^{1. A non-GAAP measurement. For definitions, reconciliations and the basis of presentation of RioCan's non-GAAP measures, refer to the Basis of Presentation and Non-GAAP Measures section in this News Release.}

Distributions

• RioCan's Board of Trustees has approved an increase to the monthly distributions to Unitholders of 6.25% to $0.085 cents per unit commencing with the February 2022 distribution, payable on March 7, 2022 to Unitholders of record as at February 28, 2022. This increase brings RioCan's annualized distribution to $1.02 per unit. The Trust's objectives include providing sustainable distribution increases supported by FFO per unit growth while maintaining a FFO Payout Ratio¹ of approximately 55% to 65% over the long-term. This enables us to provide a growing income stream to our Unitholders while retaining the cash flow required to fund future growth. With a FFO per unit growth target of 5% to 7% for 2022, the Trust expects to achieve its payout ratio objective.

Progress at The Well

• Solid progress continued on The Well™, with the construction of the commercial component, which includes office and retail, at approximately 82% complete, excluding fixturing. Retail leasing has gained momentum and, as of February 9, 2022, approximately 50% of the retail space has firm leases with that number increasing to 62% when including leases in advanced discussions with tenants. Grand opening of the retail component is expected in the spring of 2023. As of February 9, 2022, 90% of the office component of the space is leased and 638,000 square feet was handed over to tenants for fixturing with first cash rents to start in the second half of 2022. The purpose-built residential rental building, FourFifty The Well™, is also advancing as planned and is expected to be complete in 2023.

Capital Recycling

• In 2021, the Trust completed $848.6 million of dispositions at a weighted average capitalization rate of 3.75%, a testament to the quality and demand for the Trust's assets.

• As of February 9, 2022, the Trust has firm or conditional deals that were in-place at or entered into after year end and deals that closed subsequent to year end to sell full or partial interests in a number of properties totaling $98.0 million.

Capital Management Update

• In 2021, the Trust advanced it's objectives to have 70% of total debt unsecured and to extend the weighted average term to maturity of its total debt portfolio.

• On November 8, 2021, RioCan issued $450.0 million, 2.829% of Series AE senior unsecured green bond debentures with a seven-year term.

• On November 30, 2021, RioCan redeemed, in full, its $250.0 million, 3.746% Series V unsecured debentures due May 30, 2022 in accordance with their terms, at a total redemption price of $253.8 million.
  

• The Trust also prepaid $344.5 million of mortgages and unwound the associated interest rate swap hedges for a net prepayment cost of $0.1 million. An additional $41.0 million mortgage was repaid on the disposition of Kennedy Commons. In total, $385.5 million of mortgages were repaid in the quarter.

• On December 14, 2021, the Trust entered into $300.0 million of bond forward contracts maturing on September 15, 2022 and subsequent to year end, entered into an additional $200.0 million of bond forwards maturing on April 28, 2022. These bond forward contracts are a hedge of the Trust's exposure to movements in underlying risk-free interest rates associated with the anticipated refinancing of the $300.0 million Series Y debentures maturing on October 3, 2022 and future anticipated financings, respectively.
  

• During the Fourth Quarter, the Trust acquired and cancelled 7,973,045 units at a weighted average purchase price of $22.32 per unit, for a total cost of $178.1 million.

• To provide additional financial liquidity, subsequent to year end on February 2, 2022, the Trust increased the credit limit on its revolving unsecured operating line of credit by $250.0 million to $1.3 billion.

^{1. A non-GAAP measurement. For definitions, reconciliations and the basis of presentation of RioCan's non-GAAP measures, refer to the Basis of Presentation and Non-GAAP Measures section in this News Release.}

Operation Highlights

• Same Property NOI grew by 4.9% in Q4 2021 when compared to the same period last year. Same Property NOI excluding the pandemic-related provision¹ was positive at 1.0%. RioCan collected 98.6% of billed gross rents for Q4 2021, which resulted in the pandemic-related provision falling from $9.0 million in Q4 2020 to $2.9 million in the Fourth Quarter. Same Property NOI for full year 2021 grew by 3.4% despite the one quarter of pre-pandemic results included in 2020. The pandemic-related provision for the year fell from $42.5 million in 2020 to $17.2 million in 2021 despite the significant impact lockdowns had on our tenants throughout the year.
  

