May 14, 2020 Shareholder Newsletter

Dear Shareholder:

 The health and safety of Sage’s stakeholders is the board’s number one priority.  We are so proud of our onsite management and staff for the incredible work they have done and are pleased to inform you that the Prince of Peace Harbour and Manor continue to have no cases of COVID-19.   Our on-site management continues to work closely with Alberta Health Services to ensure all required protocols, health orders and restrictions are implemented, followed, and monitored. 

 Thank you for your continued support during this difficult time.  The board continues its work on Sage’s mandate and will provide further updates on the sale of assets as soon as we are able to. 

Sincerely yours,

Signed “Sandra Jory”

Sandra Jory, CPA, CA

Board Chair

Sage Properties Corp. 

March 26,2020 Sage Shareholder Newsletter

March 26, 2020

Dear Shareholder,

Sage Properties Corp. (“Sage”) and the Sage Board of Directors (“Board”), would like to provide you with the following update. 

The Board and management of Sage are highly focused on the current COVID-19 pandemic and are currently monitoring the situation on a daily basis to ensure informed decisions are made to protect and serve our residents, staff and all stakeholders.  This is our number one priority.

While the Sage Board and management continue to work on the sale of our assets and execution of our strategic plan, our focus at this time must be on safeguarding our residents and staff.  With the uncertainty currently being faced in light of the COVID-19 pandemic, the Board is currently unable to provide a further update on the execution of our strategic plan.  The Board will provide an update to the shareholders when it is prudent to do so.

 We would like to acknowledge and thank all staff for their outstanding work and extraordinary efforts  during this crisis and thank you, our shareholders, for your continued support and patience during this unprecedented time.

 Sincerely yours,

Signed “Sandra Jory”

Sandra Jory, CPA, CA

Board Chair

Sage Properties Corp. 

March 16, 2020 Regarding COVID-19

To Shareholders,

We are watching the COVID-19 pandemic situation closely as the health and safety of our employees, residents, school personnel, students and Utility support workers is our number one priority. To assure our shareholders we are doing all we can to protect and slow the rate of transmission of COVID-19 within our facilities, we have intensified our protocols and restricted public access to them. For your information, (please see the link) from David Bird, the COO of Verve, our Prince of Peace operator, that details the protocols that have been put in place. Notice From Verve Senior Living Mar. 14, 2020

We understand how much we all rely on our connectivity – whether to stay connected to our workplace, stay in touch with friends and family, or to keep our families informed. We are implementing an increased level of communication with our shareholders to inform and support them through sharing the latest information on our efforts regarding COVID-19.  

Thank you for your continued support during this very stressful time.

Sincerely yours,

(signed) “Sandra Jory”

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

December 11, 2019

December 11, 2019

Dear Shareholder,

On
behalf of SAGE Properties Corp. (“SAGE”) and the Board of Directors (“Board”)
of SAGE, we are pleased to provide you with the following updates.

  • COMMUNICATION

SAGE would like to
encourage Shareholders to provide their email address in an effort to reduce
costs for mailing newsletters, to reach more shareholders and to provide more
timely communication. Please refer to the attached form to provide consent for SAGE
to send newsletters and other communication by electronic mail (“email”).  Please return the completed form:

  1. By email to info@sageproperties.ca;
  2. Using the enclosed envelope addressed to Alliance Trust Company;
  3. By fax to 403.457.4707 attention: Sage Properties Corp.

If there are any
other changes to your contact information, please contact:

Alliance Trust Company
1010, 407 – 2nd St. SW
Calgary, AB T2P 2Y3
Tel: 403-237-6111

Please note SAGE’s new mailing address:
115, 1925 – 18th Avenue NE
Calgary, AB T2E 7T8

  • FINANCIAL RESULTS FOR PERIOD ENDED SEPTEMBER 30, 2019

Please find attached SAGE’s unaudited interim
financial statements, including notes, for the six-month period ended September
30, 2019 for information purposes. 
Please be advised that these statements have not been audited nor
reviewed by SAGE’s auditors and are subject to change.

  • STRATEGIC PLAN UPDATES:
  • MARKETING PROCESS – PRINCE OF PEACE MANOR, HARBOUR & SCHOOL

Earlier this year the
board revisited the strategic plan to determine if it would be in the best
interests of shareholders to move forward with the sale of SAGE’s assets,
without the subdivision and emancipation of the utility operations being 100%
complete. During this period, SAGE also experienced an increase in interest
from qualified buyers. Seeing this increase in interest in the market, the
board made the decision to move forward with hiring a broker and to start the
process of disposing SAGE’s assets. In June 2019, the board hired KPMG Corporate
Finance, an experienced middle market broker, to commence a confidential sales
process.

In August 2019, KPMG commenced
a broad divestment process, and is currently reviewing offers that have been received
and is assisting potential buyers with due diligence.  The board remains optimistic that the process
will complete with a successful transaction in 2020.

SAGE
also commenced a marketing process for the school this year and are excited
about the interest received.  KPMG is
currently reviewing offers received and assisting potential buyers with due
diligence.

  • SUBDIVISION & UTILITY

SAGE
continues to work towards subdivision and is in discussions with Rocky View
County (“RVC”) regarding subdivision. 
Based on the feedback received from the county, SAGE is currently
developing a revised proposal with its urban planner, IBI Group, to proceed
with the next steps including discussions
regarding options for the construction of a water supply pipeline to the Prince
of Peace site. The Village and SAGE are working together with the RVC to move
the process forward with respect to the construction of a water pipeline.

  • VILLAGE NEGOTIATIONS

SAGE
and the Prince of Peace Village condominium board (“the Village”) have been in
discussions regarding the emancipation of the utility operations and other
easement issues since 2017.  In March
2018, SAGE filed a court application to replace the easements on title to
better reflect the ownership and operations of the water utility.  Subsequent to the court application in 2018, SAGE
and the Village met to try to discuss and resolve the utility ownership issues.  Unfortunately, a resolution was not reached
through the discussions held and in early 2019, SAGE requested a new court
hearing asking for the court to make a ruling on the ownership and easement
issues. At the court hearing held on September 12, 2019, Justice Romaine
recommended that the parties use mediation to resolve the easement issues and
both parties agreed to mediation.

A
mediation session was held on November 19, 2019 between SAGE and the Village.  The mediation was successful in finding a
workable solution to the utility ownership and other easement issues. A written
agreement is currently being drafted by legal counsel to resolve the
outstanding issues. 

  • ENVIRONMENTAL RECLAMATION

SAGE has been working with our
environmental consultants to develop reclamation plans to reclaim the areas
known as the former sewage lagoon, the former brackish water lagoon and the
water treatment plant.   In the fall of
2019, Alberta Environment approved the reclamation plans and work was scheduled.

As of the end of November 2019,
all reclamation work was completed and Alberta Environment has received the final
reports for the sewage lagoon and brackish lagoon reclamation as well as the
decommissioning of the water treatment plant. Management expects approval and
sign-off of the reclamation work by Alberta Environment by the end of the year.  Subsequent monitoring and a 3-year weed
control plan will be implemented to ensure the reclaimed land returns to tame
pasture as outlined in the reclamation plans approved by Alberta
Environment.  

If you have any questions regarding this newsletter, please
contact the SAGE office at (403) 478-9661 or info@sageproperties.ca

Wishing you a very Merry Christmas and all the best in 2020.

Sincerely yours,
Signed “Sandra Jory”
Sandra Jory, CPA, CA
Board Chair
Sage Properties Corp.

Sept 20, 2019: Voting Results – Sept 14, 2019 Annual Meeting

Dear Shareholder:

On behalf of SAGE Properties Corp. (“SAGE)” and the board of directors (“the Board”), I would like to thank all of the shareholders who participated in our Annual Meeting (“the Meeting”) on September 14, 2019.

AGM Results

A total of 255 shareholders or 48.42% of the issued and outstanding voting shares were represented at the meeting and the following individuals were elected to the Board with each director receiving over 95% support:

Sandra Jory               Irfhan Rawji

Murray Warnke         Reginald Zotzman

Ralph Huizinga         Andrea Whyte

The special resolution to amend the redemption provisions of the Articles of SAGE (“the Articles”) were also approved with 77% support.  Please see attached document here that outlines the changes made to articles. 

Divestiture Update:

Earlier this year, the board reviewed the 3 year mandate received from its shareholders to determine if it would be in the best interests of shareholders to move forward with the sale of its assets, without the subdivision and emancipation of utilities being 100% complete.  During this period, Sage also experienced an increase in interest from qualified buyers.  Seeing this increase in the market, the board made the decision to move forward with hiring a broker and to start the process of disposing of Sage’s assets.  In June 2019, the Board hired KPMG Corporate Finance, an experienced middle market broker, to commence a confidential sales process. In August 2019, KPMG commenced a broad divestment process and I am very excited to announce that there has been strong interest from potential buyers.  While at this stage it is too early to determine whether the process will result in an acceptable offer or to determine an exact timing for the closing of a potential transaction, it is our hope than attractive offer will be obtained this fall and that a transaction will be presented to shareholders for approval later this year. In the event that attractive offers are not received, Sage will continue its work on the mandate of subdivision and emancipation of the utilities, looking to complete its mandate in 2020.

If you have any questions with respect to any of the information provided in this newsletter, please contact SAGE at 403-478-9661 or by email to info@sageproperties.ca

Sincerely yours,

Sandra Jory, CPA, CA

Board Chair

SAGE Properties Corp.