to be 
economically productive in 2026 and reach stabilization in 2027.  
LOANS RECEIVABLE
The table below summarizes the loans receivable as at December 31, 2025, and December 31, 2024:
MATURITY DATE
DECEMBER 31,  
2025
DECEMBER 31,  
2024
KING Toronto (1)
March 31, 2027
$216,080
$181,123
Breithaupt Phase III (2)
N/A
8,928
9,913
150 West Georgia
December 31, 2026
248,638
221,281
473,646
412,317
Expected credit loss on loans 
receivable
(128,000)
—
Total loans receivable
$345,646
$412,317
(1)	 The facility matures at the earlier of March 31, 2027, or the closing of the condominium units. 
(2)	 The loan is repayable in installments.
On September 25, 2025, the interest receivable of $5,017 on the KING Toronto loan, was settled when Allied 
acquired an incremental 50% interest in 108 East 5th Avenue from Westbank.  
During the fourth quarter of 2025, the KING Toronto loan was amended to add an additional credit facility in 
the principal amount not to exceed $23,000 plus interest.  Interest accrues on this facility at a rate of prime 
plus 8. 00% per annum and matures on March 31, 2027.  In addition, the maturity dates on the KING Toronto 
facilities were extended from December 31, 2026, to March 31, 2027.  As at December 31, 2025, accrued 
interest of $58,790 is included in the outstanding balance of $216,080.
Allied provided the above additional credit facility of $23,000 plus interest on the KING Toronto loan to 
fund owner equity requirements resulting from cost overruns and to fund construction costs on behalf of 
Westbank, as the construction loan was inaccessible.  The provision of the additional credit facility enabled 
construction activity to continue without additional delay.  Completing KING Toronto within the construction 
timeline will minimize additional construction costs and ensure the project is ready for occupancy before 
the Tarion outside occupancy date of May 31, 2028.  The Tarion outside occupancy date is the date whereby 
the KING Toronto condominiums must be finished and handed over to the purchasers, otherwise, they 
have the option to cancel their sales contracts and Allied would have to return their initial deposits.  Allied 
has assumed full operational control of KING Toronto and is the active development manager, responsible 
for development management and accounting.  The KING Toronto loan receivable is to be settled through 
a partial cash payment and conversion to equity in the commercial component resulting in Allied owning 
100% following repayment in full of the construction loan in 2027.

72
ALLIED 2025 ANNUAL REPORT
During the fourth quarter of 2025, the 150 West Georgia facility was increased by $27,000 to a principal 
amount not to exceed $212,000, plus interest, and the maturity date was extended from December 9, 
2025, to December 31, 2026.  The incremental funding of $27,000 is required to complete construction 
currently underway in order to facilitate the repayment of the loan receivable outstanding to Allied.  With 
entitlement and power-allocation for a large-scale AI data centre now in place, the property is marketed for 
development and operation by others.  Allied also received additional collateral as part of this loan facility 
in the form of a pledge of shares in a subsidiary partially owned by Westbank.  As at December 31, 2025, 
accrued interest of $58,596 is included in the outstanding balance of $248,638.
Based on Allied’s assessment of expected credit losses on an individual loan basis, a portion of the loans 
receivable experienced a significant increase in credit risk since initial recognition.  Therefore, Allied has 
recognized an expected credit loss equal to the lifetime expected credit losses on the loans receivable.  The 
expected credit loss is measured as a probability-weighted estimate of the expected present value of cash 
shortfalls.  Cash shortfalls represent the difference between the cash flows owed to Allied and the cash flows 
expected to be received by Allied.  Allied’s assessment took into consideration the borrower’s financial 
position, status of corporate guarantees, construction and leasing status on development projects, status 
of principal and interest payments, and the underlying value of the borrower’s security or collateral.  As a 
result of the assessment based on the factors described above, Allied recorded an expected credit loss on 
loans receivable for the year ended December 31, 2025 of $128,000 (December 31, 2024 - $nil).

73
ALLIED 2025 ANNUAL REPORT
Section VI
—Liquidity and Capital Resources
Allied’s liquidity and capital resources are used to fund capital investments including development activity 
and leasing costs, interest expense and distributions to Unitholders.  The primary source of liquidity is net 
operating income generated from rental properties, which is dependent on rental and occupancy rates and 
the structure of lease agreements, among other variables.
Allied has financed its operations through the use of equity, Exchangeable LP Units, mortgage debt secured 
by investment properties, construction loans, an unsecured revolving operating facility, senior unsecured 
debentures, unsecured term loans and capital recycling.  Allied’s objective is to maximize financial flexibility 
while continuing to strengthen the balance sheet.  As at December 31, 2025, 89. 0% of investment properties 
were unencumbered.  
As at December 31, 2025, Allied liquidity of $836,356 is comprised of cash and cash equivalents of $96,609 
and the available portion of its unsecured revolving operating facility of $739,747.

74
ALLIED 2025 ANNUAL REPORT
DEBT
The following illustrates the calculation of debt (net of transaction costs) on a GAAP basis and net debt, 
a non-GAAP measure, as defined on page 18, as at December 31, 2025, and December 31, 2024.  As at 
December 31, 2025, 99. 98% of Allied’s debt is at a fixed rate (December 31, 2024 - 94. 25%).
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Mortgages payable
$491,101
$437,536
Construction loans payable
99,900
473,866
Unsecured revolving operating facility
51,000
—
Senior unsecured debentures
3,939,944
2,842,388
Unsecured term loans
99,818
649,585
Debt, GAAP basis 
$4,681,763
$4,403,375
Less: cash, cash equivalents and deposit (1)
96,609
152,518
Net debt
$4,585,154
$4,250,857
(1)	 The deposit as at December 31, 2024, was fully repaid in July 2025.
In 2024, Allied amended the benchmark rates in its debt and swap agreements from CDOR to CORRA 
including a credit spread adjustment (“Adjusted CORRA”), as applicable, due to the cessation of the 
publication of CDOR on June 28, 2024.
On October 3, 2024, Allied entered into a swap agreement with a financial institution to fix the rate on 
a notional amount of variable-rate debt of $175,000 by swapping the floating Adjusted CORRA for fixed 
interest payments at an interest rate of 3. 223% plus the relevant spread of the variable-rate debt.  The all-in 
fixed interest rate for the variable-rate debt, including the spread to which this swap was applied, ranged 
from 4. 527% to 4. 677% (December 31, 2024 - 4. 527% to 4. 927%).  The swap was effective October 31, 2024, 
with a maturity date of October 31, 2026, and was terminated on September 25, 2025, in connection with the 
new Unsecured Facility, resulting in a cash payment of $1,263.  Allied first applied the swap to the unsecured 
revolving operating facility, and where the swap exceeded the balance of the unsecured revolving operating 
facility at any point in time, Allied applied the swap to other variable-rate debt outstanding at the time.
In addition, Allied has a swap agreement with a financial institution to fix the rate on a notional amount of 
variable-rate debt of $250,000 by swapping the floating Adjusted CORRA for fixed interest payments at an 
interest rate of 2. 096% plus the relevant spread of the variable-rate debt.  The all-in fixed interest rate for 
the variable-rate debt, including the spread to which this swap applies to, ranges from 3. 496% to 3. 841% for 
the year ended December 31, 2025 (December 31, 2024 - 3. 496%).  This swap matures on January 14, 2031.  
Allied first applies this swap to the unsecured term loan, and the remaining balance is then applied to the 
unsecured revolving operating facility.  If the swap exceeds the balance of the unsecured revolving operating 
facility at any point in time, Allied applies the swap to other variable-rate debt outstanding at the time.

75
ALLIED 2025 ANNUAL REPORT
The table below summarizes the scheduled principal maturity and weighted average contractual interest 
rates for Allied’s mortgages payable, senior unsecured debentures and unsecured term loan: 
 
MORTGAGES 
PAYABLE
INTEREST RATE 
OF MATURING 
MORTGAGES
SENIOR 
UNSECURED 
DEBENTURES
INTEREST  
RATE
UNSECURED 
TERM LOAN
INTEREST  
RATE
TOTAL
CONSOLIDATED 
INTEREST RATE OF 
MATURING DEBT
2026
$27,116
3. 59%
$600,000
1. 73%
$—
—%
$627,116
1. 79%
2027
56,040
4. 76
700,000
3. 79
—
—
756,040
3. 85
2028
85,589
4. 43
550,000
4. 22
100,000
3. 50
735,589
4. 15
2029
97,637
4. 79
750,000
4. 24
—
—
847,637
4. 30
2030
228,949
5. 20
400,000
3. 12
—
—
628,949
3. 86
2031
—
—
450,000
4. 67
—
—
450,000
4. 67
2032
—
—
500,000
3. 10
—
—
500,000
3. 10
$495,331
4. 82%
$3,950,000
3. 57%
$100,000
3. 50%
$4,545,331
3. 69%
The chart below summarizes the maturities of principal for Allied’s debt (excluding construction loans 
and the unsecured revolving operating facility), which has a weighted average term of 3. 1 years, as at 
December 31, 2025 (December 31, 2024 - 3. 3 years):
$27.1
$56.0
$85.6
$97.6
$228.9
$600.0
$700.0
$550.0
$750.0
$400.0
$450.0
$500.0
1.79%
3.85%
4.15%
4.30%
3.86%
4.67%
3.10%
0.00%
1.00%
2.00%
3.00%
4.00%
5.00%
6.00%
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
2026
2027
2028
2029
2030
2031
2032
2033
2034
2035
Interest rate
Amount (in millions of $)
Year
MORTGAGES
UNSECURED TERM LOAN
UNSECURED DEBENTURES
CONSOLIDATED WEIGHTED AVERAGE CONTRACTUAL INTEREST RATE
$100.0

76
ALLIED 2025 ANNUAL REPORT
The table below summarizes the weighted average effective interest rate as at December 31, 2025, and 
December 31, 2024:
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Mortgages payable
4.82%
4. 81%
Senior unsecured debentures
3.57%
3. 10%
Unsecured term loans
3.50%
4. 34%
Unsecured revolving operating facility
3.84%
N/A
Total weighted average effective interest rate
3.70%
3. 50%
MORTGAGES PAYABLE
Mortgages payable with a fixed rate have a weighted average contractual interest rate of 4. 82% as at 
December 31, 2025 (December 31, 2024 - 4. 81%).  There were no variable rate mortgages payable as at 
December 31, 2025, and December 31, 2024.  The weighted average term of the mortgage debt is 3. 5 years 
(December 31, 2024 - 4. 7 years).  The mortgages are secured by a first registered charge over specific 
investment properties and first general assignments of leases, insurance and registered chattel mortgages.  
The following table contains information on the remaining contractual mortgage maturities:
PRINCIPAL 
REPAYMENTS
BALANCE DUE  
AT MATURITY
DECEMBER 31,  
2025
DECEMBER 31,  
2024
2026
$6,673
$20,443
$27,116
2027
6,040
50,000
56,040
2028
6,132
79,457
85,589
2029
6,139
91,498
97,637
2030
6,358
222,591
228,949
Mortgages, principal
$31,342
$463,989
$495,331
$441,495
Net financing costs
(4,230)
(3,959)
$491,101
$437,536

77
ALLIED 2025 ANNUAL REPORT
CONSTRUCTION LOANS PAYABLE
As at December 31, 2025, and December 31, 2024, Allied’s obligations relating to construction loans are as 
follows: 
OWNERSHIP
FACILITY  
LIMIT
DATE OF  
MATURITY
CONTRACTUAL  
INTEREST RATE
STANDBY FEE  
AND LETTER OF 
CREDIT FEE
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Adelaide & 
Duncan (1)
100%
$295,000
August 11, 2025
Prime + 0. 35% or 
Adjusted CORRA + 
1. 35%
0. 25% and 1. 00%
$—
$257,667
Breithaupt 
Phase III
50%
$67,200
April 30, 2025
Prime + 0. 25% or 
Adjusted CORRA + 
1. 45%
0. 20% and 1. 00%
—
57,572
KING Toronto
50%
$223,668
July 31, 2026
Prime + 0. 45% or 
Adjusted CORRA + 
1. 45%
0. 25% and 1. 00%
99,900
99,900
108 East 5th 
Avenue (2)
100%
$150,000
December 6, 2025
Prime + 0. 35% or 
Adjusted CORRA + 
1. 35%
0. 27% and 1. 00%
—
58,727
$99,900
$473,866
(1)	 Adelaide & Duncan consists of commercial and residential components. The residential component is located at 225 Adelaide Street W and is 
known as Toronto House. The commercial component is located at 19 Duncan. Allied acquired an incremental 45% interest and 5% interest in 
Adelaide & Duncan on April 1, 2024, and December 20, 2024, respectively, increasing Allied’s total ownership to 100%.
(2)	 On September 25, 2025, Allied acquired an incremental 50% interest in 108 East 5th Avenue in Vancouver, which increased Allied’s interest in 
the property to 100%.
On February 25, 2025, Allied fully repaid the construction lending facility for Adelaide & Duncan of 
$262,493, with no financing prepayment cost.
On March 21, 2025, the Breithaupt Phase III joint arrangement extended the maturity date from March 31, 
2025, to April 30, 2025.  On April 28, 2025, Allied and Perimeter fully repaid the construction loan of $57,572 
with proceeds from mortgage financing.  
On September 25, 2025, Allied acquired the remaining 50% interest in 108 East 5th Avenue, and assumed 
an additional $64,745 on the construction lending facility.  On September 26, 2025, Allied fully repaid the 
construction lending facility with no financing prepayment cost and terminated the swap with a cash 
payment of $217.  

78
ALLIED 2025 ANNUAL REPORT
UNSECURED REVOLVING OPERATING FACILITY
On September 29, 2025, Allied replaced its unsecured revolving operating facility with a new facility 
provided by six major Canadian financial institutions on the same financial terms and expiring on 
September 29, 2028.
As at December 31, 2025, and December 31, 2024, Allied’s obligation relating to the unsecured revolving 
operating facility (the “Unsecured Facility”) is as follows: 
DECEMBER 31, 2025
MATURITY  
DATE
CONTRACTUAL 
INTEREST RATES 
ON DRAWINGS (1)
STANDBY  
FEE
FACILITY 
LIMIT (2)
DRAWINGS
LETTERS  
OF CREDIT
AMOUNT  
AVAILABLE
September 29, 
2028
Prime + 0.45% or 
Adjusted CORRA + 
1.45%
0.29%
$800,000
$(51,000)
$(9,253)
$739,747
(1)	 The interest rates for this facility are subject to certain conditions being met. On April 15, 2025, the interest rate decreased for the Unsecured 
Facility from prime + 0.70% or Adjusted CORRA + 1.70% to prime + 0.45% or Adjusted CORRA + 1.45%.
(2)	 This Unsecured Facility contains a $100,000 accordion feature, allowing Allied to increase the amount available under the facility to 
$900,000. 
DECEMBER 31, 2024
MATURITY  
DATE
CONTRACTUAL 
INTEREST RATES 
ON DRAWINGS (1)
STANDBY  
FEE
FACILITY 
LIMIT (2)
DRAWINGS
LETTERS  
OF CREDIT
AMOUNT  
AVAILABLE
January 26, 2027
Prime + 0. 70% or 
Adjusted CORRA + 
1. 70%
0. 34%
$800,000
$—
$(10,506)
$789,494
(1)	 The interest rates for this facility are subject to certain conditions being met. On June 11, 2024, the spread, standby fee and letter of credit fee 
increased for the Unsecured Facility.
(2)	 This Unsecured Facility contains a $100,000 accordion feature, allowing Allied to increase the amount available under the facility to 
$900,000.

79
ALLIED 2025 ANNUAL REPORT
SENIOR UNSECURED DEBENTURES
As at December 31, 2025, and December 31, 2024, Allied’s obligations relating to the senior unsecured 
debentures are as follows:
SERIES
CONTRACTUAL 
INTEREST RATE
DATE OF 
MATURITY
INTEREST  
PAYMENT DATE
DECEMBER 31, 
2025
DECEMBER 31,  
2024
Series C
3. 636%
April 21, 2025
April 21 and October 21
$—
$200,000
Series D
3. 394%
August 15, 2029
February 15 and August 15
300,000
300,000
Series E
3. 113%
April 8, 2027
April 8 and October 8
300,000
300,000
Series F
3. 117%
February 21, 2030
February 21 and August 21
400,000
400,000
Series G
3. 131%
May 15, 2028
May 15 and November 15
300,000
300,000
Series H
1. 726%
February 12, 2026
February 12 and August 12
600,000
600,000
Series I
3. 095%
February 6, 2032
February 6 and August 6
500,000
500,000
Series J
5. 534%
September 26, 2028
March 26 and September 26
250,000
250,000
Series K
4. 808%
February 24, 2029
February 24 and August 24
450,000
—
Series L
4. 258%(1)
April 7, 2027
January 7, April 7, July 7 and 
October 7
150,000
—
Series M
4. 312%
April 7, 2027
April 7 and October 7
250,000
—
Series N
4. 667%
September 25, 2031
March 25 and September 25
450,000
—
Senior unsecured debentures, principal
$3,950,000
$2,850,000
Net financing costs
(10,056)
(7,612)
$3,939,944
$2,842,388
(1)	 This is the all-in fixed interest rate on the swapped debt.
The Series C, D, E, F, G, H, I, J, K, L, M and N senior unsecured debentures are collectively referred to as the 
“Unsecured Debentures”.  
On February 24, 2025, Allied issued $450,000 of 4. 808% Series K senior unsecured debentures (the 
“Series K Debentures”) on a private placement basis due February 24, 2029, with semi-annual interest 
payments due on August 24 and February 24 each year commencing on August 24, 2025.  Debt financing 
costs of $2,156 were incurred and recorded against the principal owing.  The Series K Debentures were 
Allied’s third green bond issuance.  Proceeds from the Series K Debentures were used to repay the Adelaide 
& Duncan construction loan due August 11, 2025, and the remaining proceeds were used towards redeeming 
the $200,000 aggregate principal amount of 3. 636% Series C senior unsecured debentures due April 21, 
2025 (the “Series C Debentures”).  No prepayment costs were incurred with the repayment of the Adelaide & 
Duncan construction loan and the redemption of the Series C Debentures.

80
ALLIED 2025 ANNUAL REPORT
On April 7, 2025, Allied issued $400,000 of senior unsecured debentures in two series on a private 
placement basis (the “Offering”).  The Offering included (i) $150,000 Series L senior unsecured debentures 
that bear interest at CORRA plus 1. 80% per annum (the “Series L Debentures”), due April 7, 2027, with 
quarterly interest payments payable in arrears due on January 7, April 7, July 7, and October 7 each year 
commencing on July 7, 2025, and (ii) $250,000 of 4. 312% Series M senior unsecured debentures (the 
“Series M Debentures”) due on April 7, 2027, with semi-annual interest payments due on April 7 and 
October 7 each year commencing on October 7, 2025.  Debt financing costs of $1,382 were incurred and 
recorded against the principal owing.  Proceeds from the Offering were used to fully repay the $400,000 
unsecured term loan maturing on October 22, 2025.
On April 7, 2025, Allied entered into a swap agreement to fix the floating-rate Series L Debentures at an all-in 
fixed interest rate of 4. 258% until April 7, 2027.
On September 25, 2025, Allied issued $450,000 of 4. 667% Series N senior unsecured debentures (the 
“Series N Debentures”) on a private placement basis due September 25, 2031, with semi-annual interest 
payments due on March 25 and September 25 each year commencing on March 25, 2026.  Debt financing 
costs of $2,200 were incurred and recorded against the principal owing.  The Series N Debentures were 
Allied’s fourth green bond issuance.  Proceeds from the Series N Debentures were used to fully repay the 108 
East 5th Avenue construction lending facility of $129,490 due December 6, 2025, partially repay $150,000 
of an unsecured term loan due January 14, 2026, and the balance was applied towards the repayment of 
amounts drawn on the Unsecured Facility.
UNSECURED TERM LOANS
As at December 31, 2025, and December 31, 2024, Allied’s obligations relating to the unsecured term loans 
are as follows: 
CONTRACTUAL 
INTEREST RATE
DATE OF 
MATURITY
FREQUENCY OF 
INTEREST PAYMENT
DECEMBER 31, 
2025
DECEMBER 31,  
2024
Unsecured 
term loan (1)
Prime + 0. 40% or 
Adjusted CORRA 
+ 1. 40%
January 14, 2028
Monthly
$100,000
$250,000
Unsecured 
term loan (2)
Prime + 0. 10% or 
Adjusted CORRA 
+ 1. 10%
October 22, 2025
Monthly 
—
400,000
Unsecured term loans, principal
$100,000
$650,000
Net financing 
costs
(182)
(415)
$99,818
$649,585
(1)	 The all-in fixed interest rate on this swapped debt is 3.496% as at December 31, 2025 (December 31, 2024 - 3.496%).
(2)	 The all-in fixed interest rate on this swapped debt is N/A as at December 31, 2025 (December 31, 2024 - 4.865%).

81
ALLIED 2025 ANNUAL REPORT
The two unsecured term loans are collectively referred to as “Unsecured Term Loans”.
On September 26, 2025, Allied repaid $150,000 of the unsecured term loan and extended the maturity on 
the remaining balance, from January 14, 2026 to January 14, 2028, by exercising two one-year extension 
options.  It is possible to extend the maturity date on this unsecured term loan through one-year extension 
options until January 14, 2031.
On April 8, 2025, Allied fully repaid the $400,000 unsecured term loan, incurring financing prepayment 
costs of $166 for accelerated amortization of deferred financing costs, and terminated the related swap with 
a cash payment of $2,124.
CREDIT RATINGS
Allied’s credit ratings as at December 31, 2025, are summarized below: 
RATING AGENCY
LONG-TERM  
CREDIT RATING
TREND
Issuer Rating & Unsecured Debentures
DBRS Limited
BBB
Negative
DBRS Limited (“DBRS”) provides issuer ratings and credit ratings of debt securities for commercial issuers 
that indicate the risk associated with a borrower’s capabilities to fulfill its obligations.  The minimum DBRS 
investment grade rating is “BBB (low),” with the highest rating being “AAA. ”
On August 15, 2025, DBRS confirmed Allied’s issuer rating and senior unsecured debentures rating at BBB 
with negative trends.
The above-mentioned ratings assigned to Allied and the Unsecured Debentures are not recommendations 
to buy, sell or hold any securities of Allied.  Allied has paid customary rating fees to DBRS in connection with 
the above-mentioned ratings.  There can be no assurance that any rating will remain in effect for any given 
period of time or that a rating will not be lowered, withdrawn or revised by the rating agency.  

82
ALLIED 2025 ANNUAL REPORT
FINANCIAL COVENANTS
The Unsecured Facility, Unsecured Term Loans, construction loans payable and Unsecured Debentures 
contain numerous financial covenants.  Failure to comply with the covenants could result in a default, which, 
if not waived or cured, could result in adverse financial consequences.  The related covenants are as follows:
UNSECURED FACILITY AND UNSECURED TERM LOANS
The following outlines the covenants as defined in the agreements governing the Unsecured Facility and 
Unsecured Term Loans.  The covenants are calculated, as required in these agreements, on a proportionate 
basis as defined on page 18.
COVENANT (1)
THRESHOLD
DECEMBER 31, 
2025
DECEMBER 31, 
2024
Indebtedness ratio
Below 60%
50.7%
41. 7%
Secured indebtedness ratio
Below 45%
6.4%
8. 7%
Debt service coverage ratio (2)
Consolidated adjusted EBITDA to be more than 
1. 5 times debt service payments
2.0x
2. 3x
Equity maintenance (3)
At least $2,800,000 plus 75% of future equity 
issuances ($2,800,000)
$4,016,202
$5,562,644
Unencumbered property assets 
value ratio
Unencumbered property assets to be more than 
1. 4 times total unsecured debt
1.8x
2. 3x
Restricted payment payout ratio
Maintain restricted payments below 100% of FFO 
for four consecutive quarters
90.2%
82. 8%
Distribution payout ratio (4)
Maintain distributions below 100% of FFO for 
eight consecutive quarters
N/A
79. 1%
(1)	 Includes results from assets classified as held for sale.
(2)	 The debt service coverage ratio for the year ended December 31, 2025, includes financing prepayment costs of $734 for the accelerated 
amortization of deferred financing costs in connection with the early repayment of an unsecured term loan and the refinancing of its 
Unsecured Facility (December 31, 2024 - $501 for accelerated amortization of deferred financing costs in connection with the disposition of a 
property). Excluding these financing prepayment costs, the debt service coverage ratio as at December 31, 2025, would be 2.0x (December 31, 
2024 - 2.3x).
(3)	 Prior to September 26, 2025, the equity maintenance threshold for the Unsecured Term Loans was at least $1,250,000 plus 75% of future equity 
issuances ($2,819,658).
(4)	 This covenant for the Unsecured Term Loans was in place up to September 26, 2025.

83
ALLIED 2025 ANNUAL REPORT
SENIOR UNSECURED DEBENTURES
The following outlines the requirements of covenants specified in the trust indenture with respect to the 
Unsecured Debentures.  The covenants are calculated on a proportionate basis, which is in line with the trust 
indenture, as defined on page 18.
COVENANT (1)
THRESHOLD
DECEMBER 31, 
2025
DECEMBER 31, 
2024
Pro forma interest coverage ratio
Maintain a 12-month rolling consolidated 
pro forma EBITDA of at least 1. 65 times pro forma 
interest expense
2.0x
2. 2x
Pro forma asset coverage test
Maintain net consolidated indebtedness below 65% 
of net aggregate assets on a pro forma basis
51.1%
41. 9%
Equity maintenance
Maintain Unitholders’ equity above $300,000
$4,016,202
$5,562,644
Pro forma unencumbered net 
aggregate adjusted asset ratio
Maintain pro forma unencumbered net aggregate 
adjusted assets above 1. 4 times consolidated 
unsecured indebtedness
2.0x
2. 5x
(1)	 Includes results from assets classified as held for sale.
As at December 31, 2025, Allied was in compliance with the terms and covenants of the agreements 
governing the Unsecured Facility, the unsecured term loan, the Unsecured Debentures and construction 
loans payable.
A number of other financial ratios are also monitored by Allied, such as net debt as a multiple of annualized 
adjusted EBITDA and interest coverage ratio - including interest capitalized.  These ratios are presented in 
Section I—Overview.

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ALLIED 2025 ANNUAL REPORT
EQUITY
UNITS AND EXCHANGEABLE LP UNITS (AUTHORIZED - UNLIMITED)
Each Unit represents a single vote at any meeting of holders of Units and Special Voting Units (as 
defined below) and entitles the holders of Units and Special Voting Units to receive a pro rata share of all 
distributions, in accordance with the conditions provided for in the Declaration of Trust.
The following represents the number of Units issued and outstanding, and the related carrying value of 
equity, for the years ended December 31, 2025, and December 31, 2024:
NUMBER ISSUED  
AND OUTSTANDING
AMOUNT
Balance at January 1, 2024
127,955,983
$4,546,908
Restricted Unit Plan (net of forfeitures)
—
(1,712)
Balance at December 31, 2024
127,955,983
$4,545,196
Restricted Unit Plan (net of forfeitures)
—
(2,044)
Balance at December 31, 2025
127,955,983
$4,543,152
Allied does not hold any of its own Units, nor does Allied reserve any Units for issue under options and 
contracts.
On March 31, 2022, Allied acquired a portfolio of six properties from Choice Properties Real Estate 
Investment Trust (“Choice Properties”), which was partially settled with the issuance of 11,809,145 class B 
exchangeable limited partnership units (“Exchangeable LP Units”) of Allied Properties Exchangeable Limited 
Partnership (the “Partnership”).  Allied owns 100% of the shares of the General Partner and 100% of the class 
A LP Units of the Partnership.  
Exchangeable LP Units issued by the Partnership are economically equivalent to Units, receive distributions 
equal to the distributions paid on the Units and are exchangeable, at the holder’s option, for Units.  All 
Exchangeable LP Units are held, directly or indirectly, by Choice Properties.  Each Exchangeable LP Unit is 
accompanied by one special voting unit of Allied (“Special Voting Unit”) which provides the holder thereof 
with the right to one vote at all meetings of holders of Units and Special Voting Units.

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ALLIED 2025 ANNUAL REPORT
The following represents the number of Exchangeable LP Units issued and outstanding, and the related 
carrying value, for the years ended December 31, 2025, and December 31, 2024.
NUMBER ISSUED  
AND OUTSTANDING
AMOUNT
Balance at January 1, 2024
11,809,145
$238,309
Fair value gain on Exchangeable LP Units
—
(35,782)
Balance at December 31, 2024
11,809,145
$202,527
Fair value gain on Exchangeable LP Units
—
(44,639)
Balance at December 31, 2025
11,809,145
$157,888
As at December 31, 2025, and December 31, 2024, the weighted average number of Units and Exchangeable 
LP Units for the purpose of calculating both basic and diluted income per unit was 127,955,983 and 
11,809,145, respectively, totalling 139,765,128.
As at February 10, 2026, 127,955,983 Units and 1,710,698 options to purchase Units were issued and 
outstanding.
NORMAL COURSE ISSUER BID
On February 24, 2025, Allied received approval from the TSX for the renewal of its normal course issuer 
bid (“NCIB”), which entitles Allied to purchase up to 12,615,599 of its outstanding Units, representing 
approximately 10% of its public float as at February 12, 2025.  The NCIB commenced February 26, 2025, 
and will expire on February 25, 2026, or such earlier date as Allied completes its purchases pursuant to the 
NCIB.  All purchases under the NCIB will be made on the open market through the facilities of the TSX and/
or alternate trading systems in Canada at market prices prevailing at the time of purchase.  Any Units that 
are repurchased will either be cancelled or delivered to participants under Allied’s Restricted Unit Plan or to 
employees pursuant to Allied’s employee programs.  
During the year ended December 31, 2025, Allied purchased 120,140 Units for $2,044 at a weighted average 
price of $17. 01, of which 119,078 Units were purchased for delivery to participants under Allied’s Restricted 
Unit Plan and 1,062 Units were purchased for certain employees outside of Allied’s Restricted Unit Plan.  