• Committed occupancy for the total portfolio of 96.8% showed solid improvement, increasing by 40 basis points when compared to Q3 2021. Retail committed occupancy ended the year at 97.2% and in the Greater Toronto Area jumped by 80 bps in Q4 2021, fuelling a 50 basis point increase in total portfolio retail committed occupancy. Committed occupancy for the total portfolio climbed steadily throughout 2021 from strong demand for our prime locations resulting in a 110 basis point year-over-year increase.
  

• New and renewed leases totalled 4.7 million square feet (at 100% ownership interest) for the year at a blended leasing spread of 6.3%. New leasing of 1.7 million square feet exceeded pre-pandemic levels at new leasing spreads for the overall portfolio of 8.6%. Renewed leases of 3.0 million square feet were completed at renewal leasing spreads of 5.4%, for the overall portfolio.
  

^{1. A non-GAAP measurement. For definitions, reconciliations and the basis of presentation of RioCan's non-GAAP measures, refer to the Basis of Presentation and Non-GAAP Measures section in this News Release.}

RioCan Living Update

• As of February 9, 2022, the Trust's residential rental portfolio, overseen by RioCan Living™, is comprised of 1,698 purpose-built completed units (at 100% ownership interest) across seven buildings located in Toronto, Ottawa and Calgary. The portfolio includes the recent completion of two multi-unit properties, Latitude™, the 209-unit project in Ottawa and Strada™, the 61-unit project in Toronto. Occupancy at these two buildings commenced in Q1 2022. Leasing velocity in all new properties in the start-up leasing phase was strong. Litho™ is now at 61.9% leased, up 24.8% since last reported, and Strada, which launched in November of 2021, is already 27.9% leased.
  

• On February 8, 2022, the Trust acquired a 90% interest in the first phase of Market, a new apartment complex in Montreal, for a purchase price of $46.8 million at a 4.06% capitalization rate. The building contains 139 income producing residential rental units. RioCan will also acquire a 90% interest in 297 units in two additional phases under construction upon stabilization at a 4.16% capitalization rate. Financing of the acquisitions will be a combination of asset level mortgages and existing liquidity.

• During the Fourth Quarter, RioCan sold a 75% interest in the condominium component of RioCan Leaside Centre mixed-use project to a joint venture partner for sale proceeds of $54.4 million, representing approximately $145 per square foot of 0.4 million square feet of future density, and recognized $25.3 million of inventory gains. RioCan owns 100% of the remaining development including approximately 0.6 million square feet of multi-use residential and 0.2 million square feet of commercial space. RioCan Leaside Centre in Toronto will be transformed into a 1.2 million square foot mixed-use community with a light rail transit station situated on the site.

Development Highlights

• RioCan's in-house development team delivered 243,000 square feet of completions during 2021, including Litho., retail space at Windfields Farm in Oshawa, Lincoln Fields Shopping Centre in Ottawa and RioCan Shawnessy in Calgary. The total embedded development potential within the Trust's portfolio is 43.1 million square feet of which 21.0 million square feet are currently zoned or have submitted applications.
  

• Our development pipeline includes 13.8 million square feet of permitted projects of which 2.1 million square feet is currently under development. Construction projects include The Well, as discussed earlier in this release, and two residential rental projects in Ottawa, Luma™ and Rhythm™, which are on schedule for completion by Q2 2022 and Q4 2022, respectively.

• The Trust's Development Spending target for 2022 is estimated to be in the $475 million to $525 million range. In 2022, the Trust expects to deliver projects with cost of $675 million to $725 million, the largest amount of annual cost transfers since the inception of this development program.

Balance Sheet Strength

• The Trust ended 2021 with $1.0 billion of Liquidity in the form of cash and cash equivalents and undrawn lines of credit, increasing to $1.3 billion after accounting for the increase in the unsecured operating line of credit on February 2, 2022.
  

• RioCan’s unencumbered asset pool was $9.4 billion, which generated 64.9% of Annual Normalized NOI¹ and provided 2.31x coverage over Unsecured Debt. This pool increased from the prior year as the Trust proactively repaid mortgages.

• The Trust's Total Adjusted Debt to Total Adjusted Assets at RioCan's proportionate share improved from December 31, 2020 mainly due to year-over-year decrease of $239.9 million in proportionate total debt balances at the current year end as the Trust has utilized proceeds from asset sales to reduce debt over the course of 2021.

