A conservative short-term commercial mortgage strategy. Trez Capital Prime Trust participates exclusively in first position mortgages, or sub-tranches of first position mortgages, which have a maximum loan-to-value ratio of 75% at the time of funding.  Loans may be secured by real property located in Canada or the United States to a maximum of 25% of the portfolio.  The investment objective is to preserve capital, while generating a consistent rate of interest income for distribution to unitholders.

Fund Summary

Fund Type Open-Ended pooled mortgage fund
Inception January 1, 2006
Eligibility RRSP, RRIF, DPSP, RDSP, RESP, TFSA, IPP
Unit Value $10
Purchase T + 2
Redemption T + 20, subject to 1% retraction penalty if redeemed within 1st year.
Incentive Fee 10% of Net Operating Income
Management Fee 10% of Net Operating Income
Distribution Frequency Monthly
Target Return 5.35% per annum

Portfolio Metrics

Number of Loans 42
Weighted Average LTV 49.0%
Weighted Average Term-to-Maturity (Months) 11.1
Weighted Average Interest Rate 8.1%

Portfolio Metrics

Number of Loans 42
Weighted Average LTV 49.0%
Weighted Average Term-to-Maturity (Months) 11.1
Weighted Average Interest Rate 8.1%

Geographic Region

British Columbia
47.0%
United States - Other
19%
Alberta
18.8%
Texas
8.6%
Ontario
3.2%
Quebec
2.5%
Florida
0.9%

Asset Class

Residential
74.2%
Industrial
15.9%
Commercial
8.6%
Office
1.3%

Security Rank

First Mortgages
100%

Historical Performance

  2018 YTD 1 Year 3 Year 5 Year Since Inception
Trez Capital Prime Trust
Series I
4.06% 5.4% 5.6% 5.7% 7.5%

1 I Series returns are reported as F Series returns, plus 35bps to account for the reduction in management fee. To discuss eligibility, please contact Trez Capital Fund Management Limited Partnership.

2 Due to the inception of the fund in January 2006, the return for 2006 is an annualized return.

Growth of $10,000

 

Trez Capital Prime Trust distributes 100% of its net income annually.  Unitholders receive quarterly distributions at a rate of 1.0% on Series I units, payable fifteen days following each calendar quarter end.  All residual income is distributed by way of an annual top-up distribution, which is paid in mid-March following the conclusion of the annual audit of the Trust.

DISTRIBUTION HISTORY

Year Series Q1 Q2 Q3 Q4 Total Quarterly Distribution Top-up1 Annual Distribution
2018 I2 $0.100  $0.100 $0.100 $0.100 $0.400 - 4.06% (DRIP)
2017 I2 $0.100 $0.100 $0.100 $0.100 $0.400 $0.135 $0.535
2016 I2 $0.100 $0.100 $0.100 $0.100 $0.400 $0.148 $0.548
2015 I2 $0.100 $0.100 $0.100 $0.100 $0.400 $0.065 $0.565
2014 I2 $0.150 $0.150 $0.100 $0.100 $0.500 $0.072 $0.572
2013 I2 $0.150 $0.150 $0.150 $0.080 $0.530 $0.071 $0.601
2012 I2 $0.150 $0.150 $0.150 $0.150 $0.600 $0.076 $0.676

1 Based on a weighted average return to Unitholders, this amount is an estimate of the average top up distribution paid. Those invested for less than a full one year period will receive a prorated allocation, and those invested in the dividend reinvestment plan will receive a slightly higher top up due to the effects of compounding.

2 I Series returns are reported as F Series returns, plus 35bps to account for the reduction in management fee. To discuss eligibility, please contact Trez Capital Fund Management Limited Partnership.

DISTRIBUTION SCHEDULE

  Record Date Expected Pay Date
First Quarter March 31 April 15
Second Quarter June 30 July 15
Third Quarter September 30 October 15
Fourth Quarter December 31 January 15
Annual Top Up December 31 March 15

Note: Distributions are taxed in the year that they are earned. T3 slips are distributed to all unitholders in March of each year following completion of the year end audit and payment of the annual top-up distribution.

 

Fees

Management Fee Percentage negotiated by the Manager and the Unitholder of the Average Annual Gross Assets of the I Series units.
Incentive Fee 10% of the Net Income for each unit series after deduction of the Management fee.

Minimum Investment

To discuss minimum investment amounts and eligibility, please contact Trez Capital Fund Management L.P.

 

How To Invest

Institutional Investors form a core part of our investor base.  As investors seek ways to diversify away from equities and traditional fixed income to both enhance income while mitigating risks, alternative investments such as private mortgage pools provide for an attractive solution.

To learn more about our private mortgage pools for institutional clients please contact:

Daniel Marchand 
Senior Vice President, Head of Investor Global Sales
P: 647.778.1780
E: DanielM@trezcapital.com

 

Fund Fact Sheets

  • Fund Fact Sheet (I Series)

    Fund Fact Sheet (I Series)
    December 2018 - Trez Capital Prime Trust Fund Fact Sheet (I Series)
    View/Download »

Subscription Documents

  • Institutional Investor Application Form

    November 2018 - Fund Application form for Institutional, Pension Plan, or Investment Fund
    View/Download »

Financial Statements

  • Audited Financial Statements

    December 2017 - December 2017 - Trez Capital Prime Trust Audited Financial Statements
    View/Download »

Offering Documents

  • Offering Memorandum

    May 2018 - Trez Capital Prime Trust Offering Memorandum
    View/Download »
  • TCPT-notice d'offre

    May 2018 - TCPT-notice d'offre
    View/Download »

Investments