October 26, 2018

Dear Shareholder,

Prince of Peace School – School Closure – Notice of Public Consultation

On Thursday October 18, 2018, the Rocky View School District (“RVSD”) issued a letter to the parents of Prince of Peace Lutheran School advising that a public consultation process would be commencing in November 2018 to explore the future of the Prince of Peace Lutheran School program in accordance with Alberta Education’s School Closure Regulations.  Note that a copy of the letter can be found at http://www.rockyview.ab.ca/consultation/parent-letter-prince-of-peace-consultation-notice/view).

Discussions are ongoing with RVSD for the purchase and/or ongoing lease of the school.  Sage would like to advise our stakeholders that the Sage Board of Directors is committed to working towards a solution with RVSD and is willing to explore every opportunity to keep Prince of Peace School open for the mutual benefit of all stakeholders.  We encourage all stakeholders to participate in the consultation process.  The times and dates for the consultation can be found at http://www.rockyview.ab.ca/consultation.

If you have any questions pertaining to any of the above information relayed in this letter, please contact the Sage office either by email at info@sageproperties.ca or phoning (403) 478-9661.

Sincerely yours,

Sandra Jory, CPA, CA

Board Chair

Sage Properties Corp.

sandra.jory@sageproperties.ca

CC:       Larry Paul, Assistant Superintendent, Rocky View Schools

Todd Brand, Board Chair, Rocky View Schools

Dear Shareholder:

I am pleased to advise you that the following individuals were elected to the Board of Directors of Sage Properties Corp. (“Sage”) at the Annual General Meeting on September 7, 2018 (“AGM”):

Sandra Jory                 Irfhan Rawji

Ralph Huizinga           Murray Warnke

Scott McCorquodale   Reginald Zotzman

The special resolutions to amend the articles to increase the maximum number of directors from six to eight and to amend the by-laws of Sage to lower the quorum requirement to 25% were also approved.

Prior to the AGM and at the AGM, a former director, Mr. Nielsen, and some shareholders expressed concerns regarding the Board’s working relationship with our Chief Executive Officer (“CEO”), Scott McCorquodale and with board compensation.  Please be assured that the SAGE Board of Directors, including its Chair, is united both in support of the CEO and with regard to key business issues facing the corporation and the strategic direction of Sage.  Moreover, we take shareholder concerns seriously and are committed to working with management, led by our CEO, to achieve the best possible results for Sage and all of its stakeholders.

If you have any questions or concerns please do not hesitate to contact me.

Yours truly,

Sandra Jory, CPA, CA

Board Chair

Sage Properties Corp.

sandra.jory@sageproperties.ca

(780) 686-2441

Dear Shareholder,

As the date of Sage’s AGM quickly approaches, SAGE would like to encourage ALL shareholders to submit their proxy form in advance of the meeting (no later than Wednesday, September 5, 2018, at 1:00PM MDT) even if you’re planning on attending the meeting in person.  In the event that you are unable to attend the meeting, this will ensure that your vote and participation still count.

There have been some questions on how to fill out the form of proxy and the different options for submission. Options for submission are as follows:

By Internet:

You can submit your form of proxy directly online at www.alliancetrust.ca/shareholders by using your 12 digit control number located at the bottom of your proxy

By Mail:

Alliance Trust Company
1010, 407 2nd Street SW
Calgary, AB
T2P 2Y3

By Fax:

403-237-6181

For Churches/Organizations/Corporations:

If any of these groups want to have someone attend and vote in person, you must sign the proxy as the holder of the shares, follow the same process of striking out the two management names, and insert the name of the person who will attend as the proxy appointee.  Furthermore,  the organization can either allow the proxy appointee the discretion to vote as he/she sees fit or complete the proxy ahead of time.

As a reminder, shareholders that are considered one of these mentioned groups must submit their proxies in advance of the meeting, no later than Wednesday, September 5th at 1:00 PM MDT. The person filling out the form of proxy must have signing authority (ie. president, treasurer, etc.) and we have attached an example of how this form should be filled out which you can view by clicking here.

If you have any further questions or need assistance filling out the form, please email info@sageproperties.ca or phone SAGE directly at 403-478-9661.

Sincerely yours,

Sandra Jory, CPA, CA
Board Chair
Sage Properties Corp.

Dear Shareholder,

This email is to confirm that the notice of the annual meeting and information circular package was successfully mailed on Friday, August 17, 2018, by Alliance Trust Company.  You should expect to receive these in the mail this week. If you have not received your package by Friday, August 24, 2018, please email info@sageproperties.ca as soon as possible.

As a reminder, the annual meeting will be held at 1:00PM MDT on Friday, September 7, 2018  in the Lancaster Ballroom located inside the Executive Royal Hotel Edmonton Airport in Leduc, AB.  The purpose of the meeting is for shareholders to:

1. receive and consider Sage’s financial statements for the fiscal period ended March 31, 2018, together with the report of the auditors;
2. elect six directors;
3. appoint the auditors and authorize the directors to fix the auditors remuneration;
4. consider, and if thought advisable, with or without variation, to approve a special resolution to amend the articles of the Sage to:
   1. (a)  increase the maximum number of directors from six (6) to eight (8);
   2. (b)  add a minimum number of directors of six (6);
   3. (c)  permit the directors of Sage, between annual general meetings, to appoint one or more additional directors of Sage to serve until the next annual general meeting, with such number of additional directors not to exceed 1/3 of the number of directors who held office at the expiration of the last annual meeting of Sage, the full text of which is set forth in Appendix A to the accompanying Information Circular;
5. consider and, if thought advisable, with or without variation, to approve a special resolution to lower the quorum requirement for Shareholder meetings in the By-Laws of the Sage from 50% of the Shares entitled to be voted at such meeting to 25% of the Shares entitled to be voted at such meeting being present in person or by proxy, the full text of which is set forth in Appendix B to the accompanying Information Circular; and
6. transact such other business as may properly be brought before the Meeting or any adjournment thereof.

The specific details of the matters proposed to be put before the meeting are set forth in the management information circular packages that you will be receiving. 

The proxy submission deadline is Wednesday, September 5th at 1:00 PM MDT.  Your proxy must be received by Alliance Trust Company at 1010, 407 – 2nd Street SW, Calgary, Alberta T2P 2Y3 or, alternatively, by facsimile to 403-237-6181 prior to the Proxy Deadline. Alternatively, you may vote by internet using the 12 digit control number located at the bottom of your proxy at www.alliancetrust.ca/shareholders or by facsimile to 403-237-6181.

Thank you and we look forward to seeing you at the upcoming meeting.  If you have any questions, please contact SAGE at 403-478-9661 or by email at info@sageproperties.ca.

Sincerely yours,

Sandra Jory, CPA, CA
Board Chair
Sage Properties Corp.

Dear Shareholder,

We would like to take this time to present you with the following updates for Sage Properties Corp. (“Sage”).

SAVE THE DATE – ANNUAL GENERAL MEETING (AGM)

Sage’s AGM will be held on September 7, 2018 in Leduc, Alberta.   Shareholders will receive the official notice of the AGM, accompanied by an information circular, later this summer.  This is a friendly reminder that Sage’s bylaws require a minimum 50% participation of our shareholders for quorum (by proxy or by attendance) or the meeting will have to be rescheduled.  Please note the 2017 AGM had 54.71% participation rate.

SUBDIVISION

Sage submitted a formal application for subdivision to Rocky View County (“RVC”) on March 29, 2018 for their consideration. Currently SAGE is working through the comments received from RVC on the application with its urban planner, IBI Group. Sage is hopeful that it will be able to submit the final subdivision application to Council for approval within the next few months.   Once the final subdivision approval is received by RVC, Sage will then be required to meet subdivision conditions and submit a development agreement to RVC.

APPLICATION FOR EMPLOYEE UNIONIZATION

On May 17, 2018, Sage was notified by the Alberta Labour Relations Board (ALRB) that they received an application from the Canadian Union of Public Employees, Local 8 (CUPE) to become the certified bargaining agent for a unit of Sage employees (72 out of 176 employees).  These employees are employed in auxiliary nursing care at the Prince of Peace Manor and Harbour.  Following this notification, Sage was required to provide notice to the affected employees of the application and the ALRB commenced its review of the application.  On June 4, 2018, the ALRB completed its review of the application and Sage was notified that over 65% of the affected employees were in favour of unionization and therefore the ALRB would be issuing a union certification to the CUPE.  Moving forward, the CUPE will be the certified bargaining agent for auxiliary nursing care employees at SAGE and collective bargaining will commence this summer.

POSTPONEMENT OF APRIL 17, 2018 COURT APPLICATION

As discussed in our last newsletter, Sage submitted a formal application to the Court of Queen’s Bench of Alberta this past spring, requesting that two easements related to the water utility be removed and replaced with a new easement written to better reflect the reality of Sage’s utilities ownership and obligations as a service provider.

Prior to the April 17 court hearing, the Village condominium board chair filed documents opposing the application to remove the easements.  On April 17, 2018,  the court hearing was adjourned by Justice Romaine to allow for further discussions to take place between Sage and the Village with the hope that a resolution on issues raised could be reached.   Sage and the Village condo board met in May and June 2018 to discuss the Village’ issues and are planning on having a subsequent meeting this summer.  A new court hearing date will be re-scheduled in the fall of 2018.

STAFF CHANGES

Sage would like to take this time to advise you that Tony Chin has stepped away from his role as Chief Financial Officer for Sage.  Mr. Chin will continue to provide accounting and finance assistance to Sage on a contract basis. On behalf of the Directors, Management and Staff, we would like to thank Mr. Chin for his ongoing commitment and service to Sage and its shareholders.

Sage welcomes Erin Leson, Business Manager & Controller, to the Sage team.  Ms. Leson is a chartered professional accountant and brings forward over 10 years of experience in accounting and financial management, including a background in budget development, management forecasting and planning, and business leadership.  The board and staff are excited to work with Ms. Leson on executing its mandate to maximize the value of the assets for its shareholders.

We thank our shareholders for their continued support and hope you all have a great summer. If you have any questions pertaining to any of the above information relayed in this letter, please contact the Sage office either by email at info@sageproperties.ca or phoning (403) 478-9661.

Sincerely yours,

Sandra Jory, CPA, CA

Board Chair

Sage Properties Corp.