• Adjusted Debt to Adjusted EBITDA was 9.59x on a proportionate share basis, as at December 31, 2021. The increase in Adjusted Debt to Adjusted EBITDA from prior year end was primarily due to the net impact of higher average Total Adjusted Debt balances, as debt was used to fund development, partially offset by higher Adjusted EBITDA. This ratio has improved since Q3 2021 as Adjusted EBITDA has continued to improve.

^{1. A non-GAAP measurement. For definitions, reconciliations and the basis of presentation of RioCan's non-GAAP measures, refer to the Basis of Presentation and Non-GAAP Measures section in this News Release.}

Conference Call and Webcast

Interested parties are invited to participate in a conference call with management on Thursday, February 10, 2022 at 10:00 a.m. (ET). Participants will be required to identify themselves and the organization on whose behalf they are participating.

In order to participate, please dial 647-427-3230 or 1-877-486-4304. For those unable to participate in the live mode, a replay will be available at 1-855-859-2056, passcode 5956476#.

For a copy of the slides to be used for the conference call or to access the simultaneous webcast, visit RioCan’s website at http://investor.riocan.com/investor-relations/events-and-presentations/ and click on the link for the webcast.

About RioCan

RioCan is one of Canada’s largest real estate investment trusts. RioCan owns, manages and develops retail-focused, increasingly mixed-use properties located in prime, high-density transit-oriented areas where Canadians want to shop, live and work. As at December 31, 2021, our portfolio is comprised of 207 properties with an aggregate net leasable area of approximately 36.4 million square feet (at RioCan's interest) including office, residential rental and 13 development properties. To learn more about us, please visit www.riocan.com.

Basis of Presentation and Non-GAAP Measures

All figures included in this News Release are expressed in Canadian dollars unless otherwise noted. RioCan’s annual audited consolidated financial statements ("2021 Annual Consolidated Financial Statements") are prepared in accordance with International Financial Reporting Standards (IFRS). Financial information included within this News Release does not contain all disclosures required by IFRS, and accordingly should be read in conjunction with the Trust's 2021 Annual Consolidated Financial Statements and MD&A for the three months and year ended December 31, 2021, which is available on RioCan's website at www.riocan.com and on SEDAR at www.sedar.com.

Consistent with RioCan’s management framework, management uses certain financial measures to assess RioCan’s financial performance, which are not in accordance with generally accepted accounting principles (GAAP) under IFRS. Funds From Operations (“FFO”) and FFO (excluding net debt prepayment costs and one-time compensation costs), FFO per unit and FFO per unit (excluding net debt prepayment costs and one-time compensation costs), Net Operating Income ("NOI"), Same Property NOI, Development Spending, Total Contractual Debt, Liquidity, Adjusted Debt to Adjusted EBITDA, Total Adjusted Debt to Total Adjusted Assets, RioCan's Proportionate Share, Unsecured Debt, Secured Debt, Unencumbered Assets to Unsecured Debt and Percentage of Normalized NOI Generated from Unencumbered Assets, as well as other measures that may be discussed elsewhere in this News Release, do not have a standardized definition prescribed by IFRS and are, therefore, unlikely to be comparable to similar measures presented by other reporting issuers. RioCan supplements its IFRS measures with these Non-GAAP measures to aid in assessing the Trust’s underlying performance and reports these additional measures so that investors may do the same. Non-GAAP measures should not be considered as alternatives to net earnings or comparable metrics determined in accordance with IFRS as indicators of RioCan’s performance, liquidity, cash flow, and profitability. For full definitions of these measures, please refer to the "Non-GAAP Measures” section in RioCan’s MD&A for the three months and year ended December 31, 2021.

The reconciliations for each non-GAAP measure included in this News Release are outlined as follows:

RioCan's Proportionate Share

The following table reconciles the consolidated balance sheet from IFRS to RioCan's proportionate share basis as at December 31, 2021 and 2020:

The following tables reconcile the consolidated statements of income (loss) from IFRS to RioCan's proportionate share basis for the three months and years ended December 31, 2021 and 2020:

NOI and Same Property NOI

The following table reconciles operating income to NOI and Same Property NOI to NOI for the three months and years ended December 31, 2021 and 2020: