Looking beyond 2014, we expect to generate NOI growth 
more in the 2% to 4% range as large economic projects in 
Atlantic Canada are predicted to lead economic 
and population growth in the region.  As the 
dominant residential landlord in Atlantic Canada 
with a wide variety of buildings and price points, 
we expect to benefit from this growth through 
increased demand for apartments.  
Growth through Acquisitions 
Growth through acquisitions will continue 
to be a focus for Killam.  We completed $121 
million of acquisitions last year, at the top of our 
acquisition target range of $75 million to $125 
million.  This was our largest year for acquisitions 
since 2005.  Apartment acquisitions in Ontario in 
2013 included a 102-unit building in Ottawa and 
a newly constructed mixed-use apartment and 
retail complex in downtown Toronto, for a total 
of $50 million.  We are also pleased with the $64 
million in properties we added to our portfolio in 
Atlantic Canada this past year, complementing 
our existing assets in Halifax, Charlottetown and 
Moncton.
We have targeted a minimum of $75 million 
in acquisitions for 2014.  We are committed to 
adding strategically to our asset base in our 
core markets, targeting both new buildings and 
centrally located older buildings with upside 
opportunities.  
Recycling Assets and Increasing the Quality 
of Killam’s Portfolio
Part of our growth through acquisitions in 
2014 includes investing funds from the New 
Brunswick MHC portfolio we sold in November 
2013.  This was Killam’s second MHC portfolio 
sale in the last two years.  Although we continue 
to value the MHC asset class and see it as a 
strong complement to the apartment portfolio, 
we recognize that growth opportunities in this asset class are 
limited, with few investment grade communities available.  
In addition, the value of MHCs has increased significantly in 
the last number of years, arguably to a greater extent than 
many other real estate assets classes, including apartments.  
The decision to sell was based on the opportunity to 
crystallize the value of the properties at an attractive price 
and use the funds to accretively grow the apartment 
portfolio.  The net proceeds from the sale have been, and will 
be, used primarily to fund growth of the apartment portfolio.  
We expect to fully deploy the net cash from the 2013 sale 
of $46 million during the first half of 2014 and are confident 
in our strategy to enhance the long-term quality of our 
portfolio and shareholder value.  
We continued to invest capital in our properties, 
spending $22 million in 2013.  Annual capital 
investment is a reality for real estate owners.  We 
believe that higher total investment returns are 
often available by acquiring newer assets because 
the annual capital requirements are significantly 
less than acquiring an older building with deferred 
maintenance issues.  This is especially true in 
the recent acquisition market with very low 
capitalization rates (cap rates) and high valuations 
attributable to most real estate assets.  Generally, 
we have not seen a large enough cap rate spread 
recognizing the different quality of assets, or 
the condition of assets with significant deferred 
maintenance, in recent years.  In the past there 
was a larger valuation spread attributable to these 
factors.  At the end of December 2013, 35% of the 
value of our real estate assets were considered 
new, defined as built since the year 2000.  In fact, 
17% were built in the last five years.
Complementing Acquisitions with 
Developments 
Development is an important component of 
Killam’s future growth.  We are gaining expertise 
as developers, resulting in both increased 
efficiencies and returns.  We completed four 
new developments in 2013, representing an 
investment of $70 million.  Two of the buildings 
leased-up within three months, and two are 
expected to be substantially leased by the middle