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ALLIED 2025 ANNUAL REPORT
DISTRIBUTIONS
The graph below shows Allied’s annual distribution per unit since inception.  Over the past twenty years, 
Allied had increased distributions to its Unitholders on a regular and prudent basis.  Starting in December 
2025, the trustees of Allied have decided to reduce the monthly distributions to Unitholders by 60% to $0. 72 
per unit on an annualized basis.
$1.14 
$1.18 $1.22 
$1.26 
$1.32 
$1.36 
$1.41 
$1.46 
$1.50 
$1.53 
$1.56 
$1.60 
$1.65 
$1.70 
$1.75 
$1.80 
$0.72 
$0.00
$0.20
$0.40
$0.60
$0.80
$1.00
$1.20
$1.40
$1.60
$1.80
$2.00
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
2026
Annual Distribution per Unit
Year
Allied’s current distribution plan is to maintain monthly distributions of $0. 72 per unit on an annualized 
basis.  Allied will continue to evaluate its distribution policy, as appropriate.
On January 15, 2026, Allied declared a distribution for the month of January 2026 of $0. 06 per unit, 
representing $0. 72 per unit on an annualized basis to Unitholders of record as at January 30, 2026.
On January 15, 2026, the Partnership declared a distribution for the month of January 2026 of $0. 06 per 
Exchangeable LP Unit, representing $0. 72 per Exchangeable LP Unit on an annualized basis to holders of the 
Exchangeable Units as at January 30, 2026, for which Choice Properties elected to receive a loan in lieu of 
the distribution.

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ALLIED 2025 ANNUAL REPORT
SOURCES OF DISTRIBUTIONS
For the three months and year ended December 31, 2025, Allied declared $50,316 and $238,999, in 
distributions respectively (December 31, 2024 - $62,894 and $251,577), including distributions to holders 
of the Exchangeable LP Units of $4,252 and $20,194, respectively (December 31, 2024 - $5,314 and $21,256, 
respectively).
THREE MONTHS ENDED
YEAR ENDED
DECEMBER 31, 
2025
DECEMBER 31, 
2024
DECEMBER 31, 
2025
DECEMBER 31, 
2024
Distributions declared
$50,316
$62,894
$238,999
$251,577
Net loss and comprehensive loss
$(1,011,743)
$(257,652)
$(1,327,532)
$(342,530)
Cash provided by operating activities (1)
$115,035
$63,076
$255,288
$147,837
AFFO excluding condominium-related 
items, financing prepayment costs and the 
mark-to-market adjustment on unit-based 
compensation (2)
$50,488
$66,626
$240,572
$273,434
AFFO excluding condominium-related 
items, financing prepayment costs and the 
mark-to-market adjustment on unit-based 
compensation payout ratio (2)
99.7%
94. 4%
99.3%
92. 0%
Deficit of net loss over distributions declared
$(1,062,059)
$(320,546)
$(1,566,531)
$(594,107)
Excess (deficit) of cash flows provided by 
operating activities over distributions declared
$64,719
$182
$16,289
$(103,740)
Excess of cash provided by AFFO excluding 
condominium-related items, financing 
prepayment costs and the mark-to-market 
adjustment on unit-based compensation over 
distributions declared
$172
$3,732
$1,573
$21,857
(1)	 The cash flows provided by operating activities for the three months and years ended December 31, 2025 and December 31, 2024, include other 
non-cash operating items related to properties under development and additions to residential inventory.
(2)	 This is a non-GAAP measure, as defined on page 18.
Allied reviews the level and sustainability of its distributions, as appropriate.  In determining the level of 
distributions to Unitholders, Allied’s Board considers many factors, including its Declaration of Trust, 
macroeconomic and industry specific environments, the overall financial condition of Allied, cash flow, 
future capital requirements, debt covenants and taxable income.  Allied’s taxable income is calculated 
in accordance with tax legislation and includes a reduction for capital cost allowance taken on behalf of 
Unitholders.  Declared distributions may exceed actual cash available to Allied from time to time because 
of items such as principal repayments of debt, user inducements, leasing commissions and capital 
expenditures.  Any excess of distributions over cash provided by operating activities may represent a 
return of capital and would then be funded by the Unsecured Facility.  For the year ended December 31, 
2025, Allied elected to provide distributions partly representing a return of capital in order to maintain the 
stability of distribution levels.  

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ALLIED 2025 ANNUAL REPORT
The rate of distribution as at December 31, 2025, amounts to $1. 71 per unit per annum (December 31, 2024 - 
$1. 80 per unit per annum).  See note 15 of the audited consolidated financial statements for the year ended 
December 31, 2025.
OFF-BALANCE SHEET ARRANGEMENTS
Allied has entered into commitments relating to development and upgrade activity.  The commitments as at 
December 31, 2025, were $105,834 (December 31, 2024 - $131,338).
Allied has issued letters of credit in the amount of $13,872 as at December 31, 2025 (December 31, 2024 - 
$20,304).

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ALLIED 2025 ANNUAL REPORT
Section VII
—Accounting Estimates and Assumptions
CRITICAL ACCOUNTING ESTIMATES AND ASSUMPTIONS
The preparation of the consolidated financial statements requires management to make judgments and 
estimates in applying Allied’s accounting policies that affect the reported amounts and disclosures made in 
the audited consolidated financial statements and accompanying notes.
Critical accounting estimates and assumptions are discussed in Allied’s audited consolidated financial 
statements for the year ended December 31, 2025, and the notes contained therein.
MATERIAL ACCOUNTING POLICY INFORMATION
Accounting policies and any respective changes are discussed in Allied’s audited consolidated financial 
statements for the year ended December 31, 2025, and the notes contained therein.

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ALLIED 2025 ANNUAL REPORT
Section VIII
—Disclosure Controls and Internal Controls
Management maintains appropriate information systems, procedures and controls to provide reasonable 
assurance that information that is publicly disclosed is complete, reliable and timely.  The Chief Executive 
Officer (the “CEO”) and Chief Financial Officer (the “CFO”) evaluated, or caused to be evaluated under their 
direct supervision, the design and operating effectiveness of disclosure controls and procedures (as defined 
in National Instrument 52-109 Certification of Disclosure in Issuers’ Annual and Interim Filings (“NI 52-109”)) 
at December 31, 2025, and based on that evaluation, have concluded that such disclosure controls and 
procedures were appropriately designed and were operating effectively.
Management is responsible for establishing adequate internal controls over financial reporting to provide 
reasonable assurance regarding the reliability of financial reporting and the preparation of financial 
statements for external purposes in accordance with IFRS Accounting Standards.  The CEO and CFO 
evaluated, or caused to be evaluated under their direct supervision, the effectiveness of Allied’s internal 
controls over financial reporting (as defined in NI 52-109) at December 31, 2025, using the COSO Internal 
Control - Integrated Framework (2013), published by the Committee of Sponsoring Organizations of the 
Treadway Commission.  Based on that assessment, the CEO and the CFO determined that internal controls 
over financial reporting were appropriately designed and were operating effectively.
No changes were made in the design of internal controls over financial reporting during the period ended 
December 31, 2025, that have materially affected, or are reasonably likely to materially affect, Allied’s 
internal controls over financial reporting.  
It should be noted that a control system, no matter how well conceived and operated, can provide only 
reasonable, not absolute, assurance that the objectives of the control system are met.  Because of the 
inherent limitations in all control systems, no evaluation of controls can provide absolute assurance of 
control issues, including whether instances of fraud, if any, have been detected.  These inherent limitations 
include, among other items: (i) that Management’s assumptions and judgments could ultimately prove to be 
incorrect under varying conditions and circumstances; (ii) the impact of any undetected errors; and (iii) that 
controls may be circumvented by the unauthorized acts of individuals, by collusion of two or more people, 
or by Management override.

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ALLIED 2025 ANNUAL REPORT
Section IX
—Risks and Uncertainties
There are certain risk factors inherent in the investment and ownership of real estate.  Real estate 
investments are capital intensive, and success from real estate investments depends upon maintaining 
occupancy levels and rental income flows to generate acceptable returns.  These success factors are 
dependent on general economic conditions and local real estate markets, demand for leased premises and 
competition from other available properties.  
Allied’s portfolio is focused on a particular asset class in five metropolitan real estate markets in Canada.  
This focus enables Management to capitalize on certain economies of scale and competitive advantages that 
would not otherwise be available.
The following discussion of risks is not exhaustive but is designed to highlight the key risks that may affect 
Allied’s business, operations and financial condition or future performance.

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ALLIED 2025 ANNUAL REPORT
OPERATING RISKS AND RISK MANAGEMENT
JOINT ARRANGEMENTS AND PARTNERSHIPS
Allied has entered into various joint arrangements and partnerships with different entities.  Allied may own 
less than a controlling interest, may not be in a position to exercise sole decision-making authority regarding 
the properties owned through joint arrangements and may not fully manage those properties.  Investments 
in joint arrangements may, under certain circumstances, involve risks not present when a third party is 
not involved, including: (i) counter-party risk; (ii) the possibility that joint arrangement partners may have 
business interests or goals that are inconsistent with Allied’s business interests or goals; and (iii) the need 
to obtain the joint arrangement partner’s consent with respect to certain major decisions relating to these 
assets, such as decisions relating to the sale of the assets, timing and amount of distributions of cash from 
such properties to Allied and its joint arrangement partners, and capital expenditures.  In addition, the sale 
or transfer of interests in certain of the joint arrangements and partnerships may be subject to rights of first 
refusal and certain of the joint arrangement agreements may provide for buy-sell, put or similar provisions.  
If these joint arrangements or partnerships do not perform as expected or default on financial obligations, 
Allied has an associated risk.  
If a joint arrangement partner is unable to meet its funding obligations with respect to a development, 
including its share of development costs, capital expenditures or cost overruns, Allied may be required to 
contribute additional capital beyond its originally anticipated investment in order to advance or complete 
the development, or the development may be delayed, suspended or terminated.  There is no assurance that 
any capital contributed by Allied on account of a joint arrangement partner will be recovered, in whole or in 
part.   
The financial difficulties of a joint arrangement partner could also increase counterparty risk, complicate 
decision‑making within the joint arrangement, increase development costs as a result of construction 
delays, or impair the joint arrangement’s ability to obtain third‑party financing on acceptable terms, if at 
all.  If replacement financing or a substitute partner cannot be secured on acceptable terms, Allied may 
be required to restructure the joint arrangement, assume greater ownership risk (including in respect of 
development costs), or potentially recognize an impairment on its investment in the development.  
In addition, Allied’s rights and remedies in the event of a default by a joint arrangement partner may be 
limited by the terms of the joint venture agreement, applicable law, or the joint arrangement partner’s 
financial condition.  
Enforcement of such rights could result in delays, disputes, litigation, or unanticipated expenses (including 
increased development costs), and may not result in a timely or favourable resolution.
Any of the above factors could adversely affect Allied’s business, financial condition, results of operations, 
cash flow, distributions to Unitholders, and the market value of the Units.
LEASE ROLL-OVER RISK
Allied is subject to lease roll-over risk.  Lease roll-over risk arises from the possibility that Allied may 
experience difficulty renewing or replacing users occupying space covered by leases that mature.  Allied 
strives to stagger its lease maturity schedule so that it is not faced with a disproportionately large level of 
lease maturities in a given year.  For Allied’s current lease maturity schedule, refer to page 54.  

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ALLIED 2025 ANNUAL REPORT
In evaluating lease roll-over risk, it is informative to determine Allied’s sensitivity to a decline in occupancy.  
As at December 31, 2025, Allied had total GLA in the rental portfolio of 14,499,715 square feet, of which 
85. 3% is occupied.  The weighted average annual rental revenue is approximately $47. 87 per square foot, 
therefore for every full-year decline of 100 basis points in occupancy, Allied’s annual rental revenue would 
decline by approximately $5,924.  The decline in rental revenue would be more pronounced if the decline in 
occupancy involved space leased above the average rental rate per square foot and less pronounced if the 
decline in occupancy involved space leased below the average rental rate per square foot.  
REAL ESTATE RISK
Allied is subject to the conventional risks associated with the ownership of real estate.
Certain significant expenditures, including property taxes, maintenance costs, mortgage payments, 
insurance costs and related charges must be made by Allied throughout the period of its ownership of 
the properties regardless of whether the property is producing sufficient income to cover such expenses.  
In order to provide desirable rentable space over the long term, Allied must maintain or, in some cases, 
improve each property’s condition to meet market demand.  Maintaining and improving a rental property 
can entail significant costs that Allied may not be able to pass on to users.  
Real property investments tend to be relatively illiquid, with the degree of liquidity generally fluctuating in 
relation to demand for and the perceived desirability of such investments.  Such illiquidity may tend to limit 
Allied’s ability to vary its portfolio promptly in response to changing economic or investment conditions.  
On a disposition of real property investments, the proceeds to Allied might be significantly less than the 
aggregate carrying value of its properties.
Allied strives to mitigate these risks through a robust preventative maintenance program, contractual rent 
escalation mechanisms and by focusing intently on execution.
USER TERMINATIONS AND FINANCIAL STABILITY
Allied’s distributable income would be adversely affected if a significant number of users were to become 
unable to meet their obligations under their leases resulting in early termination and a significant amount of 
available space in its properties were not able to be re-leased on economically favourable lease terms.  Upon 
the termination of any lease, there can be no assurance that the user will be replaced.  The terms of any 
subsequent lease may be less favourable to Allied than the existing lease.  In the event of default by a user, 
delays or limitations in enforcing rights as lessor may be experienced and substantial costs in protecting 
Allied’s investment may be incurred.  Furthermore, at any time, a user of any of Allied’s properties may seek 
the protection of bankruptcy, insolvency or similar laws that could result in the rejection and termination 
of such user’s lease and thereby cause a reduction in the cash flow available to Allied.  Allied conducts due 
diligence on the quality and financial viability of users and seeks to obtain letters of credit and/or large 
security deposits when warranted.  The ability to rent unleased space in the properties in which Allied will 
have an interest will be affected by many factors.  Costs may be incurred in making improvements or repairs 
to property required by a new user.  The failure to lease space on a timely basis or at all would likely have an 
adverse effect on Allied’s financial condition.

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ALLIED 2025 ANNUAL REPORT
DEVELOPMENT AND CONSTRUCTION RISK
As an owner of Properties Under Development, Allied is subject to development risks, such as risks 
associated with the pricing and availability of labour and materials, construction delays, cost over-runs, 
challenges in securing municipal approvals and potential delays in occupancy and/or rent commencement.  
In connection with all Properties Under Development, Allied incurs development costs prior to (and in 
anticipation of) achieving a stabilized level of rental revenue.  Allied manages these risks through fixed-
price contracts, where possible, by commencing municipal approval processes at an early stage and by not 
commencing construction until a satisfactory level of pre-leasing is achieved for ground-up developments.  
Overall, these risks are managed through Allied’s Declaration of Trust, which states that the cost of 
development cannot exceed 15% of GBV.
COMPETITION
The real estate business is competitive.  Numerous other developers, managers and owners of office 
properties compete with Allied in seeking users.  Some of the properties of Allied’s competitors are better 
located or less levered than Allied’s properties and any property in which Allied subsequently acquires an 
interest.  Some of Allied’s competitors are better capitalized and stronger financially and hence better able 
to withstand an economic downturn.  The existence of competing developers and owners and competition 
for Allied’s users could have an adverse effect on Allied’s ability to lease space in its properties and on the 
rents charged or concessions granted, and could adversely affect Allied’s revenues and its ability to meet its 
debt obligations.  An increase in the availability of investment funds and an increase in interest in immovable 
property investments may tend to increase competition for immovable property investments, thereby 
increasing purchase prices and reducing the yield on them.  Competition for acquisitions of real properties 
is intense, and some competitors may have the ability or inclination to acquire properties at a higher price 
or on terms less favourable than those that Allied is prepared to accept.  Allied mitigates these risks through 
the strategic positioning of its portfolio in amenity-rich urban areas of Canada’s major cities, its focus on 
operations and targeted broker outreach.  
RESIDENTIAL
Allied’s urban residential portfolio includes residential condominiums and rental-residential units.  The 
demand for residential condominiums is cyclical and is affected by changes in general economic conditions, 
employment levels, availability of financing for purchasers, interest rates, demographic trends, housing 
supply and housing demand.  The ability to achieve estimated projected cash flows from residential 
condominiums under development is significantly dependent on the final closing of condominium units in 
accordance with sales contracts with purchasers.  Construction delays can trigger statutory or contractual 
rescission rights, allowing purchasers to terminate agreements and receive a refund of their deposits from 
Allied, which could have an adverse effect on Allied’s financial condition.  As a landlord of rental-residential 
units, Allied is subject to risks, including, but not limited to, fluctuations in occupancy levels, individual 
credit risk, heightened reputation risk, user privacy concerns, potential changes to rent control regulations 
and housing policy, increases in operating costs including the costs of utilities and the imposition of new 
taxes or increased property taxes.

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ALLIED 2025 ANNUAL REPORT
RELIANCE ON KEY PERSONNEL
The management of Allied depends on the services of certain key personnel, particularly its Chief Executive 
Officer, Cecilia Williams, its Chief Financial Officer, Nanthini Mahalingam and its Chief Operating Officer, 
James Patrick (J. P. ) Mackay.  The unexpected loss of services from key personnel or a limitation in their 
availability could have an adverse effect on the business, financial condition and results of operations of 
Allied, specifically if there is not adequate succession plans in place for these personnel.  Allied’s ability to 
retain its senior management team or attract suitable replacements in the event of a departure is dependent 
on, among other things, the competitive nature of the employment market.  Allied engages in ongoing 
succession planning for its key personnel and other senior management and periodically conducts broader 
reviews of its management structure and succession plans.  Allied does not have key-personnel insurance on 
any of its key employees.
UNEXPECTED COSTS OR LIABILITIES RELATED TO ACQUISITIONS
A risk associated with acquisitions is that there may be an undisclosed or unknown liability relating to 
the acquired property, and Allied may not be indemnified for some or all of these liabilities.  Following an 
acquisition, Allied may discover that it has acquired undisclosed liabilities, which may be material.  The due 
diligence procedures performed by Management are designed to address this risk.  Allied performs what it 
believes to be an appropriate level of investigation in connection with its acquisition of properties and seeks 
through contract to ensure that risks lie with the appropriate party.
FINANCIAL RISKS AND RISK MANAGEMENT
AVAILABILITY OF CASH FLOW; PRESENT AND FUTURE DISTRIBUTIONS
Allied reduced its cash distributions to Unitholders in December 2025.  There can be no assurance that 
Allied will maintain its present distribution levels or that further reductions or suspensions will not 
occur in the future.  The level of distributions is determined by Allied’s board of trustees and is based on 
numerous factors, including provisions of the Declaration of Trust, macroeconomic and industry specific 
environments, the overall financial condition of Allied, cash flow, future capital requirements, debt 
covenants and taxable income.  Changes in any of these factors, some of which are beyond Allied’s control, 
may adversely affect Allied’s ability to make distributions at current levels or at all.  
Distributions are not guaranteed, and investors should not rely on past or current distribution levels as an 
indication of Allied’s future distribution policy.  Distributable income may exceed actual cash available to 
Allied from time to time because of items such as principal repayments of debt, user inducements, leasing 
commissions and capital expenditures, if any.  Allied may be required to use part of its debt capacity or 
reduce distributions in order to accommodate such items.  In addition, Allied may determine that retaining 
cash to strengthen its balance sheet, fund capital investment, or preserve financial flexibility is in the 
best interest of Allied, which could result in a reduction or suspension of distributions.  Any reduction or 
suspension of distributions, or the perception that such a reduction or suspension may occur, could have 
a material adverse effect on the market value of the Units, reduce investor demand for the Units, increase 
volatility in the trading price of the Units, and adversely affect Allied’s business, financial condition, and 
results of operations.

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ALLIED 2025 ANNUAL REPORT
FINANCING, COVENANT AND INTEREST RATE RISK; ACCESS TO CAPITAL
Allied is subject to risk associated with debt financing.  Increases in indebtedness may limit Allied’s financial 
and operating flexibility.  Allied’s financing may include indebtedness with interest rates based on variable 
lending rates that will result in fluctuations in Allied’s cost of borrowing.  The availability of debt to re-finance 
existing and maturing loans and the cost of servicing such debt will influence Allied’s success.  All of the 
principal amount of the mortgages have terms of five years or less.  Variations in interest rates and principal 
repayments required under the mortgages and Allied’s Unsecured Facility, on renewal or otherwise, could 
result in significant changes in the amount required to be applied to debt service and, as a result, reduce the 
amount of cash available for distribution to Unitholders.  
A substantial portion of Allied’s indebtedness is subject to various financial covenants.  There can be no 
assurance that Allied will be able to comply with all such covenants at all times, particularly during periods 
of operational stress, rising interest rates, declining property values, increased vacancy rates, reduced rental 
income, higher refinancing costs, or adverse economic or market, or conditions.  A deterioration in Allied’s 
operating or financial performance, or adverse changes in macroeconomic or market conditions, could 
increase the risk of a breach of one or more covenants under its debt agreements.
A breach of covenant that is not cured within any applicable grace or cure period may constitute an event 
of default under the applicable debt instrument.  Upon the occurrence of an event of default, lenders may 
have the right, subject to the terms of the relevant agreements, to accelerate repayment of all or a portion 
of the outstanding indebtedness, terminate committed credit facilities, refuse to advance further funds 
under existing credit facilities, increase interest rates, or exercise other remedies under the applicable debt 
instrument.  If indebtedness were accelerated or lenders otherwise sought to exercise available remedies, 
Allied may be unable to refinance or repay such indebtedness on commercially reasonable terms, or at all.  
In such circumstances, Allied could be forced to seek waivers or amendments from lenders, which may be 
costly and may impose additional restrictions or increase borrowing costs.  There can be no assurance that 
any such waivers, amendments, or refinancing arrangements would be available on favourable terms or at 
all.  Allied’s ability to incur additional indebtedness or raise capital may be limited, and the claims of secured 
creditors would generally have priority over the claims of Unitholders with respect to any encumbered 
properties.
Interest rates on debt for mortgages payable, Unsecured Debentures and unsecured term loan are between 
1. 73% and 5. 53% with a weighted average contractual interest rate of 3. 69%.  Allied’s weighted average term 
of debt (excluding construction loans and the Unsecured Facility) is 3. 1 years.  Refer to note 11(b) and (d) of 
the audited consolidated financial statements for further details.
In order to minimize risk associated with debt financing, Allied strives to re-finance maturing loans with 
long-term fixed-rate debt and to stagger the maturities over time.  For Allied’s current debt-maturity 
schedule, refer to page 75.

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ALLIED 2025 ANNUAL REPORT
Allied is additionally subject to risk associated with equity financing.  The ability to access the equity capital 
markets at appropriate points in time and at an acceptable cost will influence Allied’s success.  In order to 
minimize the risk associated with equity financing, Allied engages in extensive investor relations activity 
with retail and institutional investors globally and strives to fix the cost of equity in conjunction with a clear 
use of proceeds.
The real estate industry is highly capital intensive.  Allied will require access to capital to maintain its 
properties, to complete development and intensification projects, as well as to fund its growth strategy and 
significant capital expenditures from time to time.  There is no assurance that capital will be available when 
needed or on favourable terms.  Allied’s access to capital and cost of capital will be subject to a number of 
factors, including general market conditions; the market’s perception of Allied’s growth potential; Allied’s 
current and expected future earnings; Allied’s cash flow and cash distributions; and the market price of 
Allied’s Units.  If Allied is unable to obtain sources of capital, it may not be able to acquire or develop assets, 
or pursue the development or intensification of properties when strategic opportunities arise.  
EXECUTION OF ACTION PLAN
Allied has implemented, or is in the process of implementing, a financial and strategic action plan intended 
to strengthen its balance sheet.  The successful execution of this action plan is dependent, in part, on the 
completion of an equity financing in the near term and the disposition of certain properties within the next 
12 months.  There can be no assurances that the equity financing will be completed on acceptable terms, or 
at all, or that targeted property dispositions will be completed within the anticipated timeframe, at expected 
values, or under market conditions satisfactory to Allied.  
Equity financings may be adversely affected by general market volatility, investor sentiment, Allied’s 
financial condition or expectations regarding distributions and future performance.  Property dispositions 
may be adversely affected by general economic conditions, local real estate market conditions, asset‑specific 
factors, buyer financing constraints, regulatory approvals, or other transaction risks.  Failure to complete the 
equity financing or property dispositions as anticipated, or delays in doing so, could impair Allied’s ability 
to reduce leverage, refinance maturing debt, maintain compliance with financial covenants, or achieve the 
objectives of its action plan.
If Allied is unable to execute its action plan within the expected timeframe, or at all, it may be required 
to seek alternative sources of capital, renegotiate existing indebtedness, dispose of additional properties, 
further reduce or suspend distributions, or materially adjust its business strategy.  Any of these outcomes 
could have a material adverse effect on Allied’s business, financial condition, results of operations, cash 
flows, distributions to Unitholders, and market value of the Units.   

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ALLIED 2025 ANNUAL REPORT
FINANCIAL OUTLOOK AND GUIDANCE
This MD&A may contain financial outlooks or guidance within the meaning of applicable Canadian securities 
laws (collectively, the “Financial Outlook”).  The Financial Outlook includes prospective financial information 
relating to Allied, is based on assumptions and is inherently subject to significant risks and uncertainties, 
many of which are beyond Allied’s control.  Actual results may differ materially from those expressed 
or implied by the Financial Outlook due to a variety of factors, including changes in general economic 
conditions, office market fundamentals, user creditworthiness and space requirements, competition, 
changes in interest rates and credit markets, inflationary pressures, construction cost escalation, delays or 
cost overruns in development or redevelopment projects, changes in property values, and environmental 
or regulatory matters.  Access to financing on terms assumed in the Financial Outlook may be constrained by 
interest rate increases, market volatility or credit conditions, affecting the timing and feasibility of projects 
and/or Allied’s ability to refinance existing indebtedness on reasonable terms, each of which would affect 
Allied’s ability to achieve forecasted results.  Broader economic conditions (such as inflation, interest rates 
and geopolitical risks) may decrease demand for Allied’s properties, increase expenses, affect demand for 
leases, each of which could cause actual results to vary from Allied’s forecasts, which in turn could have 
a material adverse effect on Allied’s business, financial condition and results of operations.  The Financial 
Outlook should not be regarded as a representation by Allied that the anticipated results will be achieved, 
and undue reliance should not be placed on such information.
CREDIT RISK
Allied is subject to credit risk arising from the possibility that users may not be able to fulfill their lease 
obligations.  Allied strives to mitigate this risk by maintaining a diversified user-mix and limiting exposure to 
any single user.  Allied’s exposure to its top-10 users is 20. 8% of rental revenue.
As Allied has provided loans and advances to facilitate property development, Allied’s assessment of credit 
risk takes into consideration its borrower’s financial position, status of corporate guarantees, construction 
and leasing status on development projects, status of principal and interest payments, and the underlying 
value of the borrower’s security or collateral.  Allied’s loans, advances and notes receivable will typically 
be subordinate to prior ranking mortgage or charges, where there is also a construction loan facility.  As at 
December 31, 2025, Allied had $473,648 in loans and notes receivable outstanding excluding expected credit 
loss, the majority of which is loaned to affiliates of a single private company.  As a result of the assessment 
based on the factors described above, Allied recorded an expected credit loss on loans receivable for the 
year ended December 31, 2025 of $128,000.  Allied mitigates this risk by obtaining corporate guarantees and/
or registered mortgage charges and assignment of leases, performing credit checks on potential borrowers, 
monitoring the financial and operating performance of borrowers, construction and leasing status on the 
development projects, timing of rent commencement on leases, and status of scheduled principal and 
interest payments.

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ALLIED 2025 ANNUAL REPORT
VALUATION RISK
The fair market property valuation process is dependent on several inputs and assumptions, including 
the discount rates, terminal capitalization rates and cashflow assumptions.  Risks associated with Allied’s 
property valuation model include fluctuations in these rates which can significantly impact the value of 
Allied’s investment properties, which in turn, could impact financial covenants in the agreements governing 
the Senior Unsecured Debentures, Unsecured Facility, an unsecured term loan and various mortgages.
CREDIT RATING RISK
Allied’s credit ratings play an important role in its access to, and cost of, debt financing.  There can be no 
assurance that any credit rating assigned to Allied or the Unsecured Debentures by a rating agency will 
remain in effect for any given period of time or that the rating will not be lowered, withdrawn or revised 
by the rating agency if, in its judgment, circumstances so warrant.  In addition, Allied may incur additional 
indebtedness in the future, which could impact current and future credit ratings.  Any lowering, withdrawal 
or revision of a credit rating, or the perception that such a lowering, withdrawal or revision may occur, 
could materially adversely affect the market value of Allied’s outstanding securities and Allied’s access to and 
cost of financing.  Such outcomes could result in higher borrowing costs, reduced access to capital markets, 
more restrictive financing terms, increased collateral or covenant requirements, or the need to refinance 
or repay indebtedness on less favorable terms, if at all, any of which could have a material adverse effect 
on Allied’s business, financial condition, results of operations, cash flows, distributions to Unitholders, and 
market value of the Units.
A credit rating downgrade may be viewed negatively by equity and debt investors, which could increase the 
volatility of and adversely affect the market value of the Units.  In addition, certain financing arrangements 
may contain covenants or provisions that are impacted by changes in credit ratings.  A lowering in credit 
ratings or a breach of such covenants could result in an event of default, accelerated repayment obligations, 
or limitations in Allied’s ability to incur additional indebtedness.
UNIT PRICE RISK
Unit price risk arises from the unit-based compensation liabilities, Exchangeable LP Units, and total return 
swap derivative liabilities or assets which are recorded at fair value at each quarter-end date.  Allied’s unit-
based compensation liabilities and Exchangeable LP Units negatively impact net income and comprehensive 
income when the Unit price rises and positively impact net income and comprehensive income when the 
Unit price declines.  Allied’s total return swap derivative liabilities or assets positively impact net income and 
comprehensive income when the Unit price rises and negatively impact net income and comprehensive 
income when the Unit price declines.

