text: **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 