CEO.CA Chairman's Briefing

(TheNewswire)

Edmonton, Alberta – TheNewswire - October 18th, 2023 – Yorkton Equity Group Inc. (TSXV:YEG) (“Yorkton” or the “Company”) is very pleased to announce the successful closing of the acquisition of the “The FUSE”, a one hundred and twenty-five (125) unit condominium grade multi-family residential complex that was constructed in 2015, and is comprised of two buildings situated on approximately 2.67 acres of land located in the Summerside neighborhood with the municipal addresses of 2105 and 2109 68 Street SW, Edmonton, Alberta (the “Property”).  This acquisition, previously announced on October 2nd, 2023, was successfully completed on October 17th, 2023 for a purchase price of $25,625,000 which has been funded by a combination of the Company’s cash for the down payment and a Canada Mortgage and Housing Corporation (“CMHC”) insured mortgage.

The Property has an occupancy rate of 98.4% with a projected total annual revenue of approximately $2.0 million or an annual Net Operating Income (NOI) of about $1.22 million, as well as a capitalization rate of approximately 4.78% based on the purchase price. Yorkton believes that there will be a strong potential to grow the NOI in the coming years.

Mr. Ben Lui, President and CEO of Yorkton comments that, “I am excited to report the closing of the acquisition of The FUSE, which represents yet another milestone in Yorkton’s ongoing rapid growth.  Following on the recent acquisition of The Dwell, a 188-unit newly constructed luxurious condo grade multi-family complex as previously reported on February 28th, 2023, Yorkton has increased its total number of residential units by more than 150% and its total asset value by about 120% during 2023.  With the current strong in-migration into Alberta, resulting in a tight residential rental market with low vacancy rates, Yorkton sees this as a window of opportunity to continue our rapid growth and expects that The FUSE, together with the existing portfolio, are well positioned to deliver positive financial results in the coming years.”

Mr. Bill Smith, Chairman of the Board comments that, “The Board is very pleased with the execution performance and strong commitment of the management team towards fulfilling the mandate and direction of the Company, which has established a sound foundation for the future growth of Yorkton.”

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South West Aerial View of The FUSE

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Main Entrance to The FUSE Complex

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South Elevation of Building 2105 Main Entrance

The Property is comprised of:

Each suite includes contemporary suite amenities such as granite countertops, tiled kitchen backsplash, modern stained birch cabinets and designer tile flooring and is equipped with in-suite laundry and storage.  The Property has forty-eight (48) underground parking stalls and one hundred and thirty-two (132) surface parking stalls.  Each building is equipped with elevator access to all floors.  The Property also includes amenities such as air-conditioned hallways, and a fitness center in each building.

About Yorkton

Yorkton Equity Group Inc. is a growth-oriented real estate investment company committed to providing shareholders with growing assets through accretive acquisitions, organic growth, and the active management of multi-family rental properties with significant upside potential. Our current geographical focus is in Alberta and British Columbia with diversified and growing economies, and strong population in-migration. Our business objectives are to achieve growing Net Operating Income (“NOI”) as well as the asset values in our multi-family rental property portfolio in strategic markets across Western Canada.

The management team at Yorkton Equity Group Inc. has well over 30 years of prior real estate experience in acquiring and managing rental assets.

Further information about Yorkton is available on the Company’s website at www.yorktonequitygroup.com and the SEDAR+ website at www.sedarplus.ca.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For further information on Yorkton, please contact:

Ben Lui, CEO - Corporate Office: (780) 409-8228

Yorkton Equity Group Inc. – Shareholder Communications: (780) 907-5263

Email: investors@yorktonequitygroup.com

Forward-looking information

This press release may include forward-looking information within the meaning of Canadian securities legislation concerning the business of Yorkton. Forward-looking information is based on certain key expectations and assumptions made by the management of Yorkton. Although Yorkton believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because Yorkton can give no assurance that they will prove to be correct. Forward-looking statements contained in this press release are made as of the date of this press release. Yorkton disclaims any intent or obligation to update publicly any forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.

This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in the United States. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or any applicable securities laws or any state of the United States and may not be offered or sold in the United States or to the account or benefit of a person in the United States absent an exemption from the registration requirement.

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