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ALLIED 2025 ANNUAL REPORT
POTENTIAL VOLATILITY OF UNIT PRICES
Allied is an unincorporated trust and its Units are listed on the TSX.  A publicly-traded real estate investment 
trust will not necessarily trade at values determined solely by reference to the underlying value of its real 
estate assets.  The prices at which the Units will trade cannot be predicted and could be subject to significant 
fluctuations in response to variations in quarterly operating results, distributions, and other factors beyond 
the control of Allied such as changes or uncertainty regarding global economic conditions, including but 
not limited to those caused by the occurrence of a natural disaster, a public health emergency or other 
force majeure event.  The annual yield on the Units as compared to the annual yield on other financial 
instruments may also influence the price of the Units in the public trading markets.  In addition, securities 
markets may experience significant price and volume fluctuations from time to time that are unrelated or 
disproportionate to the operating performance of particular issuers.  These broad fluctuations may adversely 
affect the market price of the Units.
DILUTION
Allied may, in its sole discretion, issue additional Units, or securities convertible or exchangeable into Units, 
from time to time, and the voting power and/or economic interest of Unitholders may be diluted thereby.  
Allied cannot predict the size or nature of future sales or issuances of securities, or the effect, if any, that 
such future sales and issuances will have on the market price of the Units.  Any equity financing may be 
dilutive to existing Unitholders and could place downward pressure on the market value of the Units.
FINANCIAL LEVERAGE
Allied’s degree of financial leverage could have important consequences to Unitholders, including: (i) Allied’s 
ability to obtain additional financing in the future for operating costs, capital expenditures, acquisitions, 
development or other general business purposes, (ii) a larger portion of Allied’s cash flows being used 
towards the payment of its indebtedness, which reduces the amount of funds available for distributions 
to Unitholders, and (iii) making Allied more vulnerable to a downturn in the business or the economy in 
general.  Under the Declaration of Trust, the maximum amount that Allied can leverage is 60% of the GBV, 
excluding convertible debentures (or 65% of the GBV, including any outstanding convertible debentures).  
There are also similar financial leverage covenants in the agreements governing the Senior Unsecured 
Debentures, Unsecured Facility, and an unsecured term loan.  To reduce this risk, Allied actively monitors 
its indebtedness ratio to ensure it is within acceptable levels.  Any of these risks could have an adverse effect 
on Allied’s business financial condition, results of operations, cash flows, the market price of the Units, 
distributions to Unitholders and its ability to satisfy principal and interest obligations on its outstanding 
debt.

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ALLIED 2025 ANNUAL REPORT
OTHER RISKS
GENERAL ECONOMIC CONDITIONS
Uncertainty over whether the economy will be adversely affected by inflation or stagflation, and the 
systemic impact of geopolitical issues, may contribute to increased market volatility.  Allied may be affected 
by changes in general economic conditions (such as inflation and the availability and cost of credit), local 
real estate markets (such as an oversupply of space or a reduction in demand for real estate in the area), 
government regulations, competition from other available premises, including new developments, and 
various other factors.  Such economic uncertainties and market challenges, which may result from a 
continued or exacerbated general economic slowdown of the Canadian economy and/or the economies of 
other countries, and their effects could materially and adversely affect Allied’s business, financial condition, 
and results of operations.  Property valuations may be impacted by inflation and interest rate risk.  The global 
economy may face increasing uncertainty due to acts of nature, including an outbreak of a pandemic or 
other health crisis, tariffs and other trade protection measures, including any retaliation to such measures, 
and disputes and political events around the world, which could potentially impact Canadian trade and the 
Canadian economy at large.  This could have an impact on users and the markets in which Allied operates.  A 
difficult operating environment could also have a material adverse effect on the ability of Allied to maintain 
occupancy rates at its properties because Allied’s tenants may be unable to meet their rental payments and 
other obligations due to Allied, which could have a material adverse effect on Allied’s business, financial 
condition, and results of operations.  
ADVERSE GLOBAL MARKET, ECONOMIC AND POLITICAL CONDITIONS
Adverse Canadian, U. S.  and global market, economic and political conditions, including dislocations and 
volatility in the credit markets and general global economic uncertainty, unexpected or ongoing geopolitical 
events, including disputes between nations, war, terrorism or other acts of violence, could have a material 
adverse effect on our business, results of operations and financial condition with the potential to impact, 
among others: (i) the value of Allied’s properties; (ii) the availability or the terms of financing that Allied has 
or may anticipate utilizing; (iii) Allied’s ability to make principal and interest payments on, or refinance, 
any outstanding debt when due; (iv) the occupancy rates in Allied’s properties; and (v) the ability of Allied’s 
tenants to enter into new leasing transactions or to satisfy rental payments under existing leases.  
The imposition of duties, tariffs and other trade restrictions (including any retaliation to such measures) 
could result in increased costs of supplies, slow economic growth and could materially impact the business 
of Allied’s tenants and their ability to make lease payments and/or their willingness to extend / renew the 
term of maturing leases.  Trade barriers or the disruptions caused by the threat of, the potential or actual 
imposition of, and increases in the rate or scope of, such duties, tariffs and other trade restrictions or other 
similar measures (and any retaliatory measures) could adversely impact the profitability of Allied’s business, 
financial condition and results of operations and the market value of the Units.  Allied cannot predict 
whether they will be able to avoid or mitigate the impact of these changes.  The temporary or long-term 
impact of such measures on Allied’s business, financial condition and results of operations is not possible to 
predict, but could be significant.  These risks could have a material adverse effect on Allied’s business, results 
of operations and financial condition.  

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ALLIED 2025 ANNUAL REPORT
Continued concerns about the uncertainty over whether the economy will be adversely affected by 
geopolitical events may contribute to increased market volatility and weakened business and consumer 
confidence.  The occurrence of war or hostilities between countries or threat of terrorist activities and the 
responses to and results of these activities, could adversely impact Allied, its tenants, occupancy rates 
of Allied’s properties, the financial markets and general economic conditions.  Any of the above factors, 
including sanctions and other governmental actions, could affect the financial condition of Allied’s tenants 
and may have a material adverse affect on Allied’s business, financial condition, cash flows and results of 
operations and could cause the market value of Allied’s Units to decline.  
CYBERSECURITY, DATA AND PRIVACY
The efficient operation of Allied’s business depends on the reliability and security of its information 
technology systems, data assets, and digital infrastructure.  As reliance on technology continues to increase 
across the real estate industry, the risks associated with cybersecurity, privacy, data governance and 
emerging technologies, including artificial intelligence (“AI”), are becoming more significant and complex.
A cybersecurity incident is any adverse event, whether intentional or unintentional, that threatens the 
confidentiality, integrity, or availability of Allied’s information resources.  These incidents can include 
unauthorized access to information systems, malicious software, phishing or social‑engineering fraud, 
corruption or destruction of data, disruption of critical systems, or the theft, disclosure or misuse of 
confidential, personal or proprietary information.  Allied faces risks relating to operational interruption, 
reputational damage, adverse impacts on relationships with users and business partners, legal exposure, 
loss of revenue, regulatory scrutiny, and increased insurance and remediation costs.  Allied is also exposed 
to cybersecurity and privacy risks associated with third‑party service providers, including cloud‑hosting 
partners, software vendors, managed service providers and consultants.
Allied processes and stores personal information relating to users, employees, visitors, and vendors.  Allied 
is subject to Canadian federal and provincial privacy, anti‑spam, and data protection laws.  Non‑compliance 
with these laws may result in regulatory investigations, fines, litigation, liability, reputational harm, and 
business disruption.  Similarly, privacy incidents, whether internal or involving third‑party systems, may 
result in identity theft, fraudulent activity, unauthorized access or disclosure of information, data loss, 
delays in operational processes and remediation costs.  
As the volume and importance of data continue to grow, data governance, including accuracy, quality, 
and timely access to information, has become increasingly critical to effective decision‑making.  Failure to 
appropriately gather, validate, protect and leverage data may impair operational efficiency and strategic 
execution.
The rapid emergence of AI, including generative AI technologies, introduces new and evolving risks.  The 
use of AI may increase the automation, speed, and sophistication of cyberattacks.  Adoption of AI‑enabled 
tools and workflows may also introduce risks of inaccurate, biased, or harmful outputs, loss of intellectual 
property or proprietary information, or breach of privacy rights, if not properly governed.  Additionally, 
evolving government regulation of AI may impose new compliance requirements and necessitate 
incremental investment in systems and oversight.

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ALLIED 2025 ANNUAL REPORT
Allied invests in sophisticated cybersecurity defences and technology infrastructure and undertakes 
regular internal and external assessments of its information security posture, including annual third‑party 
penetration testing and ongoing third‑party evaluations of its technology environment.  Allied has adopted 
the NIST Cybersecurity Framework as its guiding security standard and maintains information‑security 
awareness training for employees semi-annually.  Third‑party providers undergo due diligence and 
contractual requirements to align with Allied’s security and privacy expectations.  An external Information 
Technology General Controls (ITGC) audit is completed annually, and Allied maintains cybersecurity risk 
insurance coverage.
Allied has implemented data governance processes and controls to monitor and assess risks related to the 
collection, use, storage, protection, and retention or destruction of personal data, and continues to enhance 
its data governance practices.  Emerging technology risks, including those associated with AI, and are 
evaluated using ethical and responsible‑use principles aimed at minimizing unintended impacts.
Despite these measures, no IT environment is immune to rapidly evolving cybersecurity or privacy threats.  
Allied may be unable to anticipate, prevent, or mitigate every potential cyber, privacy, data governance, or 
AI‑related incident, and such incidents may negatively impact financial results.
To its knowledge, since inception, Allied has not experienced an unauthorized intrusion or infiltration of its 
systems that has resulted in a data breach.
TAXATION RISK AND CHANGES IN LEGISLATION
Allied is a mutual fund trust as defined in the Tax Act.  The Tax Act contains restrictions relating to the 
activities and the investments permitted by a mutual fund trust and, if Allied failed to adhere to these 
restrictions, adverse tax consequences would arise.
There are rules under the Tax Act (the “SIFT Rules”) that apply to specified investment flow through trusts 
or partnerships (“SIFTs”) and their beneficiaries or partners.  Under the SIFT Rules, certain distributions 
from a SIFT would not be deductible in computing the SIFT’s taxable income and therefore the distributions 
would be subject to trust entity level tax, at the general tax rate applicable to Canadian corporations.  
Trusts that meet the REIT exemption are not subject to SIFT rules .  The determination as to whether Allied 
qualifies for the REIT exemption in a particular taxation year can only be made with certainty at the end 
of that taxation year.  Asset tests need to be met at all times in the taxation year and revenue tests need to 
be met for the taxation year.  Although Allied expects that it will qualify for the REIT exemption throughout 
2026 and in future years, there can be no assurance that Allied will not be subject to the SIFT Rules.
In the event that the SIFT rules apply to Allied, the impact to Unitholders will depend on the status of 
the holder and, in part, on the amount of income distributed which would not be deductible by Allied 
in computing its income in a particular year and what portions of Allied’s distributions constitute “non- 
portfolio earnings”, other income and return of capital.

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ALLIED 2025 ANNUAL REPORT
Under the Tax Act, the excessive interest and financing expenses limitation rules (the “EIFEL Rules”) limit 
the deductibility of net interest and financing expenses in certain circumstances.  In the event that the EIFEL 
Rules applies to Allied, its income for Canadian income tax purposes may be increased which could change 
the taxable component of distributions to Unitholders and have an adverse impact on the after-tax return 
of a Unitholder and on the value of Allied Units.  The EIFEL Rules may also apply to a corporation or trust 
held directly or indirectly by Allied.  Management of Allied intends to monitor the EIFEL Rules and assess 
their potential impact, if any, on Allied.  Although management does not expect the EIFEL Rules to have an 
adverse impact on Allied, its subsidiaries or Unitholders, there can be no assurance in this regard.  
There can be no assurance that income tax laws (or the judicial interpretation thereof or the administrative 
and/or assessing practices of the Canada Revenue Agency (the “CRA”)) including in respect of the treatment 
of mutual fund trusts or the REIT exemption will not be changed in a manner which adversely affects 
Unitholders.  Allied will endeavour to ensure that the Units continue to be qualified investments for 
registered retirement savings plans, deferred profit sharing plans, registered retirement income funds, 
registered education savings plans, registered disability savings plans, tax-free savings accounts and first 
home savings accounts.  Units will cease to be qualified investments for registered retirement savings 
plans, deferred profit sharing plans, registered retirement income funds, registered education savings 
plans, registered disability savings plans, tax-free savings accounts and first home savings accounts if the 
Units were no longer listed on a stock exchange that, for the purposes of the Tax Act, is a designated stock 
exchange (which includes the TSX) and Allied no longer qualified as a mutual fund trust or as a registered 
investment.  The Tax Act imposes penalties for the acquisition or holding of non-qualified investments.
Allied is of the view that the expenses to be claimed by it and its subsidiaries will be reasonable and 
deductible, that the tax filing positions taken by such entities are reasonable, and that the cost amount 
and capital cost allowance claims of Allied and entities directly or indirectly owned by Allied will have 
been correctly determined.  However, there can be no assurance that the Tax Act, or the interpretation 
of the Tax Act, will not change, or that the CRA will agree.  If the CRA successfully challenges Allied and/
or its subsidiaries in any of these respects, Allied’s taxable income, and indirectly the taxable income of 
Unitholders, will increase or change.
ENVIRONMENTAL AND CLIMATE CHANGE RISK
As an owner of real estate, Allied is subject to various federal, provincial and municipal laws relating 
to environmental matters.  Allied will make the necessary capital and operating expenditures to ensure 
compliance with environmental laws and regulations.  
Such laws provide that Allied could be liable for the costs of removal of certain hazardous substances, 
remediation of certain hazardous locations or other environmental impacts.  The failure to remove or 
remediate such substances, locations or environmental impacts, if any, could adversely affect Allied’s 
ability to sell such real estate or to borrow using such real estate as collateral and could potentially also 
result in claims against Allied.  Allied is not aware of any material non-compliance with environmental laws 
at any of the properties.  Allied is also not aware of any pending or threatened investigations or actions by 
environmental regulatory authorities in connection with any of the properties or any pending or threatened 
claims relating to environmental conditions at the properties.

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ALLIED 2025 ANNUAL REPORT
Climate change could pose significant environmental, social and business risks.  If environmental laws and 
regulations change, Allied could be subject to more stringent environmental laws and regulations in the 
future.  Compliance with more stringent environmental laws and regulations could have an adverse effect on 
Allied’s business, financial condition or results of operation.  It is Allied’s operating policy to obtain a Phase I 
environmental assessment conducted by an independent and experienced environmental consultant 
prior to acquiring a property.  Phase I environmental assessments have been performed in respect of all 
properties.  Allied is committed to evaluating potential impacts to its business on an ongoing basis and to 
making investments to mitigate potential identified impacts.
Physical risks from climate change that may result in damage to Allied’s properties may include natural 
disasters and severe weather, such as floods and rising temperatures.  The extent of Allied’s casualty losses 
and loss in operating income in connection with such events is a function of the severity of the event and 
the total amount of exposure in the affected area.  Allied is also exposed to risks associated with inclement 
winter weather, including increased need for maintenance and repair of its buildings.  In addition, the 
physical impacts from climate change, including changing weather patterns, could have effects on Allied’s 
business by increasing the cost of property insurance, and/or energy at its properties.  As a result, the 
consequences of natural disasters, severe weather and climate change could increase Allied’s costs and 
reduce Allied’s cash flow.  Allied is evaluating all of its assets to understand how the physical risks from 
climate change could impact the portfolio and is taking a proactive and precautionary approach to mitigate 
potential impacts.
PANDEMICS AND OTHER PUBLIC HEALTH CRISES
Pandemics and other public health crises can result in significant economic disruptions, slowdowns and 
increased volatility in financial markets, which could have adverse consequences on Allied including, 
but not limited to, business continuity interruptions, disruptions and costs of development activities, 
unfavorable market conditions, and threats to the health and safety of employees.  Such occurrences could 
also potentially affect the market price for the equity securities of Allied, its current credit rating, total 
return and distributions.  Allied’s users may also face business challenges as a result of a pandemic or other 
public health crisis that may adversely affect their business and their ability to pay rent in full, on a timely 
basis or at all.  Such events could materially adversely affect Allied’s operations, reputation and financial 
condition, including the fair value of Allied’s properties.  
GENERAL UNINSURED LOSSES
Allied carries comprehensive general liability, fire, flood, extended coverage and rental loss insurance with 
policy specifications, limits and deductibles customarily carried for similar properties.  There are, however, 
certain types of risks, generally of a catastrophic nature, such as wars or environmental contamination, 
which are either uninsurable or not insurable on an economically viable basis.  Allied will have insurance 
for earthquake risks, subject to certain policy limits, deductibles and self-insurance arrangements, and 
will continue to carry such insurance if it is economical to do so.  Should an uninsured or underinsured 
loss occur, Allied could lose its investment in, and anticipated profits and cash flows from, one or more of 
its properties, but Allied would continue to be obliged to repay any recourse mortgage indebtedness on 
such properties.

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ALLIED 2025 ANNUAL REPORT
ABSENCE OF SHAREHOLDER RIGHTS
Unitholders do not have all of the statutory rights normally associated with ownership of shares of a 
company.  On May 12, 2016, Allied amended the Declaration of Trust to include certain rights, remedies 
and procedures in favour of Unitholders consistent, to the extent possible, with those available to 
shareholders of a corporation pursuant to the Canada Business Corporations Act, as further described in 
Allied’s Management Information Circular dated April 11, 2016.  The rights granted in the Declaration of 
Trust are granted as contractual rights afforded to Unitholders (rather than as statutory rights).  Similar to 
other existing rights contained in Allied’s Declaration of Trust (i. e. , the take-over bid provisions and conflict 
of interest provisions), making these rights and remedies and certain procedures available by contract is 
structurally different from the manner in which the equivalent rights and remedies or procedures (including 
the procedure for enforcing such remedies) are made available to shareholders of a corporation, who 
benefit from those rights and remedies or procedures by the corporate statute that governs the corporation, 
such as the Canada Business Corporations Act.  As such, there is no certainty how these rights, remedies or 
procedures may be treated by the courts in the non-corporate context or that a Unitholder will be able to 
enforce the rights and remedies in the manner contemplated by the amendments.  Furthermore, how the 
courts will treat these rights, remedies and procedures will be in the discretion of the court, and the courts 
may choose to not accept jurisdiction to consider any claim contemplated in the provisions.
The Units are not “deposits” within the meaning of the Canada Deposit Insurance Corporation Act and are not 
insured under the provisions of that Act or any other legislation.  Furthermore, Allied is not a trust company 
and, accordingly, it is not registered under any trust and loan company legislation as it does not carry on or 
intend to carry on the business of a trust company.
UNITHOLDER LIABILITY
On December 16, 2004, the Province of Ontario proclaimed the Trust Beneficiaries Liability Act (Ontario) 
in force.  This legislation provides that beneficiaries of Ontario based income trusts are not liable, as 
beneficiaries, for any act, default, obligation or liability of the income trust.  Unitholders of Allied will have 
the benefit of this legislation with respect to liabilities arising on or after December 16, 2004.  This legislation 
has not been subject to interpretation by courts in the Province of Ontario or elsewhere.

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ALLIED 2025 ANNUAL REPORT
Section X
—Property Table

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ALLIED 2025 ANNUAL REPORT
DECEMBER 31, 2025 
PROPERTIES
OFFICE GLA
RETAIL GLA
TOTAL GLA
% TOTAL GLA
TOTAL VACANT 
& UNLEASED 
GLA
TOTAL  
LEASED GLA
LEASED %
28 Atlantic
10,065
—
10,065
—
10,065
100. 0%
32 Atlantic
50,434
—
50,434
—
50,434
100. 0%
47 Jefferson
6,884
—
6,884
—
6,884
100. 0%
64 Jefferson
78,820
—
78,820
—
78,820
100. 0%
College & Manning -  
559 College (1)
24,621
2,634
27,255
4,856
22,399
82. 2%
College & Palmerston -  
491 College (1)
8,863
3,717
12,580
—
12,580
100. 0%
The Castle - 135 Liberty
55,861
—
55,861
4,288
51,573
92. 3%
The Castle - 41 Fraser
14,857
—
14,857
—
14,857
100. 0%
The Castle - 47 Fraser
7,468
3,480
10,948
—
10,948
100. 0%
The Castle - 49 Fraser
17,472
—
17,472
10,363
7,109
40. 7%
The Castle - 53 Fraser
78,797
—
78,797
14,091
64,706
82. 1%
The Castle - 8 Pardee
—
2,681
2,681
—
2,681
100. 0%
King West
354,142
12,512
366,654
2.5%
33,598
333,056
90.8%
12 Brant
—
11,936
11,936
—
11,936
100. 0%
141 Bathurst
10,101
—
10,101
4,900
5,201
51. 5%
241 Spadina
24,827
6,046
30,873
6,162
24,711
80. 0%
379 Adelaide W
36,923
3,045
39,968
4,638
35,330
88. 4%
383 Adelaide W
4,515
—
4,515
—
4,515
100. 0%
387 Adelaide W
6,500
—
6,500
6,500
—
—%
420 Wellington W
31,339
3,030
34,369
—
34,369
100. 0%
422-424 Wellington W
—
15,316
15,316
—
15,316
100. 0%
425 Adelaide W
70,863
3,809
74,672
917
73,755
98. 8%
425-439 King W
66,486
23,214
89,700
11,561
78,139
87. 1%
432 Wellington W
—
8,997
8,997
—
8,997
100. 0%
441-443 King W
6,377
2,904
9,281
—
9,281
100. 0%
445-455 King W
31,548
16,304
47,852
10,919
36,933
77. 2%
460 King W
10,473
4,348
14,821
2,960
11,861
80. 0%
461 King W
38,716
35,833
74,549
—
74,549
100. 0%
468 King W
55,154
—
55,154
—
55,154
100. 0%
469 King W
60,646
12,273
72,919
18,485
54,434
74. 6%
478 King W
—
8,701
8,701
—
8,701
100. 0%
485 King W
12,339
—
12,339
—
12,339
100. 0%
500 King W
44,130
21,598
65,728
19,754
45,974
69. 9%
522 King W
28,850
21,863
50,713
14,401
36,312
71. 6%
540 King W
—
5,935
5,935
3,440
2,495
42. 0%
544 King W
16,340
—
16,340
—
16,340
100. 0%
552-560 King W
6,784
17,395
24,179
—
24,179
100. 0%
555 Richmond W
296,048
1,850
297,898
74,635
223,263
74. 9%
579 Richmond W
26,818
—
26,818
—
26,818
100. 0%

109
ALLIED 2025 ANNUAL REPORT
DECEMBER 31, 2025 
PROPERTIES
OFFICE GLA
RETAIL GLA
TOTAL GLA
% TOTAL GLA
TOTAL VACANT 
& UNLEASED 
GLA
TOTAL  
LEASED GLA
LEASED %
64 Spadina
—
5,297
5,297
—
5,297
100. 0%
80-82 Spadina
60,048
16,009
76,057
—
76,057
100. 0%
96 Spadina
77,913
8,240
86,153
34,356
51,797
60. 1%
King Portland Centre -  
602-606 King W (1)
19,208
6,364
25,572
17,004
8,568
33. 5%
King Portland Centre -  
620 King W (1)
127,658
9,170
136,828
4,890
131,938
96. 4%
King Portland Centre -  
642 King W (1)
5,992
6,793
12,785
4,500
8,285
64. 8%
The Well - 8 Spadina (1)
419,219
5,935
425,154
15,339
409,815
96. 4%
The Well - 452 Front W (1)
64,245
—
64,245
—
64,245
100. 0%
The Well - 460 Front W (1)
61,991
—
61,991
—
61,991
100. 0%
The Well - 482 Front W (1)
44,954
—
44,954
—
44,954
100. 0%
The Well - 486 Front W (1)
1,523
133,703
135,226
11,466
123,760
91. 5%
The Well - Wellington 
Market (1)
—
11,611
11,611
1,201
10,410
89. 7%
King West Central 
1,768,528
427,519
2,196,047
15.1%
268,028
1,928,019
87.8%
116 Simcoe
15,525
—
15,525
—
15,525
100. 0%
117 & 119 John
—
7,562
7,562
—
7,562
100. 0%
19 Duncan
149,229
3,546
152,775
917
151,858
99. 4%
121 John 
2,591
855
3,446
—
3,446
100. 0%
125 John
2,171
798
2,969
—
2,969
100. 0%
179 John
70,894
—
70,894
3,782
67,112
94. 7%
180 John
45,631
—
45,631
—
45,631
100. 0%
185 Spadina
49,184
—
49,184
24,258
24,926
50. 7%
200 Adelaide W
26,614
—
26,614
7,622
18,992
71. 4%
208-210 Adelaide W
11,477
—
11,477
—
11,477
100. 0%
217 Richmond W
31,200
21,670
52,870
3,220
49,650
93. 9%
257 Adelaide W
37,927
—
37,927
24,847
13,080
34. 5%
312 Adelaide W
66,778
1,227
68,005
4,166
63,839
93. 9%
331-333 Adelaide W
19,058
3,725
22,783
3,737
19,046
83. 6%
358-360 Adelaide W
50,786
—
50,786
28,911
21,875
43. 1%
388 King W
12,170
19,040
31,210
10,122
21,088
67. 6%
82 Peter
38,583
6,846
45,429
22,870
22,559
49. 7%
99 Spadina
51,070
—
51,070
—
51,070
100. 0%
QRC West - 134 Peter
298,104
8,213
306,317
98,628
207,689
67. 8%
QRC West -  
375-381 Queen W
79,488
16,407
95,895
—
95,895
100. 0%
QRC West -  
364 Richmond W
37,696
—
37,696
—
37,696
100. 0%
Union Centre
41,787
—
41,787
4,952
36,835
88. 1%
Entertainment District
1,137,963
89,889
1,227,852
8.5%
238,032
989,820
80.6%

110
ALLIED 2025 ANNUAL REPORT
DECEMBER 31, 2025 
PROPERTIES
OFFICE GLA
RETAIL GLA
TOTAL GLA
% TOTAL GLA
TOTAL VACANT 
& UNLEASED 
GLA
TOTAL  
LEASED GLA
LEASED %
110 Yonge (2)
78,272
2,376
80,648
9,952
70,696
87. 7%
175 Bloor E (3)
296,346
9,234
305,580
94,613
210,967
69. 0%
193 Yonge
34,349
16,898
51,247
—
51,247
100. 0%
525 University
199,115
9,233
208,348
834
207,514
99. 6%
Downtown
608,082
37,741
645,823
4.5%
105,399
540,424
83.7%
106 Front E
24,113
10,545
34,658
5,770
28,888
83. 4%
184 Front E
84,116
4,829
88,945
26,734
62,211
69. 9%
35-39 Front E
34,818
13,822
48,640
—
48,640
100. 0%
36-40 Wellington E
15,496
5,948
21,444
—
21,444
100. 0%
41-45 Front E
20,353
14,239
34,592
—
34,592
100. 0%
45-55 Colborne
30,621
13,288
43,909
5,891
38,018
86. 6%
47 Front E
7,651
4,337
11,988
1,483
10,505
87. 6%
49 Front E
9,482
10,435
19,917
1,820
18,097
90. 9%
50 Wellington E
22,112
12,454
34,566
—
34,566
100. 0%
54 Esplanade
—
9,038
9,038
—
9,038
100. 0%
56 Esplanade
59,269
22,137
81,406
18,123
63,283
77. 7%
60 Adelaide E
106,017
4,608
110,625
897
109,728
99. 2%
65 Front E
13,963
5,999
19,962
4,722
15,240
76. 3%
70 Esplanade
19,590
6,109
25,699
—
25,699
100. 0%
St. Lawrence Market
447,601
137,788
585,389
4.0%
65,440
519,949
88.8%
135-137 George
2,399
—
2,399
—
2,399
100. 0%
133 George
1,617
—
1,617
—
1,617
100. 0%
139-141 George
2,190
—
2,190
2,190
—
—%
204-214 King E
115,086
13,837
128,923
4,055
124,868
96. 9%
230 Richmond E
73,542
—
73,542
—
73,542
100. 0%
Dominion Square -  
468 Queen N
30,383
3,523
33,906
17,270
16,636
49. 1%
Dominion Square -  
468 Queen S
34,268
9,091
43,359
8,122
35,237
81. 3%
Dominion Square -  
478-496 Queen
6,553
33,526
40,079
4,794
35,285
88. 0%
QRC East - 111 Queen E
190,938
20,732
211,670
8,448
203,222
96. 0%
Queen Richmond
456,976
80,709
537,685
3.7%
44,879
492,806
91.7%
Toronto
4,773,292
786,158
5,559,450
38.3%
755,376
4,804,074
86.4%
195 Joseph
26,462
—
26,462
—
26,462
100. 0%
20 Breithaupt (4)
147,029
—
147,029
—
147,029
100. 0%
25 Breithaupt (4)
46,845
—
46,845
—
46,845
100. 0%
51 Breithaupt (4)
66,283
—
66,283
3,883
62,400
94. 1%

111
ALLIED 2025 ANNUAL REPORT
DECEMBER 31, 2025 
PROPERTIES
OFFICE GLA
RETAIL GLA
TOTAL GLA
% TOTAL GLA
TOTAL VACANT 
& UNLEASED 
GLA
TOTAL  
LEASED GLA
LEASED %
72 Victoria
90,024
—
90,024
2,330
87,694
97. 4%
The Tannery -  
151 Charles W
306,038
25,809
331,847
167,032
164,815
49. 7%
Kitchener
682,681
25,809
708,490
4.9%
173,245
535,245
75.5%
Toronto & Kitchener
5,455,973
811,967
6,267,940
43.2%
928,621
5,339,319
85.2%
1001 Boulevard Robert-
Bourassa (5)
676,019
11,168
687,187
—
687,187
100. 0%
1010 Sherbrooke W
327,612
1,670
329,282
36,956
292,326
88. 8%
425 Viger
307,201
8,896
316,097
—
316,097
100. 0%
451-481 Saint-Catherine W
21,044
9,983
31,027
8,823
22,204
71. 6%
5445 de Gaspé
483,699
886
484,585
4,941
479,644
99. 0%
5455 de Gaspé
467,824
22,562
490,386
18,349
472,037
96. 3%
5505 Saint-Laurent
243,788
2,207
245,995
—
245,995
100. 0%
6300 Parc
184,843
3,933
188,776
19,060
169,716
89. 9%
700 Saint Antoine
108,907
17,685
126,592
—
126,592
100. 0%
700 Saint-Hubert
142,925
800
143,725
43,906
99,819
69. 5%
747 Square-Victoria (5)
451,748
16,695
468,443
11,938
456,505
97. 5%
La Cité - 111 Boulevard 
Robert-Bourassa
358,286
12,774
371,060
88,789
282,271
76. 1%
La Cité - 50 Queen
26,996
—
26,996
6,076
20,920
77. 5%
La Cité - 645 Wellington
128,693
7,299
135,992
66,456
69,536
51. 1%
La Cité - 700 Wellington
135,232
—
135,232
20,912
114,320
84. 5%
La Cité - 740 Saint-Maurice
68,703
—
68,703
9,834
58,869
85. 7%
La Cité - 75 Queen
253,311
2,513
255,824
75,008
180,816
70. 7%
La Cité - 80 Queen
69,247
—
69,247
2,312
66,935
96. 7%
La Cité - 87 Prince
99,089
1,040
100,129
49,299
50,830
50. 8%
El Pro Lofts - 644 Courcelle
144,912
8,940
153,852
40,830
113,022
73. 5%
Le Nordelec -  
1301-1303 Montmorency
7,550
—
7,550
—
7,550
100. 0%
Le Nordelec -  
1655 Richardson
30,063
—
30,063
—
30,063
100. 0%
Le Nordelec -  
1751 Richardson
785,307
38,538
823,845
71,946
751,899
91. 3%
RCA Building -  
1001 Lenoir (5)
149,825
3,471
153,296
2,336
150,960
98. 5%
Montréal
5,672,824
171,060
5,843,884
40.3%
577,771
5,266,113
90.1%
613 11th SW
—
4,288
4,288
—
4,288
100. 0%
617 11th SW
3,230
6,305
9,535
736
8,799
92. 3%
Alberta Block - 805 1st SW
9,094
22,037
31,131
2,582
28,549
91. 7%
Alberta Hotel - 808 1st SW
25,482
20,424
45,906
2,759
43,147
94. 0%

112
ALLIED 2025 ANNUAL REPORT
DECEMBER 31, 2025 
PROPERTIES
OFFICE GLA
RETAIL GLA
TOTAL GLA
% TOTAL GLA
TOTAL VACANT 
& UNLEASED 
GLA
TOTAL  
LEASED GLA
LEASED %
Atrium on Eleventh -  
625 11th SE
34,390
1,373
35,763
—
35,763
100. 0%
Biscuit Block - 438 11th SE
51,298
—
51,298
—
51,298
100. 0%
Cooper Block -  
809 10th SW
35,256
—
35,256
5,278
29,978
85. 0%
Customs House -  
134 11th SE
77,097
—
77,097
—
77,097
100. 0%
Demcor Condo -  
221 10th SE
14,253
—
14,253
—
14,253
100. 0%
Demcor Tower -  
239 10th SE
25,421
—
25,421
5,610
19,811
77. 9%
Five Roses Building -  
731-739 10th SW
—
20,808
20,808
2,474
18,334
88. 1%
Glenbow - 802 11th SW
—
7,319
7,319
—
7,319
100. 0%
Glenbow - 822 11th SW
14,155
—
14,155
—
14,155
100. 0%
Glenbow Annex - 816 11th 
SW
—
9,021
9,021
—
9,021
100. 0%
Glenbow Cornerblock -  
838 11th SW
10,998
11,212
22,210
—
22,210
100. 0%
Glenbow Ellison -  
812 11th SW
13,344
—
13,344
—
13,344
100. 0%
Kipling Square -  
601 10th SW
46,047
2,455
48,502
23,692
24,810
51. 2%
Leeson Lineham Building - 
209 8th SW
27,821
5,420
33,241
—
33,241
100. 0%
LocalMotive -  
1240 20th SE
57,536
—
57,536
—
57,536
100. 0%
Odd Fellows - 100 6th SW
33,487
—
33,487
—
33,487
100. 0%
Pilkington Building -  
402 11th SE
40,018
—
40,018
—
40,018
100. 0%
Roberts Block -  
603-605 11th SW
23,618
27,670
51,288
—
51,288
100. 0%
Sherwin Block -  
738 11th SW
18,319
8,176
26,495
—
26,495
100. 0%
Telephone Building -  
119 6th SW
63,064
—
63,064
38,707
24,357
38. 6%
Theatre Grand -  
608 1st Street SW
—
34,100
34,100
—
34,100
100. 0%
The Lougheed Building - 
604 1st Street SW
87,778
—
87,778
70,296
17,482
19. 9%
Vintage Towers -  
322-326 11th SW
188,596
23,558
212,154
15,084
197,070
92. 9%
Woodstone Building -  
1207-1215 13th SE
32,428
—
32,428
2,687
29,741
91. 7%
Young Block - 129 8th SW
4,841
2,164
7,005
—
7,005
100. 0%
Calgary
937,571
206,330
1,143,901
7.9%
169,905
973,996
85.1%

113
ALLIED 2025 ANNUAL REPORT
DECEMBER 31, 2025 
PROPERTIES
OFFICE GLA
RETAIL GLA
TOTAL GLA
% TOTAL GLA
TOTAL VACANT 
& UNLEASED 
GLA
TOTAL  
LEASED GLA
LEASED %
1040 Hamilton
36,278
9,162
45,440
3,106
42,334
93. 2%
1050 Homer
38,336
4,797
43,133
4,797
38,336
88. 9%
1185 West Georgia
162,113
4,869
166,982
57,568
109,414
65. 5%
1286 Homer
21,005
4,609
25,614
5,367
20,247
79. 0%
1508 West Broadway
81,809
64,039
145,848
13,624
132,224
90. 7%
151-155 West Hastings
36,407
—
36,407
—
36,407
100. 0%
2233 Columbia
21,591
6,852
28,443
—
28,443
100. 0%
375 Water (5)
103,536
23,052
126,588
—
126,588
100. 0%
400 West Georgia
340,846
6,546
347,392
14,667
332,725
95. 8%
840 Cambie
82,365
—
82,365
—
82,365
100. 0%
948-950 Homer
23,245
21,758
45,003
—
45,003
100. 0%
Dominion Building -  
207 West Hastings
60,044
12,646
72,690
23,527
49,163
67. 6%
Sun Tower -  
128 West Pender
76,392
1,693
78,085
29,605
48,480
62. 1%
Vancouver
1,083,967
160,023
1,243,990
8.6%
152,261
1,091,729
87.8%
Total Rental Portfolio
13,150,335
1,349,380
14,499,715
100.0%
1,828,558
12,671,157
87.4%
Note that the table above does not include ancillary residential properties, which total 12, and are included in the property count. The table above 
also excludes properties under development and investment properties held for sale. For joint arrangements, the information reflected in the table 
above is at Allied’s ownership interest.
(1)	 RioCan/Allied Joint Arrangement.
(2)	 Sutter Hill/Allied Joint Arrangement.
(3)	 OPTrust/Allied Joint Arrangement.
(4)	 Perimeter/Allied Joint Arrangement.
(5)	 A portion of the property is under development. Only the portion of GLA that is in the rental portfolio is included in the property table.
RENTAL-RESIDENTIAL
The table below summarizes the leasing status of Allied’s rental-residential portfolio: 
PROPERTY
TOTAL NUMBER  
OF SUITES
LEASED AT  
DECEMBER 31, 2025
LEASED AT  
DECEMBER 31, 2024
Calgary House -  
655 Centre Street SW (1)
326
69.9%
91. 8%
Toronto House -  
225 Adelaide Street W
464
62.5%
15. 7%
Total
790
(1)	 The number of suites is at 100% ownership.

114
ALLIED 2025 ANNUAL REPORT
Consolidated Financial Statements 
For the Years Ended December 31, 
2025 and 2024

115
ALLIED 2025 ANNUAL REPORT
Cecilia C.  Williams, CPA, CA
President and Chief Executive Officer
Nanthini Mahalingam, CPA
Senior Vice President and Chief Financial Officer
Management’s Statement of 
Responsibility for Financial 
Reporting
The accompanying consolidated financial statements, management’s discussion and analysis of results 
of operations and financial condition and the annual report are the responsibility of the Management 
of Allied Properties Real Estate Investment Trust (“Allied”).  The consolidated financial statements have 
been prepared in accordance with IFRS® Accounting Standards as issued by the International Accounting 
Standards Board and where appropriate, include amounts that are based on management’s judgments, 
estimates, and assumptions.
Management has developed and maintains a system of accounting and reporting that provides the necessary 
internal controls to ensure that transactions are properly authorized and recorded, assets are safeguarded 
against unauthorized use or disposition, and liabilities are appropriately recognized.
The Board of Trustees (the “Board”) is responsible for ensuring that Management fulfills its responsibility 
for financial reporting and is ultimately responsible for reviewing and approving the consolidated 
financial statements.  The Board carries out this responsibility principally through its Audit Committee 
(the “Committee”), which is comprised entirely of independent trustees.  The Committee reviews the 
consolidated financial statements with both Management and the independent auditors and reports its 
findings to the Board, which approves the consolidated financial statements before they are submitted to the 
Unitholders of Allied.
Deloitte LLP (the “Auditors”), the independent auditors of Allied, have audited the consolidated financial 
statements in accordance with Canadian generally accepted auditing standards to enable them to express their 
opinion to the Unitholders on the consolidated financial statements.  The Auditors have direct and unrestricted 
access to, and meet periodically with, the Committee, both with and without Management present.

116
ALLIED 2025 ANNUAL REPORT
Independent Auditor’s Report
TO THE UNITHOLDERS AND THE BOARD OF TRUSTEES OF 
ALLIED PROPERTIES REAL ESTATE INVESTMENT TRUST
OPINION
We have audited the consolidated financial statements of Allied Properties Real Estate Investment Trust 
(the “Trust”), which comprise the consolidated balance sheets as at December 31, 2025 and 2024, and the 
consolidated statements of loss and comprehensive loss, equity, and cash flows for the years then ended, 
and notes to the consolidated financial statements, including material accounting policy information 
(collectively referred to as the “financial statements”).
In our opinion, the accompanying financial statements present fairly, in all material respects, the financial 
position of the Trust as at December 31, 2025 and 2024, and its financial performance and its cash flows 
for the years then ended in accordance with IFRS Accounting Standards as issued by the International 
Accounting Standards Board (“IASB”).
BASIS FOR OPINION
We conducted our audit in accordance with Canadian generally accepted auditing standards (“Canadian 
GAAS”).  Our responsibilities under those standards are further described in the Auditor’s Responsibilities for 
the Audit of the Financial Statements section of our report.  We are independent of the Trust in accordance 
with the ethical requirements that are relevant to our audit of the financial statements in Canada, and we 
have fulfilled our other ethical responsibilities in accordance with these requirements.  We believe that the 
audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
KEY AUDIT MATTER
A key audit matter is a matter that, in our professional judgment, was of most significance in our audit of the 
consolidated financial statements for the year ended December 31, 2025.  This matter was addressed in the 
context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, 
and we do not provide a separate opinion on this matter.  

117
ALLIED 2025 ANNUAL REPORT
FAIR VALUE OF INVESTMENT PROPERTIES AND INVESTMENT PROPERTIES HELD FOR SALE —  
REFER TO NOTES 2(D), 3, AND 5 OF THE FINANCIAL STATEMENTS
KEY AUDIT MATTER DESCRIPTION
Investment properties and Investment properties held for sale (collectively, “Investment properties”) 
are accounted for using the fair value model.  The Trust predominantly uses the discounted cash flow 
(“DCF”) method to estimate fair value and uses the comparable sales method primarily for properties 
under development.  The critical assumptions relating to the Trust’s estimates of fair values of investment 
properties include discount rates, terminal capitalization rates, and anticipated cash flow assumptions 
relating to occupancy and rental rates.
While there are several assumptions that are required to determine the fair value of all investment 
properties using the DCF method, the critical assumptions with the highest degree of subjectivity and 
impact on fair values are the anticipated rental rates, discount rates, and terminal capitalization rates.  
Auditing these critical assumptions required a high degree of auditor judgment as the estimations made by 
management contain significant measurement uncertainty.  This resulted in an increased extent of audit 
effort, including the need to involve fair value specialists.
HOW THE KEY AUDIT MATTER WAS ADDRESSED IN THE AUDIT
Our audit procedures related to the anticipated rental rates, discount rates and terminal capitalization rates 
used to determine the fair value of the investment properties included the following, among others:
—	
Evaluated the reasonableness of management’s forecast of anticipated rental rates by considering in-
place leases, recently executed market leases and market survey reports.
—	
With the assistance of fair value specialists, evaluated the reasonableness of management’s forecast of 
anticipated rental rates, discount rates and terminal capitalization rates by considering recent market 
transactions and industry surveys.
OTHER INFORMATION
Management is responsible for the other information.  The other information comprises: 
—	
Management’s Discussion and Analysis of Results of Operations and Financial Condition
—	
The information, other than the financial statements and our auditor’s report thereon, in the Annual 
Report.  
Our opinion on the financial statements does not cover the other information and we do not express 
any form of assurance conclusion thereon.  In connection with our audit of the financial statements, our 
responsibility is to read the other information identified above and, in doing so, consider whether the other 
information is materially inconsistent with the financial statements or our knowledge obtained in the audit, 
or otherwise appears to be materially misstated.  

118
ALLIED 2025 ANNUAL REPORT
We obtained Management’s Discussion and Analysis of Results of Operations and Financial Condition and 
the Annual Report prior to the date of this auditor’s report.  If, based on the work we have performed on 
this other information, we conclude that there is a material misstatement of this other information, we are 
required to report that fact in this auditor’s report.  We have nothing to report in this regard.  
RESPONSIBILITIES OF MANAGEMENT AND THOSE CHARGED WITH GOVERNANCE FOR THE 
FINANCIAL STATEMENTS
Management is responsible for the preparation and fair presentation of the financial statements in 
accordance with IFRS Accounting Standards as issued by the IASB, and for such internal control as 
management determines is necessary to enable the preparation of financial statements that are free from 
material misstatement, whether due to fraud or error.
In preparing the financial statements, management is responsible for assessing the Trust’s ability to continue 
as a going concern, disclosing, as applicable, matters related to going concern and using the going concern 
basis of accounting unless management either intends to liquidate the Trust or to cease operations, or has 
no realistic alternative but to do so.
Those charged with governance are responsible for overseeing the Trust’s financial reporting process.
AUDITOR’S RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free 
from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our 
opinion.  Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted 
in accordance with Canadian GAAS will always detect a material misstatement when it exists.  Misstatements 
can arise from fraud or error and are considered material if, individually or in the aggregate, they could 
reasonably be expected to influence the economic decisions of users taken on the basis of these financial 
statements.
As part of an audit in accordance with Canadian GAAS, we exercise professional judgment and maintain 
professional skepticism throughout the audit.  We also:
—	
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud 
or error, design and perform audit procedures responsive to those risks, and obtain audit evidence 
that is sufficient and appropriate to provide a basis for our opinion.  The risk of not detecting a material 
misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve 
collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
—	
Obtain an understanding of internal control relevant to the audit in order to design audit procedures 
that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the 
effectiveness of the Trust’s internal control.
—	
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting 
estimates and related disclosures made by management.

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ALLIED 2025 ANNUAL REPORT
—	
Conclude on the appropriateness of management’s use of the going concern basis of accounting 
and, based on the audit evidence obtained, whether a material uncertainty exists related to events 
or conditions that may cast significant doubt on the Trust’s ability to continue as a going concern.  
If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s 
report to the related disclosures in the financial statements or, if such disclosures are inadequate, to 
modify our opinion.  Our conclusions are based on the audit evidence obtained up to the date of our 
auditor’s report.  However, future events or conditions may cause the Trust to cease to continue as a 
going concern.
—	
Evaluate the overall presentation, structure and content of the financial statements, including the 
disclosures, and whether the financial statements represent the underlying transactions and events in 
a manner that achieves fair presentation.
—	
Plan and perform the group audit to obtain sufficient appropriate audit evidence regarding the financial 
information of the entities or business units within the Trust as a basis for forming an opinion on the 
financial statements.  We are responsible for the direction, supervision and review of the audit work 
performed for purposes of the group audit.  We remain solely responsible for our audit opinion.
We communicate with those charged with governance regarding, among other matters, the planned scope 
and timing of the audit and significant audit findings, including any significant deficiencies in internal 
control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant 
ethical requirements regarding independence, and to communicate with them all relationships and other 
matters that may reasonably be thought to bear on our independence, and where applicable, related 
safeguards.
From the matters communicated with those charged with governance, we determine those matters that 
were of most significance in the audit of the consolidated financial statements of the current period and are 
therefore the key audit matters.  We describe these matters in our auditor’s report unless law or regulation 
precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that 
a matter should not be communicated in our report because the adverse consequences of doing so would 
reasonably be expected to outweigh the public interest benefits of such communication.
The engagement partner on the audit resulting in this independent auditor’s report is Craig Irwin.
/s/ Deloitte LLP
CHARTERED PROFESSIONAL ACCOUNTANTS 
LICENSED PUBLIC ACCOUNTANTS
TORONTO, ONTARIO 
FEBRUARY 10, 2026

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ALLIED 2025 ANNUAL REPORT
ALLIED PROPERTIES REAL ESTATE INVESTMENT TRUST
CONSOLIDATED BALANCE SHEETS
AS AT DECEMBER 31, 2025 AND DECEMBER 31, 2024 
(in thousands of Canadian dollars)
NOTES
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Assets
Non-current assets
Investment properties
5
$8,443,045
$9,448,363
Residential inventory
6
—
221,004
Loans and notes receivable
8
97,008
191,045
Other assets
9
44,438
36,642
$8,584,491
$9,897,054
Current assets
Cash and cash equivalents
20
96,609
73,918
Loans and notes receivable
8
248,640
235,532
Accounts receivable, prepaid expenses and deposits
10
54,237
137,645
Residential inventory
6
222,847
—
Investment properties held for sale
5
50,580
259,830
$672,913
$706,925
Total assets
$9,257,404
$10,603,979
Liabilities
Non-current liabilities
Debt
11
$3,954,747
$3,418,246
Lease liabilities
12
24,085
8,384
Other liabilities
13
2,780
52,297
$3,981,612
$3,478,927
Current liabilities
Exchangeable LP Units
16
157,888
202,527
Debt
11
727,016
985,129
Accounts payable and other liabilities
13
373,395
367,731
Lease liability held for sale
12
1,291
7,021
$1,259,590
$1,562,408
Total liabilities
$5,241,202
$5,041,335
Unitholders’ equity
15
$4,016,202
$5,562,644
Total liabilities and Unitholders’ equity
$9,257,404
$10,603,979
Commitments and Contingencies (note 26)
The accompanying notes are an integral part of these consolidated financial statements.
Stephen L.  Sender 
Trustee
Michael R.  Emory 
Trustee

121
ALLIED 2025 ANNUAL REPORT
ALLIED PROPERTIES REAL ESTATE INVESTMENT TRUST 
CONSOLIDATED STATEMENTS OF LOSS AND COMPREHENSIVE LOSS
FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024
YEAR ENDED
(in thousands of Canadian dollars) 
NOTES
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Rental revenue
18, 22
$592,379
$592,040
Property operating costs
22
(275,415)
(263,566)
Operating income
$316,964
$328,474
Interest income
41,402
45,069
Interest expense
11 (f)
(135,453)
(116,467)
General and administrative expenses
19, 24, 25 (c)
(24,666)
(24,333)
Condominium marketing expenses
(39)
(134)
Amortization of other assets
9
(1,879)
(1,538)
Transaction costs
4
(5,349)
(1,722)
Net income from joint venture
7
—
1,842
Fair value loss on investment properties and investment  
properties held for sale
5
(1,408,235)
(557,569)
Fair value gain on Exchangeable LP Units
16, 25 (c)
44,639
35,782
Fair value loss on derivative instruments
25 (e)
(2,996)
(13,675)
Expected credit loss on loans and notes receivable
8, 25 (d)
(128,000)
—
Impairment of residential inventory
6
(23,920)
(38,259)
Net loss and comprehensive loss
$(1,327,532)
$(342,530)
The accompanying notes are an integral part of these consolidated financial statements.

122
ALLIED 2025 ANNUAL REPORT
ALLIED PROPERTIES REAL ESTATE INVESTMENT TRUST
CONSOLIDATED STATEMENTS OF EQUITY
FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024
(in thousands of Canadian dollars) 
NOTES
UNITS
RETAINED 
EARNINGS
CONTRIBUTED 
SURPLUS
TOTAL  
EQUITY
Balance at January 1, 2024
15
$4,546,908
$1,550,518
$37,653
$6,135,079
Net loss and comprehensive loss
—
(342,530)
—
(342,530)
Distributions
15
—
(230,321)
—
(230,321)
Contributed surplus – Unit Option Plan
17 (a)
—
—
104
104
Restricted Unit Plan (net of forfeitures)
15, 17 (b)
(1,712)
—
2,024
312
Balance at December 31, 2024
$4,545,196
$977,667
$39,781
$5,562,644
NOTES
UNITS
RETAINED 
EARNINGS
CONTRIBUTED 
SURPLUS
TOTAL 
EQUITY
Balance at January 1, 2025
15
$4,545,196
$977,667
$39,781
$5,562,644
Net loss and comprehensive loss
—
(1,327,532)
—
(1,327,532)
Distributions
15
—
(218,805)
—
(218,805)
Contributed surplus – Unit Option Plan
17 (a)
—
—
5
5
Restricted Unit Plan (net of forfeitures)
15, 17 (b)
(2,044)
—
1,934
(110)
Balance at December 31, 2025
$4,543,152
$(568,670)
$41,720
$4,016,202
The accompanying notes are an integral part of these consolidated financial statements.

123
ALLIED 2025 ANNUAL REPORT
ALLIED PROPERTIES REAL ESTATE INVESTMENT TRUST
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024
YEAR ENDED
(in thousands of Canadian dollars)
NOTES
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Operating activities
Net loss for the year
$(1,327,532)
$(342,530)
Fair value loss on investment properties and investment properties 
held for sale
5
1,408,235
557,569
Fair value gain on Exchangeable LP Units
16, 25 (c)
(44,639)
(35,782)
Fair value loss on derivative instruments
25 (e)
2,996
13,675
Payment on settlement of derivative instruments
11, 11 (b), 11 (e),  
17 (d)
(4,284)
—
Expected credit loss on loans and notes receivable
8, 25 (d)
128,000
—
Impairment of residential inventory
6
23,920
38,259
Interest expense (net of the impact of capitalization)
11 (f)
135,453
116,467
Interest paid (net of the impact of capitalization)
5, 6, 12, 16, 20
(113,995)
(110,271)
Interest income
(41,402)
(45,069)
Interest received
13,301
28,615
Net income from joint venture 
7
—
(1,842)
Amortization of other assets
9
1,879
1,538
Amortization of improvement allowances
5
37,762
36,975
Amortization of straight-line rent
5
(3,409)
(7,410)
Amortization of premium on debt
11 (f)
—
(231)
Amortization of net financing costs
11 (f)
5,386
3,547
Unit-based compensation expense
17, 25 (c)
6,529
5,283
Settlement of unit-based compensation liabilities
17 (c)
(816)
(2,264)
Development expenditures on residential inventory
6
(25,763)
(49,480)
Change in other non-cash operating items
8, 10, 13, 20
53,667
(59,212)
Cash provided by operating activities
$255,288
$147,837
Financing activities
Proceeds from mortgage payable
11 (a)
65,000
393,000
Repayment of mortgages payable
11 (a)
(11,164)
(49,332)
Proceeds from senior unsecured debentures (net of financing costs)
11 (d)
1,294,262
248,742
Repayment of senior unsecured debentures
11 (d)
(200,000)
—
Repayment of unsecured term loans
11 (e)
(550,000)
—
Principal payments of lease liabilities
12
(302)
(277)
Distributions paid on Units
15
(230,321)
(291,740)
Restricted Unit Plan (net of forfeitures)
15, 17 (b)
(2,044)
(1,712)
Proceeds from unsecured revolving operating facility
11 (c)
273,732
465,000
Repayments of unsecured revolving operating facility
11 (c)
(222,732)
(465,000)

124
ALLIED 2025 ANNUAL REPORT
YEAR ENDED
(in thousands of Canadian dollars)
NOTES
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Proceeds from construction loans
11 (b)
10,844
52,723
Repayment of construction loans
11 (b)
(449,555)
(250,964)
Financing costs
11 (a), (d), (e)
(2,129)
(3,963)
Cash (used in) provided by financing activities
$(24,409)
$96,477
Investing activities
Acquisition of investment properties
4, 20
—
(50,338)
Additions to investment properties (including capitalized interest)
5, 11 (f)
(187,090)
(272,955)
Net proceeds on disposition of investment properties held for sale
4
132,755
144,366
Net distributions from equity accounted investments
7
—
10,708
Loans receivable issued to third-parties
8 (a), 20
(43,056)
(105,032)
Loan receivable from joint venture repaid
7
—
14,981
Proceeds from loans receivable
8 (a)
985
—
Notes receivable repaid (advanced)
8 (b)
551
(1,929)
Advances on note receivable from holder of Exchangeable LP Units
11 (f), 16
(21,256)
(26,925)
Additions to equipment and other assets
9
(815)
(958)
Leasing commissions
5
(23,295)
(20,136)
Improvement allowances
5
(66,967)
(73,247)
Cash used in investing activities
$(208,188)
$(381,465)
Increase (decrease) in cash and cash equivalents
22,691
(137,151)
Cash and cash equivalents, beginning of year
73,918
211,069
Cash and cash equivalents, end of year
$96,609
$73,918
Note 20 contains supplemental cash flow information.
The accompanying notes are an integral part of these consolidated financial statements.

125
ALLIED 2025 ANNUAL REPORT
ALLIED PROPERTIES REAL ESTATE INVESTMENT TRUST
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024 
(in thousands of Canadian dollars, except per unit and unit amounts)
1.	
NATURE OF OPERATIONS
Allied Properties Real Estate Investment Trust (“Allied”) is a Canadian unincorporated open-end real 
estate investment trust created pursuant to the Declaration of Trust dated October 25, 2002, as most 
recently amended June 12, 2023.  Allied is governed by the laws of the Province of Ontario and began 
operations on February 19, 2003.  The units of Allied (“Units”) are traded on the Toronto Stock Exchange 
(“TSX”) and are traded under the symbol “AP. UN”.
The subsidiaries of Allied include Allied Properties Management Trust, Allied Properties Management 
Limited Partnership, Allied Properties Management GP Limited, Allied Properties Exchangeable Limited 
Partnership (the “Partnership”), and Allied Properties Exchangeable GP Inc.  (the “General Partner”).  
Allied’s principal registered head office is located at 134 Peter Street, Suite 1700, Toronto, Ontario, 
M5V 2H2.
2.	
MATERIAL ACCOUNTING POLICY INFORMATION
(a)	 Statement of compliance
The consolidated financial statements of Allied for the years ended December 31, 2025 and 2024 are 
prepared in accordance with IFRS® Accounting Standards as issued by the International Accounting 
Standards Board (“IFRS Accounting Standards”).  These policies set out below were consistently applied 
to all the years presented unless otherwise noted.  
The preparation of financial statements in accordance with IFRS Accounting Standards requires the use 
of certain critical accounting judgments, estimates and assumptions that affect the amounts reported.  
Allied’s basis for applying judgments, estimates and assumptions to its accounting policies are described 
in notes 2 and 3 below.
The consolidated financial statements for the years ended December 31, 2025 and 2024 were approved 
and authorized for issue by the Board of Trustees (the “Board”) on February 10, 2026.  
(b)	 Basis of presentation 
The consolidated financial statements have been prepared on a historical cost basis except for the 
following items that were measured at fair value:
—	
investment properties as described in note 2 (d) and note 5;
—	
investment properties held for sale and lease liability held for sale as described in note 2 (s);
—	
Exchangeable LP Units which are exchangeable for Units at the option of the holder as described in 
note 16;
—	
interest rate swaps as described in note 2 (i); 

126
ALLIED 2025 ANNUAL REPORT
—	
total return swap as described in note 2 (i); and
—	
unit-based compensation liabilities as described in note 17 (c).
The consolidated financial statements are presented in Canadian dollars, which is Allied’s functional 
currency, and all amounts are rounded to the nearest thousand, unless otherwise indicated.
The preparation of these consolidated financial statements requires Allied to make estimates and 
assumptions that affect the reported amounts of assets and liabilities at the date of the financial 
statements and reported amounts of revenue and expenses.  Actual outcomes could differ from these 
estimates.  These consolidated financial statements include estimates, which, by their nature, are 
uncertain.  The impact of such estimates is pervasive throughout the consolidated financial statements, 
and may require accounting adjustments based on future occurrences.  Revisions to accounting 
estimates are recognized in the period in which the estimate is revised and the revision affects both 
current and future periods.  Significant estimates and assumptions include the fair values assigned to 
investment properties and investment properties held for sale, the impairment of residential inventory, 
interest rate derivative contracts, unit-based compensation liabilities, and allowances for expected 
credit losses.
(c)	 Basis of consolidation
The consolidated financial statements comprise the financial statements of Allied and its subsidiaries.
Subsidiaries are all entities over which Allied has control, where control is defined as the power to 
direct the relevant activities of an entity so as to obtain benefit from its activities.  Control exists when a 
parent company is exposed to, or has rights to, variable returns from the subsidiaries and has the ability 
to affect those returns through its power.
Subsidiaries are consolidated from the date control is transferred to Allied, and are de-consolidated 
from the date control ceases.  Intercompany transactions between subsidiaries are eliminated on 
consolidation.  Accounting policies of subsidiaries have been changed where necessary to ensure 
consistency with the policies adopted by Allied.  All subsidiaries have a reporting date of December 31.
(d)	 Investment properties
At the time of acquisition of a property, Allied applies judgment when determining if the acquisition is 
an asset acquisition or a business combination.
Allied classifies its acquisitions as asset acquisitions when it acquires a property or a portfolio of 
properties and it has not acquired an operating platform.
Where Allied has completed an acquisition of an asset, Allied uses the asset purchase model whereby 
the initial cost of an investment property is comprised of its purchase price and any directly attributable 
expenditures.  Directly attributable expenditures include transaction costs such as due diligence costs, 
appraisal fees, environmental fees, legal fees, land transfer taxes, and brokerage fees.

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ALLIED 2025 ANNUAL REPORT
At the time of the disposition of a property, Allied recognizes any directly attributable expenditures that 
are non-reimbursable as an expense in the Consolidated Statements of Loss and Comprehensive Loss.  
Directly attributable expenditures include transaction costs such as due diligence costs, appraisal fees, 
environmental fees, legal fees, and brokerage fees.  
Investment properties include rental properties and properties under development that are owned by 
Allied, or leased by Allied as a lessee, to earn rental revenue and/or for capital appreciation.  Investment 
properties are accounted for using the fair value model.  Rental income and operating expenses from 
investment properties are reported within ‘total rental revenue’ and ‘total property operating costs’ 
respectively.
Investment properties are externally appraised quarterly and are reported in the Consolidated Balance 
Sheets at their fair values.  Allied’s determination of fair value is supported by valuations prepared by a 
nationally recognized and qualified third-party professional appraiser with sufficient experience with 
respect to both the geographic location and the nature of the investment property and supported by 
market evidence.  Any gain or loss resulting from a change in the fair value of an investment property is 
immediately recognized in the Consolidated Statements of Loss and Comprehensive Loss.  The fair value 
of each investment property is based upon, among other things, rental income from current leases and 
assumptions about rental income from future leases reflecting market conditions at the balance sheet 
date, less future estimated non-recoverable capital cash outflows in respect of such properties.
The independent professional appraiser engaged by Allied predominantly uses the discounted cash flow 
method to determine fair value, whereby the income and expenses are projected over the anticipated 
term of the investment and combined with a terminal value, all of which is discounted using an 
appropriate discount rate.  Other methods to determine fair value includes comparable sales and direct 
capitalization.  For further details, refer to note 5.  Valuations of investment properties are most sensitive 
to changes in discount rates and capitalization rates.
Allied has applied judgment based on the costs incurred to enhance the service potential of the 
property in determining whether certain costs are additions to the carrying amount of investment 
properties or will be expensed.
Allied has applied judgment when reporting its properties under development.  The cost of properties 
under development includes the acquisition cost of the property, direct development costs, operating 
costs, realty taxes and borrowing costs attributable to the development.  See 2 (g) below for further 
information regarding Allied’s accounting for borrowing costs.
(e)	 Joint arrangements
Investments in joint arrangements are classified as either joint operations or joint ventures depending 
on the contractual rights and obligations of each investor.  Joint control is the contractually agreed 
sharing of control of an arrangement, which exists only when decisions about the relevant activities 
require unanimous consent of the parties sharing control.

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ALLIED 2025 ANNUAL REPORT
Joint operation
A joint operation is a joint arrangement whereby the parties that have joint control have rights to the 
assets and obligations for the liabilities relating to the arrangement.  A joint operation usually results 
from direct interests in the assets and liabilities of an investee.  None of the parties involved have 
unilateral control of a joint operation.  Allied accounts for its joint arrangements as joint operations 
wherein it records its share of the assets, liabilities, revenue and expenses.
Joint venture
A joint venture is a joint arrangement whereby the parties that have joint control have rights to the net 
assets relating to the arrangement, and usually results from the establishment of a separate legal entity.  
Allied accounts for its joint ventures using the equity method.  The share of results of income (loss) of 
the joint venture is reflected in the Consolidated Statements of Loss and Comprehensive Loss.
Under the equity method, an investment in a joint venture is recognized initially in the Consolidated 
Balance Sheets at cost and adjusted thereafter to recognize Allied’s share of the profit or loss and other 
comprehensive income of the joint venture in accordance with Allied’s accounting policies.  When 
Allied’s share of losses of a joint venture exceeds Allied’s interest in that joint venture (which includes 
any long-term interests that, in substance, form part of Allied’s net investment in the joint venture), 
Allied continues recognizing its share of further losses to the extent that Allied has incurred legal or 
constructive obligations or made payments on behalf of the joint venture.
(f)	 Revenue recognition
Allied has retained substantially all of the risks and benefits of ownership of its investment properties 
and as such accounts for its leases with tenants as operating leases.
Revenue includes rents from tenants under leases, property tax and operating cost recoveries, 
percentage participation rents, lease cancellation fees, parking income and other income.  Rents from 
tenants may include free rent periods and rental increases over the term of the lease and are recognized 
in revenue on a straight-line basis over the term of the lease.  Typically, in ground-up developments, 
when there are fixturing periods outside of the term of the lease, revenue is not recognized during 
these fixturing periods.  The difference between revenue recognized and the cash received is included in 
investment properties as straight-line rent receivable.
Lease incentives provided to tenants (referred to as tenant improvements) are deferred and amortized 
on a straight-line basis against revenue over the term of the lease.  Recoveries from tenants are 
recognized as revenue in the period in which the applicable costs are incurred.  Percentage participation 
rents are recognized after the minimum sales level has been achieved with each lease, where applicable.  
Lease cancellation fees are recognized as revenue once an agreement is completed with the tenant 
to terminate the lease and the collectability is reasonably assured.  Other income is recognized upon 
provision of goods or services when collectability is reasonably assured.

129
ALLIED 2025 ANNUAL REPORT
Contracts with purchasers for residential condominium units generally include one distinct 
performance obligation.  Revenue is measured at the transaction price agreed under the contract, and 
is recognized at the point in time in which control over the property has been transferred.  Purchaser 
deposits received are held in trust and restricted for use.
(g)	 Borrowing costs
Borrowing costs directly attributable to acquiring or constructing a qualifying investment property 
are capitalized.  Capitalization commences when the activities necessary to prepare an asset for 
development or redevelopment begin, and ceases once the asset is substantially complete, or is 
suspended if the development of the asset is suspended.  The amount of borrowing costs capitalized 
is determined first by reference to borrowings specific to the project, where relevant, and otherwise 
by applying a weighted average cost of borrowings to eligible expenditures after adjusting for 
borrowings associated with other specific developments.  Where borrowings are associated with 
specific developments, the amount capitalized is the gross costs incurred on those borrowings.  The 
capitalization of borrowing costs is suspended if there are prolonged periods when development 
activity is interrupted.
(h)	 Other assets
Computer and office equipment and owner occupied property are included in other assets and are 
stated at cost less accumulated amortization and accumulated impairment losses.  Cost includes 
expenditures that are directly attributable to the acquisition of the asset.
For the assets that are amortized, Allied records amortization expense on a straight-line basis over the 
assets’ estimated useful life.  This is generally three to seven years for computer and office equipment, 
and will vary for owner occupied property depending on the property.  The assets’ residual values and 
useful lives are reviewed annually or if expectations differ from previous estimates, and adjusted if 
appropriate.
When events and circumstances indicate an asset may be impaired, the carrying amount is written 
down to its recoverable amount (defined as the higher of an asset’s fair value less costs to sell and its 
value in use).
(i)	
Financial instruments
Cash and cash equivalents include cash on hand, balances with banks and short-term deposits with 
maturities of three months or less.
Mortgages payable consists of the legal liabilities owing pursuant to loans secured by mortgages and 
premiums and discounts recognized on loans assumed on acquisition of properties, netted against 
the transaction costs, and the effective interest method of amortization is applied to the premiums, 
discounts and transaction costs.

130
ALLIED 2025 ANNUAL REPORT
The following table describes Allied’s classification and measurement of its financial assets and 
liabilities:
ASSET/LIABILITY
CLASSIFICATION/MEASUREMENT
Loans and notes receivable
Amortized cost
Cash and cash equivalents
Amortized cost
Accounts receivable
Amortized cost
Exchangeable LP Units
Fair value
Debt
Amortized cost
Accounts payable and other liabilities
Amortized cost
Unit-based compensation liabilities
Fair value
Interest rate swaps
Fair value
Total return swap
Fair value
All derivatives, including embedded derivatives, are classified at fair value through profit or loss and are 
recorded on the Consolidated Balance Sheets at fair value.
At the end of each reporting period, Allied will reassess categorization between levels in the hierarchy 
to determine whether transfers have occurred.  The reassessment is based on the lowest level input that 
is significant to the fair value measurement in its entirety.
Financial assets
Financial assets are classified as amortized cost or fair value through profit or loss.  Initially, all financial 
assets are measured at fair value.  Transaction costs that are directly attributable to the acquisition or 
issuance of financial assets, with the exception of those classified as at fair value through profit or loss, 
are accounted for as part of the respective asset’s carrying value at inception and amortized over the 
expected life of the financial instrument using the effective interest method.  Transaction costs directly 
attributable to the acquisition or issuance of financial assets classified as at fair value through profit or 
loss are recognized immediately in net income.  Financial assets are derecognized on the date when the 
contractual rights to the cash flow expire, or the asset is transferred.

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Impairment of financial assets
Allied assesses, on a continual basis, whether a financial asset that is measured at amortized cost is 
impaired under an expected credit loss (“ECL”) model.  
For user trade receivables within the scope of IFRS 16, Leases (“IFRS 16”), Allied applies the simplified 
approach permitted by IFRS 9, which requires expected lifetime losses to be recognized under the 
initial recognition of its receivables.  To measure the expected credit losses for its accounts receivable, 
Allied established a provision matrix, that applies loss factors to contractual payments by aging 
categories, and incorporates forward-looking factors that are specific to the user, historical credit loss 
experience, and the economic environment, where applicable.  Increases or decreases in ECL for user 
trade receivables are recognized within property operating costs in the Consolidated Statements of Loss 
and Comprehensive Loss.
For loans and notes receivable, Allied applies an ECL approach as required under IFRS 9, which reflects 
the expected present value of all cash shortfalls either (i) over the following twelve months if the credit 
risk has not increased significantly since initial recognition or (ii) over the expected life if the credit risk 
has increased significantly since initial recognition.  Cash shortfalls represent the difference between 
the cash flows owed to Allied and the cash flows expected to be received by Allied.  The determination 
of significant increase in credit risk requires significant judgment for which the ultimate outcome is 
unknown.  In assessing the credit risk, Allied takes into account different factors which varies by the 
nature of the loans and notes receivable.  These judgments include changes in circumstances which may 
cause the future assessments of credit risk to be materially different from current assessments, resulting 
in an increase or decrease in the ECL.  The ECL reflects an unbiased, probability-weighted outcome 
which considers multiple scenarios based on reasonable and supportable information available at 
the reporting date without undue cost or effort.  Allied considers past events, current conditions 
and forecasts of future economic conditions.  Increases or decreases in the ECL on loans and notes 
receivable are recognized within expected credit loss or reversal of expected credit loss, respectively, in 
the Consolidated Statements of Loss and Comprehensive Loss.  
Allied considers a financial asset as credit-impaired when Allied has identified objective evidence that 
there has been a deterioration of credit quality of the borrower or underlying security or collateral to 
the extent that Allied no longer has reasonable assurance as to the timely collection of the financial 
asset.  When a financial asset is classified as credit-impaired, the carrying value is reduced to its 
estimated net realizable value through an adjustment to the ECL.  Changes in the estimated net 
realizable amount that arise subsequent to the initial impairment are also adjusted through the ECL.  
User trade receivables, loans receivable and notes receivable are written off when there is no realistic 
prospect of future recovery and all collateral has been realized.
Allied’s financial assets measured at amortized cost are presented net of the ECL in the Consolidated 
Balance Sheets.

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Financial liabilities
Financial liabilities are classified and measured as disclosed in the table above.  Financial liabilities are 
initially recognized at fair value net of any transaction costs directly attributable to the issuance of the 
instrument and subsequently carried at amortized cost using the effective interest method, except for 
financial liabilities held for trading or designated at fair value through profit or loss, that are carried 
subsequently at fair value with gains or losses recognized in profit or loss.  Financial liabilities are 
derecognized on settlement date, which is the date the obligation is discharged, cancelled or expired.
From time to time, Allied uses derivative financial instruments to manage risks from fluctuations in 
interest rates.  All derivative instruments, including embedded derivatives that must be separately 
accounted for, are valued at their respective fair values unless they are effective cash flow hedging 
instruments.
On the date a derivative contract is entered into, Allied assesses whether or not to designate the 
derivative as either a hedge of the fair value of a recognized asset or liability (a “fair-value hedge”) or a 
hedge of the variability of cash flows to be received or paid related to a recognized asset or liability or a 
forecasted transaction (a “cash-flow hedge”).  Allied does not hold any fair-value or cash-flow hedges.
Allied has entered into interest rate derivative contracts to limit its exposure to fluctuations in the 
interest rates on variable rate debt.  Gains or losses arising from the change in fair values of the interest 
rate derivative contracts are recognized in the Consolidated Statements of Loss and Comprehensive 
Loss.
Allied has entered into a cash-settled Total Return Swap (“TRS”) to manage its cash flow exposure under 
the unit-based compensation plans.  The TRS is carried at fair value and is reported as an asset when it 
has a positive fair value and as a liability when it has a negative fair value.  Gains or losses arising from 
the change in fair values of the TRS, interest expense incurred and distributions earned on the TRS, 
are recognized in general and administrative expenses in the Consolidated Statements of Loss and 
Comprehensive Loss.  
Allied measures its Exchangeable LP Units at fair value through profit or loss (note 2(l)).
Allied measures its debt, finance lease obligations, and accounts payable and other liabilities, at 
amortized cost using the effective interest method.  All interest-related charges are reported in the 
Consolidated Statements of Loss and Comprehensive Loss and are included within ‘Interest expense’, 
except for those interest-related charges capitalized to qualifying properties under development, rental 
properties or residential inventory.
(j)	 Unitholders’ equity
Unitholders’ equity includes all current and prior period retained income.  Distributions payable to 
Unitholders are included in ‘Distributions payable on Units’ when the distributions have been approved 
and declared prior to the reporting date, but have yet to be paid.

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(k)	 Units
Units represent the initial value of Units that have been issued.  Any transaction costs associated with the 
issuing of Units are deducted from Unit proceeds.
The Units of Allied are redeemable at the option of the holder in accordance with the Declaration 
of Trust, and, therefore, are considered puttable instruments in accordance with IAS 32, “Financial 
Instruments - Presentation” (“IAS 32”).  Puttable instruments are required to be accounted for as 
financial liabilities, except where certain conditions are met in accordance with IAS 32, in which case, 
the puttable instruments may be presented as equity.
The attributes of the Units meet the exemption conditions set out in IAS 32, and are, therefore, 
presented as equity in the consolidated financial statements.
(l)	
Exchangeable Limited Partnership Units
The Exchangeable LP Units may, at the request of the holder, be exchanged on a one-for-one basis 
for Units of Allied.  The Exchangeable LP Units are entitled to distributions from the Partnership in 
an amount equal to distributions declared by Allied on the Units.  The Exchangeable LP Units provide 
the holder the indirect economic benefits and exposures to the underlying performance of Allied and 
accordingly to the variability of the distributions of Allied, whereas Allied’s unitholders have direct 
access to the economic benefits and exposures of Allied through direct ownership interest in Allied.  
The Exchangeable LP Units are classified as financial liabilities in the Consolidated Balance Sheets 
as they can be exchanged for Units which are puttable instruments.  At the end of each period, 
the Exchangeable LP Units are measured at fair value through profit or loss.  The fair value of the 
Exchangeable LP Units is determined by using the quoted trading price of Units, as the Exchangeable 
LP Units are exchangeable into Units at the option of the holder.  
Distributions payable to holders of Exchangeable LP Units are included in ‘Accounts payable and other 
liabilities’ when the distributions have been approved and declared prior to the reporting date, but have 
yet to be paid.  The distributions paid on Exchangeable LP Units are recognized as interest expense on 
the Consolidated Statements of Loss and Comprehensive Loss.
(m)	 Short-term employee benefits
Allied does not provide pension plan benefits.  Short-term employee benefits are expensed as a period 
expense.
(n)	 Unit-based compensation plans
Equity-settled unit-based payments to employees and trustees are measured at the fair value of the 
equity instruments at the grant date.

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The fair value determined at the grant date of the equity-settled unit-based payments is expensed on 
a straight-line basis over the period during which the employee becomes unconditionally entitled 
to equity instruments, based on Allied’s estimate of equity instruments that will eventually vest.  At 
the end of each reporting period, Allied revises its estimate of the number of equity instruments that 
are expected to vest.  Allied utilizes the Black-Scholes Model for the valuation of unit options with no 
performance criteria, see note 17 for assumptions used.
Unit options granted under the Unit Option Plan and Restricted Units granted under the Restricted 
Unit Plan are subject to vesting conditions and disposition restrictions, in order to provide a long 
term compensation incentive.  The Unit Options and Restricted Units are subject to forfeiture until the 
participant has held their position with Allied for a specified period of time.  Full vesting of Restricted 
Units and Unit Options may not occur until the participant has remained employed by Allied for three 
and four years, respectively from the date of grant.  Upon forfeiture of Unit Options and Restricted Units 
by an employee or trustee of Allied, the expense related to any unvested, forfeited Unit Options and 
Restricted Units recognized up to and including the date of the forfeiture is reversed.
(o)	 Cash-settled unit-based compensation plans
Under the Performance and Restricted Trust Unit Plan (the “PTU/RTU Plan”), performance trust units 
and/or restricted trust units (together, “Plan Units”) are granted which entitle certain key employees 
to receive the fair value of the Plan Units in cash as a lump sum payment at the end of the applicable 
vesting period, which is usually three years in length.  The PTU/RTU Plan provides for the accumulation 
of additional Plan Units in the form of distribution equivalents during the vesting period.  
The Plan Units are recognized as an expense, on a straight-line basis over the period that the employees 
render service, in general and administrative expenses with a corresponding amount recorded to 
unit-based compensation liabilities.  The unit-based compensation liabilities are measured based on 
the market value of the underlying units with changes in market value recognized in general and 
administrative expenses in the period in which they occur.  For the performance trust units’ liabilities, 
performance market conditions are also considered and the performance trust unit liabilities are 
adjusted accordingly.  Upon forfeiture of Plan Units by an employee, the liability representing the 
cumulative expense recognized to date is reversed, with a corresponding reversal of expense.
(p)	 Provisions
Provisions are recognized when there is a present legal or constructive obligation as a result of past 
events, it is probable that an outflow of resources will be required to settle the obligation, and the 
amount can be reliably estimated.  Provisions are not recognized for future operating losses.
(q)	 Residential inventories
Residential inventories are assets that are developed by Allied for sale in the ordinary course of business 
and are recorded at the lower of cost and estimated net realizable value.  Impairment is reviewed at 
each reporting date, with any losses recognized in net income when the carrying value of the inventory 
exceeds its net realizable value.  The net realizable value is defined as the entity-specific future selling 
price less estimated costs of completion and selling costs.

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The cost of residential inventory includes any costs that are directly attributable to bring the projects to 
completion for sale, which includes borrowing costs.  Borrowing costs related to residential inventories 
are accounted for under IAS 23, Borrowing Costs.
(r)	 Leases
Allied recognizes a right-of-use (“ROU”) asset and a lease obligation at the lease commencement date, 
in accordance with IFRS 16.  When a ROU asset meets the definition of investment property, it is initially 
measured at cost and subsequently measured at fair value (note 2(d)).  This includes land held as part of 
the operating leases (“Ground Leases”).  When a ROU asset does not meet the definition of investment 
property, it is accounted as a fixed asset, which is initially measured at cost and, subsequently, at 
cost less any accumulated depreciation and impairment and adjusted for certain remeasurements of 
the lease obligation.  Management office leases and leases for equipment components embedded as 
part of service contracts which do not meet the definitions of investment property are recognized as 
ROU assets within other real estate assets.  Refer below to the various lease types identified and their 
respective financial statement classification.
TYPE OF LEASE
ROU ASSET CLASSIFICATION
LEASE LIABILITY CLASSIFICATION
Ground leases
Investment properties
Lease liability
Management office
Other assets
Lease liability
Other
Other assets
Lease liability
The lease liability is initially measured at the present value of the lease payments at the commencement 
date, discounted by using the interest rate implicit in the lease, or, if that rate cannot be readily 
determined, at Allied’s incremental borrowing rate.  The lease obligation is subsequently measured by 
increasing the carrying amount to reflect interest on the lease liability and by reducing the carrying 
amount to reflect the lease payments made.  The lease liability is remeasured when there is a change in 
the future lease payments arising from a change in an index or rate, a change in estimate of the amount 
expected to be payable under a residual value guarantee or, as appropriate, change in the assessment of 
whether a purchase or extension option is reasonably certain to be exercised or a termination option is 
reasonably certain not to be exercised.
Allied has applied judgment to determine the lease term for some lease contracts in which it is a lessee 
that include renewal or termination options.  The assessment of whether Allied is reasonably certain to 
exercise such options impacts the lease term which in turn, affects the amount of lease obligations and 
right-of-use assets recognized.  Allied also applies judgment in determining the discount rate used to 
present value the lease obligations.

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(s)	 Assets and liabilities held for sale and discontinued operations
Non-current assets and liabilities and groups of assets and liabilities which comprise disposal groups 
are presented as assets held for sale and liabilities held for sale on the Consolidated Balance Sheets 
when the asset or disposal group is available for immediate sale in its present condition and the sale is 
highly probable.  A sale is highly probable when management is committed to a plan to sell the asset, 
the non-current asset or disposal group is being actively marketed at a sale price that is reasonable in 
relation to its current fair value, the sale is expected to be completed within one year from the date 
of classification, and it is unlikely there will be significant changes to the plan or that the plan will be 
withdrawn.  Non-current assets and disposal groups held for sale that are not investment properties 
are recorded at the lower of carrying amount and fair value less costs to sell on the Consolidated 
Balance Sheets.  Otherwise, the non-current assets and disposal groups held for sale are recorded at fair 
value.  Any gain or loss arising from the change in measurement basis as a result of reclassification is 
recognized in net income at the time of reclassification.  Investment properties that are held for sale are 
recorded at fair value determined in accordance with IFRS 13, “Fair Value Measurement”.  
When a component of an entity has been disposed of and it represents a separate major line of business 
or geographical area of operations, or is classified as held for sale and is part of a single coordinated 
plan to dispose of such a line of business or area of operations, the related results of operations and 
gain or loss on reclassification or disposition are presented separately as discontinued operations on 
the Consolidated Statements of Loss and Comprehensive Loss.  The non-current assets and groups of 
assets and liabilities which comprise disposal groups classified as held for sale are not revised in the 
Consolidated Balance Sheets for prior periods to reflect the classification for the latest period presented.  
However, the revenue, expenses, fair value gain or loss, and any other components making up the net 
income and comprehensive income of the discontinued operations are revised for the comparative 
period in the Consolidated Statements of Loss and Comprehensive Loss.
(t)	 Accounting standards issued but not yet effective in the year
In April 2024, the IASB issued IFRS 18, “Presentation and Disclosure in the Financial Statements,” 
which sets out the overall requirements for presentation and disclosures in the financial statements.  
The new standard will replace IAS 1, “Presentation of Financial Statements. ” Although much of the 
substance of IAS 1, “Presentation of Financial Statements,” will carry over into the new standard, the 
new standard will:
—	
Require presentation of separate categories of income and expense for operating, investing, and 
financing activities with prescribed subtotals for each new category;
—	
Require disclosure and reconciliation, within a single financial statement note, of management-
defined performance measures that are reported outside of the financial statements; and
—	
Enhance the requirements for aggregation and disaggregation of financial statement amounts.
The new standard is effective for annual reporting periods beginning on or after January 1, 2027, with 
earlier adoption permitted.  Allied is currently assessing the impact of the new standard.

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ALLIED 2025 ANNUAL REPORT
In May 2024, the IASB issued “Amendments to the Classification and Measurement of Financial 
Instruments – Amendments to IFRS 9 and IFRS 7”.  The amendments clarify the requirements related to 
the date of recognition and derecognition of financial assets and financial liabilities with an exception 
for derecognition of financial liabilities settled via an electronic transfer.  The amendments are effective 
for annual reporting periods beginning on or after January 1, 2026.  
3.	
CRITICAL ACCOUNTING ESTIMATES AND ASSUMPTIONS
The preparation of the consolidated financial statements requires management to make judgments and 
estimates in applying Allied’s accounting policies that affect the reported amounts and disclosures made 
in the consolidated financial statements and accompanying notes.
Within the context of these consolidated financial statements, a judgment is a decision made by 
management in respect of the application of an accounting policy, a recognized or unrecognized 
financial statement amount and/or note disclosure, following an analysis of relevant information that 
may include estimates and assumptions.  Estimates and assumptions are used mainly in determining 
the measurement of balances recognized or disclosed in the consolidated financial statements and are 
based on a set of underlying data that may include management’s historical experience, knowledge 
of current events and conditions and other factors that are believed to be reasonable under the 
circumstances.  Management continually evaluates the estimates and judgments it uses.
The following are the accounting policies subject to judgments and key sources of estimation 
uncertainty that Allied believes could have the most significant impact on the amounts recognized in 
the consolidated financial statements.  Allied’s material accounting policy information are disclosed in 
note 2.
Investment properties
Judgments Made in Relation to Accounting Policies Applied - Judgment is applied in determining whether 
certain costs are additions to the carrying value of investment properties.  For interest capitalized to 
qualifying investment properties, judgment is exercised in determining when the development activities 
have commenced, when and how much borrowing costs are to be capitalized, and identifying the point 
when substantial completion of a project occurs.  Allied also applies judgment in determining whether 
the properties it acquires are considered to be asset acquisitions or business combinations.  Allied has 
determined through the appropriate analysis that all the properties it has acquired to date to be asset 
acquisitions.
Key Sources of Estimation - The fair value of investment properties and investment properties held for 
sale is dependent on available comparable transactions, future cash flows over the holding period and 
discount rates and capitalization rates applicable to those assets.  For further details, see note 5.  The 
review of anticipated cash flows involves assumptions relating to occupancy, rental rates and residual 
value.  In addition to reviewing anticipated cash flows, management assesses changes in the business 
climate and other factors which may affect the ultimate value of the property.  These assumptions may 
or may not ultimately be realized.

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Residential inventory
Key Sources of Estimation - The carrying value of residential inventory and the assessment for 
impairment of residential inventory are calculated as the estimated gross proceeds from the sale less 
estimated costs to complete.  For further details, see note 6.
Joint arrangements
Judgments Made in Relation to Accounting Policies Applied - Judgment is applied in determining whether 
Allied has joint control and whether the arrangements are joint operations or joint ventures.  In 
making this assessment management applies judgment to determine Allied’s rights and obligations 
in the arrangement based on factors such as the structure, legal form and contractual terms of the 
arrangement.
Income taxes
Judgments Made in Relation to Accounting Policies Applied - Allied qualifies as a mutual fund trust (“MFT”) 
and a REIT as defined in the Income Tax Act (Canada).  Allied is not liable to pay entity level Canadian 
income taxes provided that its taxable income is fully distributed to Unitholders each year and if it 
meets the prescribed rules under the Income Tax Act (Canada) to be a REIT and MFT.  This results in no 
current or deferred income tax being recognized in the financial statements.
Allied applies judgment in determining whether it will continue to qualify as a REIT and in assessing its 
interpretation and application to its assets and revenue.  While there are uncertainties in interpretation 
and application of these rules, Allied has assessed that it meets the REIT and MFT rules.
Allied expects to continue to qualify as a REIT under the Income Tax Act (Canada), however, should it 
no longer qualify, it would be subject to entity level tax and would be required to recognize current and 
deferred income taxes.
Loans and notes receivable
Key Sources of Estimation - The carrying value of the loans and notes receivable includes the assessment 
of the expected credit loss on loans and notes receivable, which is calculated based on probability-
weighted outcomes of multiple scenarios.  The ECL also includes assumptions over the expected present 
value of the future cash shortfalls and judgment is applied to determine if the credit risk of the loans 
and notes receivable have increased significantly since initial recognition.  For further details, see note 8.

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4.	
ACQUISITIONS AND DISPOSITIONS
Acquisitions
During the year ended December 31, 2025, Allied completed the following acquisition:
PROPERTY
ACQUISITION  
DATE
PROPERTY  
TYPE
INVESTMENT  
PROPERTY
INTEREST  
ACQUIRED
108 East 5th Avenue (1)
September 25, 2025
Office
$90,592
50%
 
$90,592
(1)	 Allied acquired an incremental 50% interest on September 25, 2025, increasing Allied’s total ownership in 108 East 5th Avenue to 100%.
On September 25, 2025, the purchase price, including acquisition costs, for an incremental 50% interest 
in 108 East 5th Avenue in Vancouver of $90,592, was satisfied by the assumption of the remaining 
construction loan of $64,745 (note 11 (b)), settlement of receivables due from the seller of $24,930 
(notes 8 and 10) and working capital of $917.
During the year ended December 31, 2024, Allied completed the following property acquisitions:
PROPERTY
ACQUISITION  
DATE
PROPERTY  
TYPE
INVESTMENT  
PROPERTY
INTEREST  
ACQUIRED
400 West Georgia, Vancouver (1)
April 1, 2024
Office, retail
$357,525
90%
Adelaide & Duncan, Toronto (2)
April 1, 2024
Office, residential, 
retail
248,382
45%
Calgary House, Calgary (3)
December 19, 2024
Residential
78,390
50%
400 West Georgia, Vancouver (1)
December 20, 2024
Office, retail
37,436
10%
Adelaide & Duncan, Toronto (2)
December 20, 2024
Office, residential, 
retail
23,122
5%
 
$744,855
(1)	 Allied acquired a 90% interest in 400 West Georgia on April 1, 2024, and an incremental 10% interest on December 20, 2024, increasing 
Allied’s total ownership in 400 West Georgia to 100%.
(2)	 Adelaide & Duncan consists of commercial and residential components. The residential component is located at 225 Adelaide Street W and is 
known as Toronto House. The commercial component is located at 19 Duncan. Allied acquired an incremental 45% interest and 5% interest in 
Adelaide & Duncan on April 1, 2024, and December 20, 2024, respectively, increasing Allied’s total ownership in Adelaide & Duncan to 100%.
(3)	 Calgary House was previously known as the residential component of TELUS Sky. Allied’s one-third interest in the TELUS Sky Partnership 
was recognized as an investment in joint venture through an equity accounted investment prior to December 19, 2024. The total investment 
property value of $78,390 consists of $51,567 which represents Allied’s existing one-third interest and $26,823 as the incremental one-sixth 
(approximately 16.7%) interest acquired.
On April 1, 2024, the purchase price, including acquisition costs, for 400 West Georgia and Adelaide 
& Duncan of $605,907 was satisfied by construction loans assumed totalling $327,735 (note 11), the 
assumption of other liabilities of $29,262 related to completing the Adelaide & Duncan development, 
working capital of $2,510, the settlement of a loan receivable due from the seller of $197,339 (note 8), 
and net cash consideration of $49,061, including land transfer taxes.

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ALLIED 2025 ANNUAL REPORT
On July 2, 2013, Allied, Westbank, and TELUS entered into a partnership known as 7th Avenue Sky 
Partnership (the “TELUS Sky Partnership”), whereby each holds a one-third interest.  The TELUS 
Sky Partnership was created with the specific purpose of acquiring the entire beneficial interest 
in the properties located at 100-114 7th Avenue SW, Calgary (“TELUS Sky”), and participating in its 
construction, development and management.  On December 17, 2024, the TELUS Sky Partnership 
subdivided TELUS Sky to create separate parcels of land for the residential and commercial 
components.  On December 19, 2024, the TELUS Sky Partnership sold the commercial component to 
TELUS and a 50% undivided interest in the residential component to each of Allied and Westbank.  
This resulted in a 16. 7% increase in Allied’s ownership in the residential component of TELUS Sky 
(“Calgary House”) to 50% through a newly created co-ownership structure, which is proportionately 
consolidated.  The total purchase price, including acquisition costs, for the 50% interest in Calgary 
House of $78,390 was satisfied by working capital of $80 and partial settlement of the loan receivable 
from joint venture of $78,310 (note 7).  As a result of the aforementioned transaction, the TELUS Sky 
Partnership no longer owns any interest in the residential and commercial components of TELUS Sky.
On December 20, 2024, the purchase price, including acquisition costs, for 400 West Georgia and 
Adelaide & Duncan of $60,558 was satisfied by construction loans assumed totalling $37,358 (note 11), 
the assumption of other liabilities of $2,308 relating to completing the Adelaide & Duncan development, 
working capital of $749, the partial settlement of a loan receivable due from the seller of $18,866 (note 
8(a)) and net cash consideration of $1,277 primarily for land transfer taxes.  This acquisition increased 
Allied’s ownership in each of 400 West Georgia and Adelaide & Duncan to 100%.
Dispositions
During the year ended December 31, 2025, Allied completed the following dispositions of investment 
properties:
PROPERTY
DISPOSITION  
DATE
PROPERTY  
TYPE
GROSS  
PROCEEDS
Boardwalk-Revillon Building, Edmonton
April 30, 2025
Office, retail
$20,000
1220 Homer, Vancouver
July 25, 2025
Office
13,250
4396-4410 Saint-Laurent, Montréal
September 30, 2025
Office, retail
13,000
342 Water, Vancouver
November 10, 2025
Office, retail
10,700
3510 Saint-Laurent, Montréal
November 19, 2025
Office, retail
23,000
3530-3540 Saint-Laurent, Montréal
November 19, 2025
Office, retail
10,000
3575 Saint-Laurent, Montréal
December 11, 2025
Office, retail
30,000
252-264 Adelaide Street E, Toronto (1)
December 15, 2025
Office, retail
11,600
365 Railway, Vancouver
December 30, 2025
Office
8,025
Total gross proceeds
$139,575
Net working capital adjustments
(1,471)
Selling costs
(5,349)
Net cash consideration received
 
$132,755
(1)	 Includes disposition of one ancillary parking facility.

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ALLIED 2025 ANNUAL REPORT
The gross proceeds were equivalent to the fair value of these investment properties at the time of 
disposition, therefore, there was no gain or loss recorded on closing.
During the fourth quarter of 2025, Allied entered into agreements to sell four of its investment 
properties held for sale.  On February 2, 2026, Allied closed on the disposition of three of these 
investment properties held for sale, which includes 183 Bathurst in Toronto, for a selling price of 
$11,000, 489 Queen E in Toronto, for a selling price of $10,000 and 70 Richmond E in Toronto, for a 
selling price of $8,000.  The sale of 400 Atlantic in Montréal is expected to close on February 18, 2026 
for a selling price of $17,000.
During the year ended December 31, 2024, Allied completed the following dispositions of investment 
properties:
PROPERTY
DISPOSITION  
DATE
PROPERTY  
TYPE
GROSS  
PROCEEDS
85 Saint-Paul W, Montréal
August 26, 2024
Office
$16,250
480 Saint-Laurent, Montréal
August 26, 2024
Office, retail
16,250
4446 Saint-Laurent, Montréal
September 26, 
2024
Office, retail
18,750
College & Manning - 547-549 College, Toronto
November 29, 2024
Residential, retail
24,000
The Chambers - 40 Elgin & 46 Elgin, Ottawa
December 18, 2024
Office, retail
86,511
810 Saint Antoine, Montréal (1)
December 19, 2024
Office
41,895
Total gross proceeds
$203,656
Net working capital adjustments (1)
(7,207)
Mortgage transfer (note 11(a))
(14,850)
Lease liability transfer (note 12)
(35,511)
Selling costs
(1,722)
Net cash consideration received
 
$144,366
(1)	 The consideration includes a density bonus of $4,895 to be received, conditional on the building density achieved by the purchaser. Any 
changes in the actual amount of the density bonus will be recognized in other income or impairment loss in the consolidated financial 
statements.
The gross proceeds were equivalent to the fair value of these investment properties at the time of 
disposition, therefore, there was no gain or loss recorded on closing.

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ALLIED 2025 ANNUAL REPORT
5.	
INVESTMENT PROPERTIES AND INVESTMENT PROPERTIES HELD FOR SALE
Changes to the carrying amounts of investment properties and investment properties held for sale are 
summarized as follows:
YEAR ENDED DECEMBER 31, 2025
YEAR ENDED DECEMBER 31, 2024
RENTAL 
PROPERTIES
PROPERTIES 
UNDER 
DEVELOPMENT 
(“PUD”)
TOTAL
RENTAL 
PROPERTIES
PROPERTIES 
UNDER 
DEVELOPMENT 
(“PUD”)
TOTAL
Balance, beginning of year
$8,861,454
$846,739
$9,708,193
$8,368,872
$1,018,160
$9,387,032
Additions:
Acquisitions (1)
—
90,592
90,592
543,331
201,524
744,855
Improvement allowances
64,447
2,520
66,967
30,879
42,368
73,247
Leasing commissions
19,251
4,044
23,295
13,024
7,112
20,136
Capital expenditures
60,429
126,661
187,090
73,359
199,596
272,955
Dispositions
(139,575)
—
(139,575)
(203,656)
—
(203,656)
Transfers from PUD
461,217
(461,217)
—
592,006
(592,006)
—
Transfers to PUD
(58,218)
58,218
—
(123,000)
123,000
—
Transfers (to) from other assets
(349)
—
(349)
758
—
758
Amortization of straight-
line rent and improvement 
allowances
(34,075)
(278)
(34,353)
(28,569)
(996)
(29,565)
Fair value loss on investment 
properties and investment 
properties held for sale
(1,196,367)
(211,868)
(1,408,235)
(405,550)
(152,019)
(557,569)
Balance, end of year
$8,038,214
$455,411
$8,493,625
$8,861,454
$846,739
$9,708,193
Investment properties
$7,987,634
$455,411
$8,443,045
$8,601,624
$846,739
$9,448,363
Investment properties held  
for sale
50,580
—
50,580
259,830
—
259,830
$8,038,214
$455,411
$8,493,625
$8,861,454
$846,739
$9,708,193
(1)	 For the year ended December 31, 2024, this includes $51,567 of Calgary House, which Allied recognized as an investment in joint venture 
through an equity accounted investment prior to December 19, 2024. Subsequently, this portion is recognized as an investment property since 
the TELUS Sky Partnership sold Calgary House to Allied and Westbank (notes 4 and 7).
As at December 31, 2025, Allied had five properties classified as investment properties held for sale 
totalling $50,580.  As at December 31, 2024, Allied had 14 properties classified as investment properties 
held for sale totalling $259,830.

143
ALLIED 2025 ANNUAL REPORT
For the year ended December 31, 2025, Allied capitalized $52,123 (December 31, 2024 - $58,582), of 
borrowing costs to qualifying investment properties.
Included in the investment properties and investment properties held for sale amounts noted in the 
table above are right-of-use assets with a fair value of $172,090 (December 31, 2024 - $213,820) which 
includes a prepaid land leasehold interest.  The leases’ maturities range from 18. 8 years to 76. 5 years 
(December 31, 2024 - 19. 8 years to 77. 5 years).  
Valuation methodology
The appraised fair value of investment properties and investment properties held for sale is most 
commonly determined using the following methodologies: 
(i)	
Discounted cash flow method - Under this approach, discount rates are applied to the projected 
annual operating cash flows, generally over a minimum ten-year period, including a terminal value 
of the properties based on a capitalization rate applied to the estimated net operating income 
(“NOI”), a non-GAAP measure, in the terminal year.
(ii)	 Comparable sales method - This approach compares a subject property’s characteristics with those 
of comparable properties which have recently sold.  The process uses one of several techniques 
to adjust the price of the comparable transactions according to the presence, absence, or degree 
of characteristics which influence value.  These characteristics include the cost of construction 
incurred at a property under development.
(iii)	 Direct capitalization method - Under this approach, capitalization rates are applied to the estimated 
stabilized NOI of the properties.  Estimated stabilized NOI is based on projected rental revenue and 
property operating costs, and external evidence such as current market rents for similar properties, 
and is further adjusted for estimated vacancy loss and capital reserves.
Allied determines the fair value of its investment property portfolio every quarter with the support 
of a third-party appraiser.  The fair value of each investment property is determined based on various 
factors, including rental income from current leases, assumptions about rental income and cash 
outflows related to future leases reflecting market conditions, and recent market transactions.
Allied’s valuation of its investment properties and investment properties held for sale considers both 
asset-specific and market-specific factors, as well as observable transactions for similar assets.  The 
determination of fair value requires the use of estimates, which are determined with the support of 
a third-party appraiser and compared with market data, third-party reports, and research, as well as 
observable market conditions.

144
ALLIED 2025 ANNUAL REPORT
Significant inputs
There are significant unobservable inputs used in determining the fair value of each investment 
property and investment property held for sale.  Accordingly, the fair value measurements of all 
investment properties and investment properties held for sale are categorized within the fair value 
hierarchy, and the inputs used in the valuations of these investment properties are classified under 
Level 3 of the fair value hierarchy, reflecting Management’s best estimate of what market participants 
would use in pricing the asset at the measurement date.  Discount rates and terminal capitalization 
rates, which are significant unobservable inputs, are inherently uncertain and may be impacted 
by various factors, including movements in interest rates in the markets where the assets are 
located, and may vary with different classes of buildings.  Changes in estimates of discount rates and 
terminal capitalization rates across different geographies, markets, and building classes often occur 
independently of each other and do not necessarily move in the same direction or with the same 
magnitude.  Fair values are most sensitive to changes in discount rates and terminal capitalization rates.  
Generally, an increase in either discount rates or terminal capitalization rates will result in a decrease in 
the fair value.  Below are the rates used in the modeling process for valuations of investment properties 
and investment properties held for sale.  
WEIGHTED AVERAGE
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Discount rate
6.54%
6. 09%
Terminal capitalization rate
5.71%
5. 27%
Overall capitalization rate
5.33%
4. 88%
The analysis below shows the estimated impact on fair values of possible changes in discount rates or 
terminal capitalization rates, assuming no changes in NOI or other assumptions: 
CHANGE IN DISCOUNT RATE OF
-0.50%
-0.25%
+0.25%
+0.50%
Increase (decrease) in fair value
Investment properties and investment properties 
held for sale
$332,072
$163,865
$(159,649)
$(315,205)
CHANGE IN TERMINAL CAPITALIZATION 
RATE OF
-0.50%
-0.25%
+0.25%
+0.50%
Increase (decrease) in fair value
Investment properties and investment properties 
held for sale
$469,400
$223,460
$(203,976)
$(390,949)

145
ALLIED 2025 ANNUAL REPORT
6.	
RESIDENTIAL INVENTORY
Residential inventory related to KING Toronto is as follows: 
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Current (1)
$222,847
$—
Non-current
—
221,004
$222,847
$221,004
(1)	 Represents the portion of residential inventory that will have occupancy permits issued within one year, at which time, revenue will be 
recognized. 
The changes in the aggregate carrying value of Allied’s residential inventory are as follows:
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Balance, beginning of year
$221,004
$209,783
Development expenditures
25,763
49,480
Impairment
(23,920)
(38,259)
Balance, end of year
$222,847
$221,004
Residential inventory consists of assets that are developed by Allied for sale in the ordinary course of 
business.  Allied may transfer an investment property to residential inventory based on a change in use, 
as evidenced by the commencement of development activities with the intention to sell.  Alternatively, a 
transfer from residential inventory to investment property would be evidenced by the commencement 
of leasing activity.
On November 30, 2018, Allied entered into a joint arrangement with Westbank to develop KING 
Toronto.  KING Toronto is a mixed-use property comprised of office, retail and residential uses.  As part 
of the arrangement, Allied sold a 50% undivided interest to Westbank.  The residential component will 
be developed and sold as condominium units, totalling 440 units.  
For the year ended December 31, 2025, Allied capitalized $9,210, respectively (December 31, 2024 - 
$9,858) of borrowing costs to qualifying residential inventory.
Residential inventory carrying value is calculated as the estimated gross proceeds less estimated costs to 
complete.  The impairment of $23,920 during the year ended December 31, 2025 (December 31, 2024 - 
$38,259), reflects lower estimated gross proceeds and higher estimated costs to complete primarily from 
incremental carrying costs related to construction delays.

146
ALLIED 2025 ANNUAL REPORT
7.	
INVESTMENT IN JOINT VENTURE AND LOAN RECEIVABLE
On December 19, 2024, the TELUS Sky Partnership (in which Allied holds a one-third interest) sold the 
commercial component of TELUS Sky to TELUS and sold a 50% undivided interest in Calgary House 
to each of Allied and Westbank (note 4).  This resulted in a decrease in the TELUS Sky Partnership’s 
ownership in the commercial and residential components of TELUS Sky from 100% to zero.  The TELUS 
Sky Partnership sold the commercial component of TELUS Sky at a selling price of $157,000 ($52,333 
at Allied’s share) and Calgary House at a selling price of $154,700 ($51,567 at Allied’s share), which 
represented the fair value of the investment properties at the time of disposition.  Accordingly, there 
was no gain or loss recorded on closing.  In addition, the TELUS Sky Partnership incurred net working 
capital adjustments of $3,678 ($1,226 at Allied’s share), resulting in total net cash consideration of 
$308,022 ($102,674 at Allied’s share).
On October 31, 2019, Allied advanced a construction loan to the TELUS Sky Partnership, with the 
loan having a maximum limit of $114,000.  The loan bore interest at bank prime plus 75 basis points 
or CORRA plus 175 basis points.  On July 14, 2023, the TELUS Sky Partnership repaid $19,996 of the 
construction loan.  As a result, the construction loan’s maximum limit was reduced to $94,000 and 
the loan receivable outstanding after the repayment was $93,291.  Allied provided a joint and several 
guarantee up to the amount of $94,000 to support the TELUS Sky Partnership’s facility.  On December 
19, 2024, $78,310 of the construction loan was settled as consideration for the acquisition of the 50% 
undivided interest in Calgary House (note 4), and the remaining $14,981 was repaid to Allied in cash.  
Prior to the reorganization of ownership in TELUS Sky on December 19, 2024, Allied accounted for its 
interests in TELUS Sky, inclusive of both Calgary House and the commercial component, through an 
equity accounted investment, of which Allied had a one-third interest.  Following the reorganization, 
Allied accounts for its 50% interest in Calgary House through a co-ownership structure, which is 
accounted for as a joint operation (note 21), whereby Allied accounts for its share of the assets, 
liabilities, revenues, and expenses of TELUS Sky.  The financial information below represents the 
TELUS Sky Partnership at 100% and at Allied’s one-third interest.
YEAR ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Revenue
$—
$23,148
Expenses
—
(15,717)
Interest income
—
120
Amortization of other assets
—
(612)
Transaction costs
—
(240)
Fair value loss
—
(1,173)
Net income and comprehensive income of the TELUS Sky Partnership  
at 100%
$—
$5,526
Net income and comprehensive income of the TELUS Sky Partnership  
at Allied’s share
$—
$1,842

147
ALLIED 2025 ANNUAL REPORT
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Investment in joint venture, beginning of year
$—
$8,866
Net income
—
1,842
Contributions
—
3,690
Distributions (1)
—
(14,398)
Investment in joint venture, end of year
$—
$—
(1)	 For the year ended December 31, 2024, the distributions include a net distribution of $9,383, comprised of the total net cash consideration 
of $308,022 ($102,674 at Allied’s share) from the sale of Calgary House and the commercial component of TELUS Sky by the TELUS Sky 
Partnership, less the TELUS Sky Partnership’s repayment of its construction loan of $279,873 ($93,291 at Allied’s share).
8.	
LOANS AND NOTES RECEIVABLE 
Loans and notes receivable are as follows:
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Loans receivable (a)
$473,646
$412,317
Notes and other receivables (b)
2
14,260
$473,648
$426,577
Expected credit loss on loans and notes receivable
(128,000)
—
Loans and notes receivable
$345,648
$426,577
Current
$248,640
$235,532
Non-current
97,008
191,045
$345,648
$426,577
(a)	 The balance of loans receivable is comprised of:
MATURITY DATE
DECEMBER 31,  
2025
DECEMBER 31,  
2024
KING Toronto (1)
March 31, 2027
$216,080
$181,123
Breithaupt Phase III (2)
N/A
8,928
9,913
150 West Georgia
December 31, 2026
248,638
221,281
$473,646
$412,317
Expected credit loss on loans receivable
(128,000)
—
Total loans receivable
$345,646
$412,317
(1)	 The facility matures at the earlier of March 31, 2027, or the closing of the condominium units. 
(2)	 The loan is repayable in installments.

148
ALLIED 2025 ANNUAL REPORT
Allied has a joint arrangement with Westbank to develop KING Toronto.  As part of the arrangement, 
Allied advanced a loan (the “First KING Toronto Facility”), in the principal amount of $73,414, plus 
interest, to Westbank for its purchase of a 50% undivided interest in the property.  Interest accrued 
to the First KING Toronto Facility at a rate of 7. 00% per annum for the period up to and including 
November 30, 2023.  Thereafter, interest accrued to the First KING Toronto Facility at the greater of (i) 
7. 00% per annum; and (ii) prime plus 3. 00% per annum.  During the fourth quarter of 2023, and on 
September 6, 2024, the loan was amended to add a credit facility in an aggregate principal amount 
not to exceed $40,000, plus interest and $35,000, plus interest, respectively (the “Second KING 
Toronto Facility”).  The interest receivable on the Second KING Toronto Facility of $5,017 was settled 
on September 25, 2025, when Allied acquired an incremental 50% interest in 108 East 5th Avenue 
(note 4).  During the fourth quarter of 2025, the loan was further amended to add an additional credit 
facility (“Third KING Toronto Facility”) in the principal amount to not exceed $23,000 plus interest with 
maturity date of March 31, 2027.  Interest accrues on the Second KING Toronto Facility and the Third 
KING Toronto Facility at a rate of prime plus 8. 00% per annum.  During the fourth quarter of 2025, the 
maturity date on the First KING Toronto Facility and the Second KING Toronto Facility, was extended 
from December 31, 2026 to March 31, 2027.
Allied has a joint arrangement with Perimeter to develop Breithaupt Phase III.  As part of the 
arrangement, Allied advanced a loan to provide for 50% of the pre-development costs.  The facility is 
secured by a charge on the property (subordinated to the first mortgage).  Interest accrues at a rate of 
7. 00% per annum.  
Allied has an arrangement with Westbank to provide a credit facility of up to $185,000, plus interest, 
for Westbank’s acquisition of the land and the pre-development costs of 150 West Georgia in Vancouver.  
The facility is secured by a first mortgage on the property.  Interest accrues to the credit facility monthly 
at a rate of 7. 00% per annum.  During the fourth quarter of 2025, the facility was increased by $27,000 
to a principal amount not to exceed $212,000, plus interest, and the maturity date was extended from 
December 9, 2025, to December 31, 2026.
During the year ended December 31, 2024, Allied had two loan receivables with Westbank that were 
settled related to Adelaide & Duncan in Toronto and 400 West Georgia in Vancouver.

149
ALLIED 2025 ANNUAL REPORT
Allied had a joint arrangement with Westbank whereby Allied advanced a loan (the “Original Duncan 
Facility”) of $21,173 to Westbank for its purchase of a 50% undivided interest in Adelaide & Duncan.  
Interest accrued to the Original Duncan Facility was payable monthly at a rate of 7. 75% per annum up 
to September 6, 2024.  Thereafter, interest accrued and was payable monthly at the greater of (i) prime 
plus 3. 00% per annum and (ii) 7. 75% per annum.  In the fourth quarter of 2024, the loan was further 
amended to add an additional credit facility in an aggregate principal amount not to exceed $10,000 
(the “Additional Duncan Facility”).  Interest accrued to the Additional Duncan Facility and was payable 
monthly at a rate of prime plus 10. 00% per annum.  The facility was secured by a charge on this 
property and two other properties (subordinated to the construction lenders) and assignment of rents 
and leases.  During the fourth quarter of 2024, $5,265 was drawn under the Additional Duncan Facility, 
bringing the total outstanding loan balance to $26,438.  Of this balance, $18,866 was used to settle the 
acquisition of an incremental 5% interest in Adelaide & Duncan and an incremental 10% interest in 400 
West Georgia on December 20, 2024 (note 4).  The remaining balance of $7,572 was converted to a note 
receivable due from Westbank (note 8(b)).
Allied had an arrangement with Westbank to provide a credit facility of up to $175,000, plus interest, 
for the land acquisition and the pre-development costs of 400 West Georgia.  The facility was secured by 
Westbank’s covenant and a charge on the property (subordinated to the construction lender).  Interest 
accrued to the credit facility monthly at the greater of (i) 6. 75% per annum; and (ii) prime plus 3. 00% 
per annum.  The loan receivable for 400 West Georgia was fully settled on April 1, 2024, when Allied 
acquired an ownership interest in 400 West Georgia and an incremental 45% ownership interest in 
Adelaide & Duncan (note 4).
Allied assesses expected credit losses on an individual loan basis.  During the three months ended 
December 31, 2025, a portion of the loans receivable experienced a significant increase in credit risk 
since initial recognition.  Therefore, Allied has recognized an ECL equal to the lifetime expected credit 
losses on the loans receivable.  The ECL is measured as a probability-weighted estimate of the expected 
present value of cash shortfalls.  Cash shortfalls represent the difference between the cash flows owed 
to Allied (including the future interest income until maturity of each loan) and the cash flows expected 
to be received by Allied.  Allied’s assessment took into consideration the borrower’s financial position, 
status of corporate guarantees, construction and leasing status on development projects, status of 
principal and interest payments, and the underlying value of the borrower’s security or collateral.  
As a result of the assessment based on the factors described above, Allied recorded an ECL on loans 
receivable for the year ended December 31, 2025 of $128,000 (December 31, 2024 - $nil).
	
(b)	 As at December 31, 2025 and December 31, 2024, the balance of notes and other receivables is 
made up of individually immaterial notes receivable.  On September 25, 2025, a note receivable due 
from Westbank of $14,394 was fully settled when Allied acquired an incremental 50% interest in 108 
East 5th Avenue (note 4).  

150
ALLIED 2025 ANNUAL REPORT
9.	
OTHER ASSETS
Other assets consist of the following: 
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Equipment and other assets (1)
$13,493
$3,885
Property, plant and equipment (2)
19,390
19,441
Interest rate swap derivative assets
11,555
13,316
$44,438
$36,642
Current
$—
$—
Non-current
44,438
36,642
$44,438
$36,642
(1)	 During the year ended December 31, 2025, Allied recorded amortization of equipment and other assets of $1,478 (December 31, 2024 - $1,138).
(2)	 Property, plant and equipment relates to owner-occupied property. During the year ended December 31, 2025, Allied recorded amortization of 
owner-occupied property of $401 (December 31, 2024 - $400).
10.	 ACCOUNTS RECEIVABLE, PREPAID EXPENSES AND DEPOSITS
Accounts receivable, prepaid expenses and deposits consist of the following:
DECEMBER 31,  
2025
DECEMBER 31,  
2024
User trade receivables - net of allowance (a)
$14,807
$16,111
Other user receivables (b)
10,516
9,472
Miscellaneous receivables (c)
15,895
19,060
Prepaid expenses and deposits (d)
13,019
93,002
$54,237
$137,645
(a)	 User trade receivables
User trade receivables include minimum rent, additional rent recoveries, parking, ancillary revenue and 
applicable sales taxes.
An allowance is maintained for expected credit losses resulting from the inability of users to meet 
obligations under lease agreements.  Allied actively reviews receivables on a continuous basis and 
determines the potentially uncollectible accounts on a per-user basis giving consideration to their credit 
risk, payment history and future expectations of likely default events, and records an impairment based 
on expected credit losses as required.

151
ALLIED 2025 ANNUAL REPORT
The change in the allowance for expected credit loss is reconciled as follows:
YEAR ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Allowance for expected credit loss, beginning of year
$11,569
$11,722
Additional provision recorded during the year
3,342
3,254
Reversal of previous provisions
(1,682)
(1,630)
Receivables written off during the year
(1,910)
(1,777)
Allowance for expected credit loss, end of year
$11,319
$11,569
(b)	 Other user receivables
Other user receivables pertain to unbilled operating costs such as common area maintenance and 
property tax recoveries and chargebacks.
(c)	 Miscellaneous receivables 
Miscellaneous receivables consist primarily of HST receivables from the government, a density bonus 
receivable (note 4), and interest income due from external parties.  As at December 31, 2025, there are 
no credit risk indicators that the debtors will not meet their payment obligations.  
(d)	 Prepaid expenses and deposits
Prepaid expenses and deposits primarily relate to prepaid realty taxes, naming rights, insurance, 
software, and a deposit on disposition.  In July 2025, the deposit on disposition was fully repaid.  

152
ALLIED 2025 ANNUAL REPORT
11.	
DEBT
Debt consists of the following items, net of financing costs:
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Mortgages payable (a)
$491,101
$437,536
Construction loans payable (b)
99,900
473,866
Unsecured revolving operating facility (c)
51,000
—
Senior unsecured debentures (d)
3,939,944
2,842,388
Unsecured term loans (e)
99,818
649,585
$4,681,763
$4,403,375
Current
$727,016
$985,129
Non-current
3,954,747
3,418,246
$4,681,763
$4,403,375
The respective financing costs recognized are amortized using the effective interest method and 
recorded to interest expense (note 11 (f)).  
In 2024, Allied amended the benchmark rates in its debt and swap agreements from CDOR to CORRA 
including a credit spread adjustment (“Adjusted CORRA”), as applicable, due to the cessation of the 
publication of CDOR on June 28, 2024.  
On October 3, 2024, Allied entered into a swap agreement with a financial institution to fix the rate on 
a notional amount of variable-rate debt of $175,000 by swapping the floating Adjusted CORRA for fixed 
interest payments at an interest rate of 3. 223% plus the relevant spread of the variable-rate debt.  The 
all-in fixed interest rate for the variable-rate debt, including the spread to which this swap was applied, 
ranged from 4. 527% to 4. 677% (December 31, 2024 - 4. 527% to 4. 927%).  The swap was effective October 
31, 2024, with a maturity date of October 31, 2026, and was terminated on September 25, 2025, in 
connection with the new Unsecured Facility (note 11(c)), resulting in a cash payment of $1,263.  Allied 
first applied the swap to the unsecured revolving operating facility, and where the swap exceeded the 
balance of the unsecured revolving operating facility at any point in time, Allied applied the swap to 
other variable-rate debt outstanding at the time.
In addition, Allied has a swap agreement with a financial institution to fix the rate on a notional amount 
of variable-rate debt of $250,000 by swapping the floating Adjusted CORRA for fixed interest payments 
at an interest rate of 2. 096% plus the relevant spread of the variable-rate debt.  The all-in fixed interest 
rate for the variable-rate debt, including the spread to which this swap applies to, ranges from 3. 496% 
to 3. 841% for the year ended December 31, 2025 (December 31, 2024 - 3. 496%).  This swap matures on 
January 14, 2031.  Allied first applies this swap to the unsecured term loan, and the remaining balance 
is then applied to the unsecured revolving operating facility.  If the swap exceeds the balance of the 
unsecured revolving operating facility at any point in time, Allied applies the swap to other variable-rate 
debt outstanding at the time.

153
ALLIED 2025 ANNUAL REPORT
(a)	 Mortgages payable
Mortgages payable have a weighted average contractual interest rate of 4. 82% as at December 31, 2025 
(December 31, 2024 - 4. 81%).  There were no variable rate mortgages payable as at December 31, 2025, 
and December 31, 2024.  The weighted average term of the mortgage debt is 3. 5 years (December 31, 
2024 - 4. 7 years).  The mortgages are secured by a first registered charge over specific investment 
properties and first general assignments of leases, insurance and registered chattel mortgages.  
As at December 31, 2025, and December 31, 2024, Allied’s obligations relating to mortgages are as 
follows:
PRINCIPAL 
REPAYMENTS
BALANCE DUE  
AT MATURITY
DECEMBER 31,  
2025
DECEMBER 31,  
2024
2026
$6,673
$20,443
$27,116
2027
6,040
50,000
56,040
2028
6,132
79,457
85,589
2029
6,139
91,498
97,637
2030
6,358
222,591
228,949
Mortgages, principal
$31,342
$463,989
$495,331
$441,495
Net financing costs
(4,230)
(3,959)
$491,101
$437,536
(b)	 Construction loans payable
As at December 31, 2025, and December 31, 2024, Allied’s obligations relating to construction loans are 
as follows: 
OWNERSHIP
FACILITY 
LIMIT
DATE OF 
MATURITY
CONTRACTUAL 
INTEREST  
RATE
STANDBY FEE 
AND LETTER  
OF CREDIT FEE
DECEMBER 31, 
2025
DECEMBER 31, 
2024
Adelaide & 
Duncan (1)
100%
$295,000
August 11, 
2025
Prime + 0. 35% or 
Adjusted CORRA 
+ 1. 35%
0. 25% and 
1. 00%
$—
$257,667
Breithaupt 
Phase III
50%
67,200
April 30, 
2025
Prime + 0. 25% or 
Adjusted CORRA 
+ 1. 45%
0. 20% and 
1. 00%
—
57,572
KING Toronto
50%
223,668
July 31, 
2026
Prime + 0. 45% or 
Adjusted CORRA 
+ 1. 45%
0. 25% and 
1. 00%
99,900
99,900
108 East 5th 
Avenue (2)
100%
150,000
December 6, 
2025
Prime + 0. 35% or 
Adjusted CORRA 
+ 1. 35%
0. 27% and 
1. 00%
—
58,727
$99,900
$473,866
(1)	 Allied acquired an incremental 45% interest and 5% interest in Adelaide & Duncan on April 1, 2024, and December 20, 2024, respectively, 
increasing Allied’s total ownership to 100%. 
(2)	 On September 25, 2025, Allied acquired an incremental 50% interest in 108 East 5th Avenue in Vancouver, which increased Allied’s interest in 
the property to 100%.

154
ALLIED 2025 ANNUAL REPORT
Allied and Westbank had a construction lending facility for the Adelaide & Duncan joint arrangement 
from a syndicate of Canadian banks.  On April 1 and December 20, 2024, Allied’s share increased from 
$147,500 to $280,250 and $295,000, as a result of its incremental 45% and 5% ownership, respectively 
(note 4).  Accordingly, Allied assumed an additional $103,487 drawn on the construction lending facility 
on April 1, 2024, and $12,442 on December 20, 2024.  Allied had provided a joint and several guarantee 
of the entire facility and earned a related guarantee fee on up to $147,500 and $14,750 of the facility 
until March 31, 2024, and December 19, 2024, respectively.  On February 25, 2025, Allied fully repaid the 
construction lending facility of $262,493 with no financing prepayment cost.
Allied and Perimeter had a construction loan for the Breithaupt Phase III joint arrangement from a 
financial institution.  On December 4, 2024, a $3,600 repayment ($1,800 at Allied’s share) was made on 
the facility.  As a result the facility limit was decreased from $138,000 to $134,400 ($67,200 at Allied’s 
share).  Allied provided a joint and several guarantee of the entire facility and earned a related guarantee 
fee on up to $67,200 of the facility.  On March 21, 2025, the Breithaupt Phase III joint arrangement 
extended the maturity date from March 31, 2025, to April 30, 2025.  On April 28, 2025, Allied and 
Perimeter fully repaid the construction loan of $57,572 with proceeds from mortgage financing.
Allied and Westbank have a green construction lending facility for the KING Toronto joint arrangement 
from a syndicate of Canadian banks.  On September 27, 2024, the maturity date for the construction 
lending facility was extended from December 17, 2024, to July 31, 2026.  Allied is providing a joint and 
several guarantee of the entire facility and is earning a related guarantee fee on up to $223,668 of 
the facility.
Allied and Westbank had a construction lending facility for the 108 East 5th Avenue joint arrangement 
from a syndicate of Canadian banks.  On September 25, 2025, Allied acquired the remaining 50% interest 
in 108 East 5th Avenue, and assumed an additional $64,745 on the construction lending facility (note 4).  
Allied provided a joint and several guarantee of the entire facility and earned a related guarantee fee on 
up to $75,000 of the facility.  On January 13, 2023, the 108 East 5th Avenue joint arrangement entered 
into a swap agreement to fix approximately 75% of the construction loan up to $110,175 at an all-in fixed 
interest rate of 4. 90%.  On September 26, 2025, Allied fully repaid the construction lending facility with 
no financing prepayment cost and terminated the swap with a cash payment of $217.  
On April 1, 2024, Allied and Westbank had a $250,000 construction lending facility for the 400 West 
Georgia joint arrangement from a syndicate of Canadian banks, of which Allied’s share was $225,000.  
Allied assumed $224,248 of the construction lending facility and immediately following the acquisition 
(note 4), Allied repaid $44,164 of its share of the construction lending facility.  Concurrently, the 
construction lending facility limit decreased from $250,000 to $205,000.  On December 20, 2024, the 
incremental 10% acquisition (note 4) resulted in Allied assuming the remainder of the construction 
lending facility of $24,916, and immediately following the transactions, Allied fully repaid the 
construction lending facility.  The loan bore interest at bank prime plus 40 basis points or Adjusted 
CORRA plus 160 basis points.  Allied had provided a joint and several guarantee of the entire facility.

155
ALLIED 2025 ANNUAL REPORT
(c)	 Unsecured revolving operating facility 
On September 29, 2025, Allied replaced its unsecured revolving operating facility with a new facility 
provided by six major Canadian financial institutions on the same financial terms and expiring on 
September 29, 2028.
As at December 31, 2025, and December 31, 2024, Allied’s obligation relating to the unsecured revolving 
operating facility (the “Unsecured Facility”) is as follows: 
DECEMBER 31, 2025
MATURITY  
DATE
CONTRACTUAL INTEREST 
RATES ON DRAWINGS (1)
STANDBY 
FEE
FACILITY 
LIMIT (2)
DRAWINGS
LETTERS  
OF CREDIT
AMOUNT 
AVAILABLE
September 29,  
2028
Prime + 0.45% or 
Adjusted CORRA + 
1.45%
0.29%
$800,000
$(51,000)
$(9,253)
$739,747
(1)	 The interest rates for this facility are subject to certain conditions being met. On April 15, 2025, the interest rate decreased for the Unsecured 
Facility from prime + 0.70% or Adjusted CORRA + 1.70% to prime + 0.45% or Adjusted CORRA + 1.45%.
(2)	 This Unsecured Facility contains a $100,000 accordion feature, allowing Allied to increase the amount available under the facility to 
$900,000.
DECEMBER 31, 2024
MATURITY  
DATE
CONTRACTUAL INTEREST 
RATES ON DRAWINGS (1)
STANDBY  
FEE
FACILITY 
LIMIT (2)
DRAWINGS
LETTERS  
OF CREDIT
AMOUNT 
AVAILABLE
January 26,  
2027
Prime + 0. 70% or 
Adjusted CORRA + 
1. 70%
0. 34%
$800,000
$—
$(10,506)
$789,494
(1)	 The interest rates for this facility are subject to certain conditions being met. On June 11, 2024, the spread, standby fee and letter of credit fee 
increased for the Unsecured Facility.
(2)	 This Unsecured Facility contains a $100,000 accordion feature, allowing Allied to increase the amount available under the facility to 
$900,000.

156
ALLIED 2025 ANNUAL REPORT
(d)	 Senior unsecured debentures
As at December 31, 2025, and December 31, 2024, Allied’s obligations relating to the senior unsecured 
debentures are as follows: 
SERIES
CONTRACTUAL 
INTEREST RATE
DATE OF  
MATURITY
INTEREST 
PAYMENT DATE
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Series C
3. 636%
April 21, 2025
April 21 and 
October 21
$—
$200,000
Series D
3. 394%
August 15, 2029
February 15 and 
August 15
300,000
300,000
Series E
3. 113%
April 8, 2027
April 8 and 
October 8
300,000
300,000
Series F
3. 117%
February 21, 2030
February 21 and 
August 21
400,000
400,000
Series G
3. 131%
May 15, 2028
May 15 and 
November 15
300,000
300,000
Series H
1. 726%
February 12, 2026
February 12 and 
August 12
600,000
600,000
Series I
3. 095%
February 6, 2032
February 6 and 
August 6
500,000
500,000
Series J
5. 534%
September 26, 2028
March 26 and 
September 26
250,000
250,000
Series K
4. 808%
February 24, 2029
February 24 and 
August 24
450,000
—
Series L
4. 258%(1)
April 7, 2027
January 7, April 7, 
July 7 and 
October 7
150,000
—
Series M
4. 312%
April 7, 2027
April 7 and 
October 7
250,000
—
Series N
4. 667%
September 25, 2031
March 25 and 
September 25
450,000
—
Senior unsecured debentures, principal
$3,950,000
$2,850,000
Net financing costs
(10,056)
(7,612)
$3,939,944
$2,842,388
(1)	 This is the all-in fixed interest rate on the swapped debt.
The Series C, D, E, F, G, H, I, J, K, L, M and N senior unsecured debentures are collectively referred to as 
the “Unsecured Debentures”.  
On September 26, 2024, Allied issued $250,000 of 5. 534% Series J unsecured debentures (the “Series J 
Debentures”) on a private placement basis due September 26, 2028, with semi-annual interest payments 
due on March 26 and September 26 each year commencing on March 26, 2025.  Debt financing costs of 
$1,258 were incurred and recorded against the principal owing.  Proceeds from the Series J Debentures 
were used to repay short-term, variable rate debt.

157
ALLIED 2025 ANNUAL REPORT
On February 24, 2025, Allied issued $450,000 of 4. 808% Series K senior unsecured debentures (the 
“Series K Debentures”) on a private placement basis due February 24, 2029, with semi-annual interest 
payments due on August 24 and February 24 each year commencing on August 24, 2025.  Debt financing 
costs of $2,156 were incurred and recorded against the principal owing.  The Series K Debentures 
were Allied’s third green bond issuance.  Proceeds from the Series K Debentures were used to repay 
the Adelaide & Duncan construction loan due August 11, 2025, and the remaining proceeds were used 
towards redeeming the $200,000 aggregate principal amount of 3. 636% Series C senior unsecured 
debentures due April 21, 2025 (the “Series C Debentures”).  No prepayment costs were incurred with the 
repayment of the Adelaide & Duncan construction loan and the redemption of the Series C Debentures.
On April 7, 2025, Allied issued $400,000 of senior unsecured debentures in two series on a private 
placement basis (the “Offering”).  The Offering included (i) $150,000 Series L senior unsecured 
debentures that bear interest at CORRA plus 1. 80% per annum (the “Series L Debentures”), due April 
7, 2027, with quarterly interest payments payable in arrears due on January 7, April 7, July 7, and 
October 7 each year commencing on July 7, 2025, and (ii) $250,000 of 4. 312% Series M senior unsecured 
debentures (the “Series M Debentures”) due on April 7, 2027, with semi-annual interest payments due 
on April 7 and October 7 each year commencing on October 7, 2025.  Debt financing costs of $1,382 were 
incurred and recorded against the principal owing.  Proceeds from the Offering were used to fully repay 
the $400,000 unsecured term loan maturing on October 22, 2025 (note 11(e)).
On April 7, 2025, Allied entered into a swap agreement to fix the floating-rate Series L Debentures at an 
all-in fixed interest rate of 4. 258% until April 7, 2027.
On September 25, 2025, Allied issued $450,000 of 4. 667% Series N senior unsecured debentures 
(the “Series N Debentures”) on a private placement basis due September 25, 2031, with semi-annual 
interest payments due on March 25 and September 25 each year commencing on March 25, 2026.  
Debt financing costs of $2,200 were incurred and recorded against the principal owing.  The Series N 
Debentures were Allied’s fourth green bond issuance.  Proceeds from the Series N Debentures were used 
to fully repay the 108 East 5th Avenue construction lending facility of $129,490 due December 6, 2025, 
partially repay $150,000 of an unsecured term loan due January 14, 2026, and the balance was applied 
towards the repayment of amounts drawn on the Unsecured Facility.

158
ALLIED 2025 ANNUAL REPORT
(e)	 Unsecured term loans
As at December 31, 2025, and December 31, 2024, Allied’s obligations relating to the unsecured term 
loans are as follows:
CONTRACTUAL 
INTEREST RATE
DATE OF  
MATURITY
FREQUENCY 
OF INTEREST 
PAYMENT
DECEMBER 31, 
2025
DECEMBER 31,  
2024
Unsecured term loan (1)
Prime + 0. 40% or 
Adjusted CORRA + 1. 40%
January 14, 2028
Monthly
$100,000
$250,000
Unsecured term loan (2)
Prime + 0. 10% or 
Adjusted CORRA + 1. 10%
October 22, 2025
Monthly 
—
400,000
Unsecured term loans, principal
$100,000
$650,000
Net financing costs
(182)
(415)
$99,818
$649,585
(1)	 The all-in fixed interest rate on this swapped debt is 3.496% as at December 31, 2025 (December 31, 2024 - 3.496%).
(2)	 The all-in fixed interest rate on this swapped debt is N/A as at December 31, 2025 (December 31, 2024 - 4.865%).
The two unsecured term loans are collectively referred to as “Unsecured Term Loans”.
On September 26, 2025, Allied repaid $150,000 of the unsecured term loan and extended the maturity 
on the remaining balance, from January 14, 2026 to January 14, 2028, by exercising two one-year 
extension options.  It is possible to extend the maturity date on this unsecured term loan through one-
year extension options until January 14, 2031.  
On April 8, 2025, Allied fully repaid the $400,000 unsecured term loan, incurring financing prepayment 
costs of $166 for accelerated amortization of deferred financing costs, and terminated the related swap 
with a cash payment of $2,124.

159
ALLIED 2025 ANNUAL REPORT
(f)	 Interest expense
Interest expense consists of the following:
YEAR ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Interest on debt:
Mortgages payable
$22,956
$4,864
Construction loans payable
9,406
32,853
Unsecured Facility
6,009
13,127
Unsecured Debentures
118,860
78,300
Unsecured Term Loans
12,602
28,175
Interest on lease liabilities 
1,373
3,016
Amortization, premium on debt
—
(231)
Amortization, net financing costs
4,652
3,046
Distributions on Exchangeable LP Units (1)
20,194
21,256
$196,052
$184,406
Interest capitalized to qualifying investment properties and residential inventory
(61,333)
(68,440)
Interest expense excluding financing prepayment costs
$134,719
$115,966
Financing prepayment costs (2)
734
501
Interest expense
$135,453
$116,467
(1)	 The distributions declared on Exchangeable LP Units are recognized as interest expense as Allied is an open-end trust. 
(2)	 For the year ended December 31, 2025, Allied incurred $734 for accelerated amortization of deferred financing costs in connection with the 
early repayment of an unsecured term loan and the refinancing of its unsecured revolving operating facility (December 31, 2024 - $501 for an 
accelerated amortization of deferred financing costs in connection with the disposition of a property). 
Borrowing costs have been capitalized for the year ended December 31, 2025, to qualifying investment 
properties and residential inventory at a weighted average effective rate of 3. 65% per annum 
(December 31, 2024 – 3. 39%), which excludes directly attributable borrowing costs.

160
ALLIED 2025 ANNUAL REPORT
(g)	 Schedule of principal repayments
The table below summarizes the scheduled principal maturity for Allied’s mortgages payable, 
construction loans payable, Unsecured Facility, Unsecured Debentures and Unsecured Term Loans as at 
December 31, 2025:
2026
2027
2028
2029
2030
THEREAFTER
TOTAL
Mortgages payable, 
principal repayments
$6,673
$6,040
$6,132
$6,139
$6,358
$—
$31,342
Mortgages payable, 
balance due at maturity
20,443
50,000
79,457
91,498
222,591
—
463,989
Construction loans 
payable
99,900
—
—
—
—
—
99,900
Unsecured Facility
—
—
51,000
—
—
—
51,000
Unsecured Debentures
600,000
700,000
550,000
750,000
400,000
950,000
3,950,000
Unsecured Term Loans
—
—
100,000
—
—
—
100,000
Total
$727,016
$756,040
$786,589
$847,637
$628,949
$950,000
$4,696,231
A description of Allied’s risk management objectives and policies for financial instruments is provided 
in note 25.
12.	 LEASE LIABILITIES
Allied’s future minimum lease liability payments as a lessee are as follows:
2026
2027 - 2030
THEREAFTER
DECEMBER 31, 
2025
DECEMBER 31, 
2024
Future minimum lease payments
$2,015
$7,607
$76,061
$85,683
$67,854
Less: amounts representing 
interest payments
(1,447)
(5,511)
(53,349)
(60,307)
(52,449)
Present value of lease payments
$568
$2,096
$22,712
$25,376
$15,405
Current (1)
$1,291
$7,021
Non-current
24,085
8,384
$25,376
$15,405
(1)	 This consists of a lease liability held for sale.
Some of Allied’s lease agreements contain contingent rent clauses.  Contingent rental payments 
are recognized in the Consolidated Statements of Loss and Comprehensive Loss as required when 
contingent criteria are met.  The lease agreements contain renewal options, purchase options, escalation 
clauses, additional debt and further leasing clauses.  For the year ended December 31, 2025, minimum 
lease payments of $1,654 (December 31, 2024 - $3,333) were paid by Allied.

161
ALLIED 2025 ANNUAL REPORT
13.	 ACCOUNTS PAYABLE AND OTHER LIABILITIES
Accounts payable and other liabilities consists of the following:
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Trade payables and other liabilities
$188,610
$225,907
Prepaid user rents
80,463
90,842
Accrued interest payable on Unsecured Debentures
42,569
26,885
Distributions payable on Units (note 15)
7,677
19,193
Distributions payable on Exchangeable LP Units (note 16)
709
1,771
Residential deposits (1)
49,478
49,478
Interest rate swap derivative liabilities
757
3,124
Total return swap derivative liabilities (note 17(d))
2,524
305
Unit-based compensation liabilities (note 17(c))
3,388
2,523
$376,175
$420,028
Current
$373,395
$367,731
Non-current (2)
2,780
52,297
$376,175
$420,028
(1)	 Residential deposits related to the residential condominium units at KING Toronto. 
(2)	 Non-current liabilities as at December 31, 2025, are composed of residential deposits totalling $nil, unit-based compensation liabilities 
totalling $2,023 and interest rate swap derivative liabilities of $757 (December 31, 2024 - $49,478, $1,742 and $1,077, respectively).

162
ALLIED 2025 ANNUAL REPORT
14.	 FAIR VALUE MEASUREMENTS
The classification, measurement basis and related fair value disclosures of the financial assets and 
liabilities are summarized in the following table:
DECEMBER 31, 2025
DECEMBER 31, 2024
CLASSIFICATION/ 
MEASUREMENT
CARRYING 
VALUE
FAIR  
VALUE
CARRYING 
VALUE
FAIR  
VALUE
Financial Assets:
 
Loans and notes receivable (note 8)
Amortized cost
$345,648
$345,648
$426,577
$424,478
Interest rate swap derivative assets 
(note 9)
FVTPL
11,555
11,555
13,316
13,316
Accounts receivable, prepaid expenses 
and deposits (note 10)
Amortized cost
54,237
54,237
137,645
137,645
Cash and cash equivalents (note 20)
Amortized cost
96,609
96,609
73,918
73,918
Financial Liabilities:
Debt (note 11)
Mortgages
Amortized cost
$491,101
$506,713
$437,536
$444,948
Construction loans payable
Amortized cost
99,900
99,900
473,866
473,866
Unsecured Facility
Amortized cost
51,000
51,000
—
—
Unsecured Debentures
Amortized cost
3,939,944
3,898,198
2,842,388
2,680,733
Unsecured Term Loans
Amortized cost
99,818
98,558
649,585
648,735
Accounts payable and other liabilities 
(note 13)
Amortized cost
369,506
369,506
414,076
414,076
Interest rate swap derivative liabilities 
(note 13)
FVTPL
757
757
3,124
3,124
Total return swap derivative liabilities 
(notes 13 and 17(d))
FVTPL
2,524
2,524
305
305
Unit-based compensation liabilities 
(notes 13 and 17(c))
FVTPL
3,388
3,388
2,523
2,523
Exchangeable LP Units (note 16)
FVTPL
157,888
157,888
202,527
202,527
Allied uses various methods in estimating the fair value of assets and liabilities that are measured on a 
recurring or non-recurring basis in the consolidated financial statements after initial recognition.  The 
fair value hierarchy reflects the significance of inputs used in determining the fair values.
—	
Level 1 – quoted prices in active markets for identical assets and liabilities;
—	
Level 2 – inputs other than quoted prices in active markets or valuation techniques where 
significant inputs are based on observable market data; and
—	
Level 3 – valuation technique for which significant inputs are not based on observable market data.

163
ALLIED 2025 ANNUAL REPORT
The following table presents the hierarchy of the significance of inputs in determining the fair value 
of assets and liabilities for measurement or disclosure based on Allied’s accounting policy for such 
instruments:
DECEMBER 31, 2025
DECEMBER 31, 2024
LEVEL 1
LEVEL 2
LEVEL 3
LEVEL 1
LEVEL 2
LEVEL 3
Financial Assets:
Loans and notes receivable (note 8)
$—
$345,648
$—
$—
$424,478
$—
Interest rate swap derivative assets 
(note 9)
—
11,555
—
—
13,316
—
Accounts receivable, prepaid expenses  
and deposits (note 10)
—
54,237
—
—
137,645
—
Cash and cash equivalents (note 20)
96,609
—
—
73,918
—
—
Financial Liabilities:
Debt (note 11)
Mortgages
$—
$506,713
$—
$—
$444,948
$—
Construction loans payable
—
99,900
—
—
473,866
—
Unsecured Facility
—
51,000
—
—
—
—
Unsecured Debentures
—
3,898,198
—
—
2,680,733
—
Unsecured Term Loans
—
98,558
—
—
648,735
—
Accounts payable and other liabilities 
(note 13)
—
369,506
—
—
414,076
—
Interest rate swap derivative liabilities 
(note 13)
—
757
—
—
3,124
—
Total return swap derivative liabilities 
(notes 13 and 17(d))
—
2,524
—
—
305
—
Unit-based compensation liabilities 
(notes 13 and 17(c))
—
3,388
—
—
2,523
—
Exchangeable LP Units (note 16)
—
157,888
—
—
202,527
—
There were no transfers between levels of the fair value hierarchy in either period.

164
ALLIED 2025 ANNUAL REPORT
The following summarizes the significant methods and assumptions used in estimating the fair value of 
Allied’s financial assets and liabilities measured at fair value:
Interest rate swap derivative contracts
The fair value of the interest rate swap derivative contracts is determined using forward interest rates 
observable in the market (Level 2).
Total return swap derivative contracts
The fair value of the total return swap derivative contracts is determined using Allied’s unit price and 
interest rates observable in the market (Level 2).  
Unit-based compensation liabilities
The fair value of Allied’s unit-based compensation liabilities is based on the market value of the 
underlying Units (Level 2).  For the performance trust units, the performance market conditions are also 
taken into consideration.
Exchangeable LP Units
The fair value of Exchangeable LP Units is based on the closing market trading price of Units as at each 
period end (Level 2).
Debt and loans and notes receivable
The fair value of debt and loans and notes receivable are determined by discounting the cash flows of 
these financial instruments using period end market rates for instruments of similar terms and credit 
risks that are observable in the market (Level 2).

165
ALLIED 2025 ANNUAL REPORT
15.	 EQUITY
Units (authorized - unlimited)
Each Unit represents a single vote at any meeting of holders of Units and Special Voting Units (as 
defined below) and entitles the holders of Units and Special Voting Units to receive a pro rata share of all 
distributions, in accordance with the conditions provided for in the Declaration of Trust.
The following represents the number of Units issued and outstanding, and the related carrying value of 
equity, for the years ended December 31, 2025, and December 31, 2024.
NUMBER ISSUED  
AND OUTSTANDING
AMOUNT
Balance at January 1, 2024
127,955,983
$4,546,908
Restricted Unit Plan (net of forfeitures) (note 17(b))
—
(1,712)
Balance at December 31, 2024
127,955,983
$4,545,196
Restricted Unit Plan (net of forfeitures) (note 17(b))
—
(2,044)
Balance at December 31, 2025
127,955,983
$4,543,152
Allied does not hold any of its own Units, nor does Allied reserve any Units for issue under options and 
contracts.
Distributions
On January 15, 2026, Allied declared a distribution for the month of January 2026 of $0. 06 per unit, 
representing $0. 72 per unit on an annualized basis to Unitholders of record as at January 30, 2026.
Normal course issuer bid
On February 24, 2025, Allied received approval from the TSX for the renewal of its normal course issuer 
bid (“NCIB”), which entitles Allied to purchase up to 12,615,599 of its outstanding Units, representing 
approximately 10% of its public float as at February 12, 2025.  The NCIB commenced February 26, 2025, 
and will expire on February 25, 2026, or such earlier date as Allied completes its purchases pursuant to 
the NCIB.  All purchases under the NCIB will be made on the open market through the facilities of the 
TSX and/or alternate trading systems in Canada at market prices prevailing at the time of purchase.  Any 
Units that are repurchased will either be cancelled or delivered to participants under Allied’s Restricted 
Unit Plan or to employees pursuant to Allied’s employee programs.  
During the year ended December 31, 2025, Allied purchased 120,140 Units for $2,044 at a weighted 
average price of $17. 01, of which 119,078 Units were purchased for delivery to participants under Allied’s 
Restricted Unit Plan and 1,062 Units were purchased for certain employees outside of Allied’s Restricted 
Unit Plan.  

166
ALLIED 2025 ANNUAL REPORT
16.	 EXCHANGEABLE LP UNITS
Exchangeable LP Units (authorized - unlimited)
On March 31, 2022, Allied acquired a portfolio of six properties from Choice Properties Real Estate 
Investment Trust (“Choice Properties”), which was partially settled with the issuance of 11,809,145 class 
B exchangeable limited partnership units of the Partnership (“Exchangeable LP Units”).  Allied owns 
100% of the shares of the General Partner and 100% of the class A LP Units of the Partnership.  
Exchangeable LP Units issued by the Partnership are economically equivalent to Units, receive 
distributions equal to the distributions paid on the Units and are exchangeable, at the holder’s option, 
for Units.  All Exchangeable LP Units are held, directly or indirectly, by Choice Properties.  Each 
Exchangeable LP Unit is accompanied by one special voting unit of Allied (“Special Voting Unit”) which 
provides the holder thereof with the right to one vote at all meetings of holders of Units and Special 
Voting Units.
The following represents the number of Exchangeable LP Units issued and outstanding, and the related 
carrying value, for the years ended December 31, 2025, and December 31, 2024.
NUMBER ISSUED  
AND OUTSTANDING
AMOUNT
Balance at January 1, 2024
11,809,145
$238,309
Fair value gain on Exchangeable LP Units
—
(35,782)
Balance at December 31, 2024
11,809,145
$202,527
Fair value gain on Exchangeable LP Units
—
(44,639)
Balance at December 31, 2025
11,809,145
$157,888
On each date that a distribution is declared by Allied on the Units, a distribution in an equal amount 
per unit is declared by the Partnership on the Exchangeable LP Units.  A holder of Exchangeable LP 
Units may elect to defer receipt of all or a portion of distributions declared by the Partnership until the 
first business day following the end of the fiscal year.  If the holder elects to defer, the Partnership will 
loan the holder an amount equal to the deferred distribution without interest, and the loan will be due 
and payable on the first business day following the end of the fiscal year during which the loan was 
advanced.  The distributions declared by the Partnership on the Exchangeable LP Units from January 1, 
2025, to December 31, 2025, was $20,194 for which Choice Properties elected to receive a loan in lieu 
of all of the distributions.  A note receivable of $21,256 was outstanding from Choice Properties as of 
December 31, 2025, the amount entirely consisting of cash advances made during the year ended 
December 31, 2025, in respect of monthly distributions.  Since there is a legally enforceable right and an 
intention by Allied and Choice Properties to settle the note receivable from Choice Properties and the 
distributions payable to Choice Properties on a net basis, on the first business day following the end of 
the fiscal year, these financial instruments are offset on the balance sheet.  On January 2, 2026, $21,256 
of the note receivable due from Choice Properties as at December 31, 2025, was settled on a net basis 
against the distributions payable to Choice Properties.

167
ALLIED 2025 ANNUAL REPORT
On January 15, 2026, the Partnership declared a distribution for the month of January 2026 of $0. 06 per 
Exchangeable LP Unit, representing $0. 72 per Exchangeable LP Unit on an annualized basis to holders 
of the Exchangeable Units as at January 30, 2026, for which Choice Properties elected to receive a loan 
in lieu of the distribution.
17.	
COMPENSATION PLANS
(a)	 Unit Option Plan 
Allied adopted a unit option plan (the “Unit Option Plan”) providing for the issuance, from time to time, 
at the discretion of the Board, of options to purchase Units for cash.  Participation in the Unit Option 
Plan is restricted to certain employees of Allied.  The Unit Option Plan complies with the requirements 
of the TSX.  The exercise price of any option granted will not be less than the closing market price of the 
Units on the day preceding the date of grant.  The term of the options do not exceed ten years.  Options 
granted prior to February 22, 2017, vest evenly over three years and options granted subsequently vest 
evenly over four years from the date of grant.  All options are settled in Units.  Effective December 2021, 
no further options will be granted under the Unit Option Plan.
SUMMARY OF UNIT OPTION GRANTS
DATE GRANTED
EXPIRY DATE
UNIT OPTIONS 
GRANTED
EXERCISE  
PRICE
EXERCISED - 
LIFE TO DATE
FORFEITED - 
LIFE TO DATE
NET 
OUTSTANDING
VESTED
March 1, 2016
March 1, 2026
540,480
$31. 56
(350,831)
(25,477)
164,172
164,172
February 22, 2017
February 22, 2027
279,654
$35. 34
(23,576)
—
256,078
256,078
February 14, 2018
February 14, 2028
198,807
$40. 30
(14,685)
—
184,122
184,122
February 13, 2019
February 13, 2029
323,497
$47. 53
(2,717)
(4,330)
316,450
316,450
February 5, 2020
February 5, 2030
352,230
$54. 59
—
(1,594)
350,636
350,636
February 3, 2021
February 3, 2031
442,233
$36. 55
(1,533)
(1,460)
439,240
439,240
2,136,901
(393,342)
(32,861)
1,710,698
1,710,698
YEAR ENDED
DECEMBER 31, 2025
DECEMBER 31, 2024
THE RANGE OF  
EXERCISE PRICES
WEIGHTED AVERAGE 
REMAINING 
CONTRACTUAL  
LIFE (YEARS)
THE RANGE OF  
EXERCISE PRICES
WEIGHTED AVERAGE 
REMAINING  
CONTRACTUAL  
LIFE (YEARS)
For the Units outstanding at  
the end of the year
$31.56-$54.59
3.14
$31. 56-$54. 59
4. 14

168
ALLIED 2025 ANNUAL REPORT
YEAR ENDED
DECEMBER 31, 2025
DECEMBER 31, 2024
NUMBER OF UNITS
WEIGHTED AVERAGE  
EXERCISE PRICE
NUMBER OF UNITS
WEIGHTED AVERAGE  
EXERCISE PRICE
Balance, beginning of year
1,712,971
$42.01
1,712,971
$42. 01
Forfeited
(2,273)
$31.56
—
$—
Balance, end of year
1,710,698
$42.02
1,712,971
$42. 01
Units exercisable at the  
end of the year
1,710,698
$42.02
1,640,098
$42. 25
 
Allied accounts for its Unit Option Plan using the fair value method, under which compensation 
expense is measured at the date options are granted and recognized over the vesting period.  Allied 
utilizes the Black-Scholes Model for the valuation of Unit options with no performance criteria.
The underlying expected volatility was determined by reference to historical data of Allied’s Units over 
10 years.
For the year ended December 31, 2025, Allied recorded a unit-based compensation expense of $5 
(December 31, 2024 - $104) in general and administrative expenses.  
(b)	 Restricted Unit Plan
Certain employees and the trustees of Allied may be granted Restricted Units pursuant to the terms of 
the Restricted Unit Plan, which are subject to vesting conditions and disposition restrictions, in order 
to provide a long-term compensation incentive.  The Restricted Units will not vest and remain subject 
to forfeiture until the participant has held his or her position with Allied for a specific period of time.  
Generally, one third of the Restricted Units vest on each of the first, second and third anniversaries from 
the date of grant for employees.  Restricted Units granted to non-management trustees are fully vested 
on the grant date.  Units required under the Restricted Unit Plan are acquired in the secondary market 
through a custodian and then distributed to the individual participant accounts.  Restricted Units are 
released to participants forthwith following the sixth anniversary of the award date or such other date 
as determined in accordance with the Restricted Unit Plan.

169
ALLIED 2025 ANNUAL REPORT
The following is a summary of the activity of Allied’s Restricted Unit Plan:
YEAR ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Restricted Units, beginning of year
310,435
294,254
Granted
119,078
98,183
Released
(33,385)
(82,002)
Restricted Units, end of year
396,128
310,435
For the year ended December 31, 2025, Allied recorded a unit-based compensation expense of $1,934 
(December 31, 2024 - $2,024) in general and administrative expenses.
(c)	 Performance and Restricted Trust Unit Plan
In December 2021, Allied adopted a cash settled performance and restricted trust unit plan (the “PTU/
RTU Plan”) whereby performance trust units and/or restricted trust units (together, “Plan Units”) are 
granted to certain employees at the discretion of the Board.  Plan Units are subject to such vesting, 
settlement, performance criteria and adjustment factors as are established by the Board at the time of 
the grant and accumulate distribution equivalents in the form of additional Plan Units.  The PTU/RTU 
Plan contains provisions providing for the vesting or forfeiture of unvested Plan Units within specified 
time periods in the event the employee’s employment is terminated, and authorizes the Chief Executive 
Officer, in their discretion, to amend the vesting and settlement of Plan Units in certain circumstances 
where an employee’s employment is terminated.  The following is a summary of the activity of Allied’s 
PTU/RTU Plan: 
YEAR ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Plan Units, beginning of year
537,714
371,277
Granted
342,431
252,773
Settled
(48,566)
(113,861)
Forfeited
(46,102)
(35,587)
Distribution equivalents
86,915
63,112
Plan Units, end of year
872,392
537,714

170
ALLIED 2025 ANNUAL REPORT
For the year ended December 31, 2025, Allied recorded a unit-based compensation expense of $1,691 
(December 31, 2024 - $2,850), including the mark-to-market adjustment, in general and administrative 
expenses.  During the year ended December 31, 2025, 48,566 Plan Units (December 31, 2024 - 113,861 
Plan Units) vested and settled in cash resulting in a decrease of $816 (December 31, 2024 - $2,264) to the 
unit-based compensation liabilities.
(d)	 Total Return Swap
On March 28, 2024, Allied entered into a cash-settled total return swap (“TRS”) with a financial 
institution for 750,000 Units to manage its cash flow exposure under the unit-based compensation 
plans.  From the effective date of April 15, 2024, Allied pays monthly interest based on the notional value 
of the Units subject to the TRS, and receives the equivalent of monthly distributions on the Units, which 
are both recognized in general and administrative expenses in the consolidated financial statements.  
Settlement of the TRS occurs in whole or in part.  Upon settlement, Allied receives any appreciation, or 
remits any depreciation, in the notional value of the Units calculated in accordance with the TRS.  On 
March 31, 2025, Allied fully settled the total return swap with a cash payment of $680.  On March 19, 
2025, Allied entered into a new cash-settled total return swap for 750,000 Units, which was effective 
March 28, 2025.  
For the year ended December 31, 2025, Allied recorded a unit-based compensation expense of $2,109 
(December 31, 2024 - $44), including the mark-to-market adjustment, in general and administrative 
expenses.
18.	 RENTAL REVENUE
Rental revenue includes the following:
YEAR ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Base rent (1)
$280,929
$283,341
Tax and insurance recoveries
108,774
112,739
Miscellaneous revenue (2)
34,267
33,069
Operating cost recoveries
168,409
162,891
Total rental revenue
$592,379
$592,040
(1)	 Includes straight-line rent, amortization of tenant improvements and parking revenue earned at properties. 
(2)	 Includes transient parking, percentage rent, lease terminations and other miscellaneous items. 
Future minimum rental income is as follows:
2026
2027
2028
2029
2030
THEREAFTER
TOTAL
Future minimum 
rental income
$301,342
$289,818
$265,542
$243,714
$204,406
$789,544
$2,094,366

171
ALLIED 2025 ANNUAL REPORT
19.	 GENERAL AND ADMINISTRATIVE EXPENSES
YEAR ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Salaries and benefits
$19,122
$21,479
Mark-to-market recovery on unit-based compensation plans (1)
(24)
(107)
Professional and trustee fees
6,131
6,783
Office and general expenses
6,357
6,583
$31,586
$34,738
Capitalized to qualifying investment properties
(6,920)
(10,405)
Total general and administrative expenses
$24,666
$24,333
(1)	 Excluding the mark-to-market adjustment on unit-based compensation plans, the total general and administrative expenses for the year ended 
December 31, 2025 is $24,690 (December 31, 2024 - $24,440).
20.	 SUPPLEMENTAL CASH FLOW INFORMATION
Cash and cash equivalents include the following components:
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Cash
$96,452
$73,778
Short-term deposits
157
140
Total cash and cash equivalents
$96,609
$73,918
The following summarizes supplemental cash flow information in operating activities:
YEAR ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Interest paid (net of the impact of capitalization)
$113,995
$110,271
Interest capitalized to qualifying investment properties and  
residential inventory (note 11(f))
61,333
68,440
Interest paid on debt (including capitalized interest and  
financing prepayment costs)
$175,328
$178,711

172
ALLIED 2025 ANNUAL REPORT
The following summarizes supplemental cash flow information in investing activities:
YEAR ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Supplemental
Construction loans assumed (notes 4, 11(b))
$64,745
$365,093
The following summarizes the change in non-cash operating items:
YEAR ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Net change in accounts receivable, prepaid expenses and deposits
$83,408
$3,318
Net change in loans and notes receivable
80,929
176,467
Net change in accounts payable and other liabilities
(43,853)
(105,620)
Other working capital changes
(66,817)
(133,377)
Change in non-cash operating items
$53,667
$(59,212)
21.	 JOINT OPERATIONS
Allied has investments in properties under joint arrangements which are accounted for as joint 
operations.  The following tables summarize Allied’s ownership interests in joint operations and its share 
of the rights to the assets, its share of the obligations with respect to liabilities, and its share of revenues 
and expenses for the joint operations in which it participates.
Allied’s joint arrangements are governed by agreements with the respective co-owners.  Included within 
the agreements are standard exit and transfer provisions that include, but are not limited to, buy/sell 
and/or right of first offers or refusals that provide for unwinding the arrangement.  Allied is liable for its 
proportionate share of the obligations of the arrangement.  In the event that there is default on payment 
by the co-owner, credit risk is typically mitigated with an option to remedy any non-performance by 
the defaulting co-owner, as well as recourse against the asset, whereby claims would be against both the 
underlying real estate investments and the co-owner in default.  

173
ALLIED 2025 ANNUAL REPORT
OWNERSHIP
PROPERTIES
LOCATION
CURRENT STATUS
DECEMBER 31,  
2025
DECEMBER 31,  
2024
642 King W
Toronto, ON
Rental Property
50%
50%
Breithaupt Block
Kitchener, ON
Rental Property
50%
50%
College & Manning (1)
Toronto, ON
Rental Property
50%
50%
College & Palmerston
Toronto, ON
Rental Property
50%
50%
KING Toronto
Toronto, ON
Property Under Development 
and Residential Inventory
50%
50%
King Portland Centre
Toronto, ON
Rental Property
50%
50%
The Well
Toronto, ON
Rental Property
50%
50%
108 East 5th Avenue (2)
Vancouver, BC
Property Under Development
N/A
50%
175 Bloor Street E
Toronto, ON
Rental Property
50%
50%
110 Yonge Street
Toronto, ON
Rental Property
50%
50%
Calgary House (3)
Calgary, AB
Rental Property
50%
50%
(1)	 On November 29, 2024, the College & Manning joint arrangement sold a portion of its properties. The College & Manning joint arrangement 
continues to co-own 559 College.
(2)	 On September 25, 2025, Allied acquired an incremental 50% interest in 108 East 5th Avenue, increasing its ownership to 100%. 
(3)	 Prior to December 19, 2024, Allied accounted for its interest in TELUS Sky through an equity accounted investment (note 7).
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Total assets
$1,767,362
$2,011,911
Total liabilities
$543,819
$606,422
YEAR ENDED
DECEMBER 31,  
2025 (1)
DECEMBER 31,  
2024 (2)
Revenue
$100,338
$115,119
Expenses
(50,889)
(57,948)
Income before fair value adjustment on investment properties and  
impairment of residential inventory
$49,449
$57,171
Impairment of residential inventory
(23,920)
(38,259)
Fair value loss on investment properties
(190,436)
(104,866)
Net loss
$(164,907)
$(85,954)
(1)	 On September 25, 2025, Allied acquired an incremental 50% interest in 108 East 5th Avenue, bringing its total ownership in 108 East 5th 
Avenue to 100%.
(2)	 Allied had a 50% interest in Adelaide & Duncan prior to April 1, 2024. Allied acquired an incremental 45% and 5% interest in Adelaide & 
Duncan on April 1, 2024 and December 20, 2024, respectively, bringing its ownership in Adelaide & Duncan to 100%. 

174
ALLIED 2025 ANNUAL REPORT
22.	 SEGMENTED INFORMATION
IFRS 8, Operating Segments, requires reportable segments to be determined based on internal reports 
that are regularly reviewed by the chief operating decision maker (“CODM”) for the purpose of 
allocating resources to the segment and assessing its performance.  Allied has determined that its CODM 
is the Chief Executive Officer.  Allied’s operating segments are managed by use of properties and cities.  
The urban office properties are managed by geographic location consisting of four groups of cities.  
The CODM measures and evaluates the performance of Allied’s operating segments based on operating 
income.
Management reviews assets and liabilities on a total basis and therefore assets and liabilities are not 
included in the segmented information below.  All revenue is generated in Canada and all assets and 
liabilities are located in Canada.
Allied does not allocate interest expense to segments as debt is viewed by Management to be used for 
the purpose of acquisitions, development and improvement of all the properties.  Similarly, interest 
income, general and administrative expenses, condominium marketing expenses, amortization of 
other assets, transaction costs, net income (loss) from joint venture, fair value gain (loss) on investment 
properties and investment properties held for sale, fair value gain (loss) on Exchangeable LP units, fair 
value gain (loss) on derivative instruments, impairment of residential inventory and expected credit loss 
on loans and notes receivable are not allocated to operating segments.
On December 18, 2024, Allied disposed of its Ottawa properties.  On April 30, 2025, Allied disposed of its 
Edmonton property.

175
ALLIED 2025 ANNUAL REPORT
The following tables present a reconciliation of operating income to net loss and comprehensive loss for the 
years ended December 31, 2025, and 2024.
SEGMENTED CONSOLIDATED STATEMENTS OF LOSS AND COMPREHENSIVE LOSS
YEAR ENDED  
DECEMBER 31, 2025
MONTRÉAL
TORONTO & 
KITCHENER
CALGARY & 
EDMONTON
VANCOUVER
JOINT VENTURE 
(TELUS SKY)
TOTAL
Rental revenue
$199,465
$294,539
$31,860
$66,515
N/A
$592,379
Property operating costs
(104,157)
(130,040)
(18,146)
(23,072)
N/A
(275,415)
Operating income 
$95,308
$164,499
$13,714
$43,443
N/A
$316,964
Interest income
41,402
Interest expense
(135,453)
General and administrative 
expenses
(24,666)
Condominium marketing 
expenses
(39)
Amortization of other assets
(1,879)
Transaction costs
(5,349)
Net income from joint venture
—
Fair value loss on investment 
properties and investment 
properties held for sale
(1,408,235)
Fair value gain on 
Exchangeable LP Units
44,639
Fair value loss on derivative 
instruments
(2,996)
Expected credit loss on loans 
and notes receivable
(128,000)
Impairment of residential 
inventory
(23,920)
Net loss and comprehensive 
loss
$(1,327,532)

176
ALLIED 2025 ANNUAL REPORT
YEAR ENDED  
DECEMBER 31, 2024
MONTRÉAL & 
OTTAWA
TORONTO & 
KITCHENER
CALGARY & 
EDMONTON (1) VANCOUVER
JOINT VENTURE 
(TELUS SKY) (2)
TOTAL
Rental revenue
$214,625
$285,189
$38,550
$61,392
$(7,716)
$592,040
Property operating costs
(111,271)
(113,670)
(22,515)
(21,349)
5,239
(263,566)
Operating income
$103,354
$171,519
$16,035
$40,043
$(2,477)
$328,474
Interest income
45,069
Interest expense
(116,467)
General and administrative 
expenses
(24,333)
Condominium marketing 
expenses
(134)
Amortization of other assets
(1,538)
Transaction costs
(1,722)
Net income from joint venture
1,842
Fair value loss on investment 
properties and investment 
properties held for sale
(557,569)
Fair value gain on 
Exchangeable LP Units
35,782
Fair value loss on derivative 
instruments
(13,675)
Expected credit loss on loans 
and notes receivable
—
Impairment of residential 
inventory
(38,259)
Net loss and comprehensive 
loss
$(342,530)
(1)	 Includes Allied’s proportionate share of revenue and expenses of its investment in the TELUS Sky Partnership.
(2)	 Prior to December 19, 2024, Allied accounted for its interest in TELUS Sky through an equity accounted investment (note 7). This is an 
adjustment to remove the impact of the TELUS Sky Partnership joint venture from the Calgary and Edmonton results, to arrive at the equity 
method of accounting.

177
ALLIED 2025 ANNUAL REPORT
23.	 INCOME TAXES
Allied qualifies as a Real Estate Investment Trust and Mutual Fund Trust for income tax purposes.  
Pursuant to its Declaration of Trust, it also distributes or designates substantially all of its taxable 
income to Unitholders and deducts such distributions or designations for income tax purposes.  
Accordingly, there is no entity level tax and no provision for current and deferred income taxes in the 
consolidated financial statements.  Income tax obligations relating to distributions of Allied are the 
obligations of the Unitholders.
24.	 RELATED PARTY TRANSACTIONS
Allied’s related parties include its subsidiaries, nominee corporations, Allied Properties Management 
Trust, Allied Properties Management Limited Partnership, Allied Properties Management GP Limited, 
Allied Properties Exchangeable Limited Partnership, Allied Properties Exchangeable GP Inc. , the TELUS 
Sky Partnership joint venture, key management personnel and their close family members.
On December 19, 2024, Allied acquired a 50% undivided interest in Calgary House from the TELUS Sky 
Partnership joint venture.  This acquisition increased Allied’s ownership by one-sixth in Calgary House 
from one-third to 50% (note 4).
On December 19, 2024, the loan to the TELUS Sky Partnership joint venture of $93,291 was fully repaid 
(note 7).  
The transactions are in the normal course of operations and were measured at the amount set out in 
agreements between the respective related parties.  Related party transactions were made on terms 
equivalent to those that prevail in arm’s length transactions.  
Key management personnel are comprised of the Board and certain members of the executive team 
who have the authority and responsibility for planning, directing, and controlling the activities of Allied, 
directly or indirectly.  The compensation for key management personnel are recorded in general and 
administrative expenses and are summarized in the table below:
YEAR ENDED
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Salary, bonus and other short-term employee benefits
$3,477
$4,836
Unit-based compensation
4,936
3,113
Total compensation for key management personnel
$8,413
$7,949

178
ALLIED 2025 ANNUAL REPORT
25.	 RISK MANAGEMENT
(a)	 Capital management
Allied defines capital as the aggregate of equity, Exchangeable LP Units, mortgages payable, 
construction loans payable, Unsecured Facility, Unsecured Debentures, Unsecured Term Loans and 
lease liabilities.  Allied manages its capital to comply with investment and debt restrictions pursuant 
to the Declaration of Trust, to comply with debt covenants, to ensure sufficient operating funds are 
available to fund business strategies, to fund leasing and capital expenditures, to fund acquisitions and 
development activities of properties, and to provide stable cash distributions to Unitholders.
Various debt, equity and earnings distributions ratios are used to monitor capital adequacy 
requirements.  For debt management, debt to gross book value and fair value, debt average term to 
maturity, and variable debt as a percentage of debt are the primary ratios used in capital management.  
The Declaration of Trust requires Allied to maintain debt to gross book value, as defined by the 
Declaration of Trust, of less than 60% (65% including convertible debentures, if any).  As at December 31, 
2025, the debt to gross book value ratio was 50. 7% (December 31, 2024 - 41. 7%).
Allied has certain key financial covenants in its debt agreements.  The key financial covenants include 
debt service ratios and leverage ratios, as defined in the respective agreements.  These ratios are 
evaluated by Allied on an ongoing basis to ensure compliance with the agreements.  Allied was in 
compliance with each of the key financial covenants under these agreements as at December 31, 2025.
(b)	 Market risk 
Market risk is the risk that the fair value or future cash flow of financial instruments will fluctuate 
because of changes in market prices.  Allied is exposed to interest rate risk on its variable-rate 
borrowings.  There is also interest rate risk associated with Allied’s fixed interest rate term debt due to 
the expected requirement to refinance such debts upon maturity.  As fixed rate debt matures and Allied 
utilizes additional floating rate debt under the Unsecured Facility in its refinancing, Allied will be further 
exposed to changes in interest rates.  
In addition, there is a risk that interest rates will fluctuate from the date Allied commits to a debt to the 
date the interest rate is set with the lender.  As part of its risk management program, Allied endeavours 
to maintain an appropriate mix of fixed rate and floating rate debt, to stagger the maturities of its 
debt and to minimize the time between committing to a debt and the date the interest rate is set with 
the lender.  
As at December 31, 2025, 99. 98% of Allied’s debt is at a fixed rate (December 31, 2024 - 94. 25%).  This 
fixed-rate debt is inclusive of variable-rate debt that has been swapped.

179
ALLIED 2025 ANNUAL REPORT
The following table illustrates the annualized sensitivity of income and equity to a reasonably possible 
change in interest rates of +/- 1. 0%.  These changes are considered to be reasonably possible based on 
observation of current market conditions.  The calculations are based on a change in the average market 
interest rate for each period, and the financial instruments held at each reporting date that are sensitive 
to changes in interest rates.  This includes fixed-rate debt that is due within one year, which is subject to 
interest rate risk upon refinancing, and variable-rate debt that has not been swapped to a fixed rate as at 
the reporting date.  All other variables are held constant.  
CHANGE IN INTEREST RATE
-1.0%
+1.0%
CARRYING AMOUNT 
AS AT DECEMBER 31, 
2025
INCOME IMPACT
INCOME IMPACT
Construction loans payable (1)
$99,900
$999
$(999)
Mortgages payable 
$27,116
$271
$(271)
Unsecured Debentures
$600,000
$6,000
$(6,000)
(1)	 Includes variable rate construction loans of $900 due within one year. 
(c)	 Unit price risk
Unit price risk arises from the unit-based compensation liabilities, Exchangeable LP Units, and 
total return swap derivative liabilities or assets which are recorded at fair value at each quarter-end 
date.  Allied’s unit-based compensation liabilities and Exchangeable LP Units negatively impact net 
income and comprehensive income when the Unit price rises and positively impact net income and 
comprehensive income when the Unit price declines.  Allied’s total return swap derivative liabilities or 
assets positively impact net income and comprehensive income when the Unit price rises and negatively 
impact net income and comprehensive income when the Unit price declines.
The following table illustrates the sensitivity of net income and comprehensive income and equity to a 
reasonably possible change in Unit price of +/- $1. 00.  The calculations are based on a change in the Unit 
price for each period, and the financial instruments held at each reporting date that are sensitive to 
changes in the Unit price.  All other variables are held constant.
CHANGE IN UNIT PRICE
-$1.00
+$1.00
CARRYING AMOUNT 
AS AT DECEMBER 31, 
2025
INCOME IMPACT
INCOME IMPACT
Unit-based compensation liabilities  
(notes 13 and 17(c))
$3,388
$872
$(872)
Exchangeable LP Units (note 16)
$157,888
$11,809
$(11,809)
Total return swap derivative liability  
(notes 13 and 17(d))
$2,524
$(750)
$750

180
ALLIED 2025 ANNUAL REPORT
(d)	 Credit risk
As Allied has provided loans, advances and notes receivable to facilitate property development, Allied’s 
assessment of credit risk took into consideration the borrower’s financial position, status of corporate 
guarantees, construction and leasing status on development projects, status of principal and interest 
payments, and underlying value of the borrower’s security or collateral.  Allied’s loans, advances and 
notes receivable will be subordinate to prior ranking loans, mortgages or charges.  As at December 31, 
2025, Allied had $473,648 outstanding in loans and notes receivable (December 31, 2024 - $426,577), 
which excludes the ECL on loans and notes receivable.  Allied mitigates this risk by obtaining corporate 
guarantees and/or registered mortgage charges and assignment of leases, performing credit checks on 
potential borrowers, monitoring the financial and operating performance of borrowers, monitoring the 
status of development projects, assessing the value of underlying security or collateral and ensuring 
interest payments are made on time.  The expected credit losses estimated by Management, giving 
consideration to the factors above, as at December 31, 2025, are $128,000 (December 31, 2024 - $nil) 
(note 8).
Credit risk from user receivables arises from the possibility that users may experience financial difficulty 
and be unable to fulfill their lease commitments, resulting in Allied incurring a financial loss.  Allied 
manages credit risk to mitigate exposure to financial loss by staggering lease maturities, diversifying 
revenue sources over a large user base, ensuring no individual user contributes a significant portion of 
Allied’s revenues and conducting credit reviews of new users.  The expected credit losses estimated by 
Management at December 31, 2025, are $11,319 (December 31, 2024 - $11,569) (note 10 (a)).
Allied considers that all the financial assets that are not impaired or past due for each of the reporting 
dates under review are of good quality.  The carrying amount of accounts receivable best represents 
Allied’s maximum exposure to credit risk.  
An aging of trade receivables, including trade receivables past due but not impaired can be shown as 
follows:
DECEMBER 31,  
2025
DECEMBER 31,  
2024
Less than 30 days
$3,110
$3,559
30 to 60 days
1,692
1,477
More than 60 days
10,005
11,075
Total
$14,807
$16,111

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(e)	 Liquidity risk
Liquidity risk arises from the possibility of not having sufficient capital available to fund ongoing 
operations or the ability to refinance or meet obligations as they come due.  Mitigation of liquidity risk 
is also managed through credit risk as discussed above.  A portion of Allied’s assets have been pledged 
as security under the related mortgages and other security agreements.  Contractual interest rates on 
the mortgages payable are between 3. 59% and 5. 25% for December 31, 2025 (December 31, 2024 - 3. 59% 
and 5. 25%).  There were no variable rate mortgages payable as at December 31, 2025, and December 31, 
2024.
Allied entered into interest rate derivative contracts to limit its exposure to fluctuations in interest 
rates on $450,000 of its variable rate unsecured term loans, construction loans, mortgages, unsecured 
debentures and Unsecured Facility (December 31, 2024 - $870,825).  Gains or losses arising from the 
change in fair values of the interest rate derivative contracts are recognized in the consolidated financial 
statements.  For the year ended December 31, 2025, Allied recognized as part of the change in fair value 
adjustment on derivative instruments a fair value loss of $2,996 (December 31, 2024 - $13,675).
Allied entered into a total return swap agreement to limit its exposure to fluctuations in the Unit price 
on 750,000 Units of its unit-based compensation plans.  Gains or losses arising from the change in fair 
values of the total return swap are recognized in general and administrative expenses.  For the year 
ended December 31, 2025, Allied recognized a mark-to-market loss of $2,899 (December 31, 2024 - 
$305).
Liquidity and capital availability risks are mitigated by maintaining appropriate levels of liquidity, 
diversifying Allied’s sources of funding, maintaining a well-staggered debt maturity profile and actively 
monitoring market conditions.
(f)	 Maturity analysis
The undiscounted future principal and interest payments on Allied’s debt instruments are as follows:
2026
2027
2028
2029
2030
THEREAFTER
TOTAL
Mortgages payable
$50,724
$78,612
$103,919
$113,691
$234,431
$—
$581,377
Construction loans payable
102,130
—
—
—
—
—
102,130
Unsecured Facility
1,959
1,959
52,465
—
—
—
56,383
Unsecured Debentures
735,675
817,244
649,294
819,945
442,711
994,214
4,459,083
Unsecured Term Loan
3,496
3,496
100,291
—
—
—
107,283
Total
$893,984
$901,311
$905,969
$933,636
$677,142
$994,214
$5,306,256

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26.	 COMMITMENTS AND CONTINGENCIES
Allied has entered into commitments relating to development and upgrade activity.  The commitments 
as at December 31, 2025, were $105,834 (December 31, 2024 - $131,338).
Allied is subject to legal and other claims in the normal course of business.  Management and legal 
counsel evaluate all claims.  In the opinion of Management these claims are generally covered by Allied’s 
insurance policies and any liability from such remaining claims are not probable to occur and would not 
have a material effect on the consolidated financial statements.
Allied has issued letters of credit in the amount of $13,872 as at December 31, 2025 (December 31, 2024 - 
$20,304).

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ALLIED 2025 ANNUAL REPORT
Corporate Profile
About Us
Allied is a leading owner-operator of distinctive urban workspace in Canada’s major cities.  Allied’s mission 
is to provide knowledge-based organizations with workspace that is sustainable and conducive to human 
wellness, creativity, connectivity and diversity.  Allied’s vision is to make a continuous contribution to cities 
and culture that elevates and inspires the humanity in all people.

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ALLIED 2025 ANNUAL REPORT
Board of Trustees
Matthew Andrade (1)(2)
Toni Rossi (2)
Kay Brekken (1)(2)
Stephen Sender (1)
Hazel Claxton (2)
Jennifer Tory (2)(4)
Lois Cormack (1)(2)
Cecilia Williams
Michael Emory (3)
HEAD OFFICE
134 Peter Street, Suite 1700
Toronto, Ontario M5V 2H2
T.  416. 977. 9002 | F.  416. 306. 8704
STOCK EXCHANGE LISTING AND SYMBOL
Toronto Stock Exchange
Units - AP. UN
AUDITORS
Deloitte LLP
TRANSFER AGENT & REGISTRAR
TSX Trust Company
P. O.  Box 700, Postal Station B
Montréal, Quebec H3B 3K3
T.  1. 800. 387. 0825 | F.  1. 888. 249. 6189
E-mail: shareholderinquiries@tmx. com
Website: www. tsxtrust. com
INVESTOR RELATIONS
T.  416. 977. 9002
Email: info@alliedreit. com
Website: www. alliedreit. com
(1)	 Audit Committee
(2)	 Governance, Compensation and Nomination Committee
(3)	 Executive Chair 
(4)	 Lead Trustee