CONDENSED CONSOLIDATED INTERIM

FINANCIAL STATEMENTS
(Unaudited)

For the three months ended April 30, 2016 and 2015
WALL FINANCIAL CORPORATION
Condensed Consolidated Interim Statements of Financial Position

(Unaudited)
April 30 January 31
2016 2016

Assets
Investment properties $ 124,867,085 $ 122,827,065
Property, plant, and equipment 138,258,904 128,276,781
Properties under development for sale 363,975,773 328,894,567
Investments in joint ventures 12,012,546 10,092,546
Deferred tax asset 29,341,592 28,704,592
Non-current assets 668,455,900 618,795,551

Current portion of properties under development for sale 128,760,890 124,323,681

Deposits held in trust 118,993,053 110,347,015
Other assets 21,451,397 22,116,137
Income taxes receivable 1,537,298 -
Amounts receivable 11,335,058 8,775,703
Cash and cash equivalents 21,537,898 15,972,540
Current assets 303,615,594 281,535,076

Total assets $ 972,071,494 $ 900,330,627

Liabilities
Mortgages payable (note 3) $ 133,900,065 $ 90,873,117
Deferred tax liabilities 19,129,060 19,267,692
Non-current liabilities 153,029,125 110,140,809

Current portion of mortgages payable (note 3) 95,992,577 81,141,330

Income taxes payable - 845,217
Accounts payable and accrued liabilities 44,233,682 49,411,797
Deposits on real estate sales 117,974,286 109,468,772
Loans from shareholder 69,864,583 49,848,958
Bank and other indebtedness (note 3) 349,824,544 358,642,002

Current liabilities 677,889,672 649,358,076

Total liabilities $ 830,918,797 $ 759,498,885

Equity
Share capital $ 11,642,002 $ 11,642,002
Contributed surplus 319,000 319,000
Retained earnings 94,698,621 95,009,568

Equity attributable to shareholders of the Company 106,659,623 106,970,570

Non-controlling interest 34,493,074 33,009,772
Total equity 141,152,697 139,980,342

Total liabilities and equity $ 972,071,494 $ 899,479,227

See accompanying notes to these condensed consolidated interim financial statements.

Approved on behalf of the Board:

Bruno Wall Director Peter Ufford Director

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WALL FINANCIAL CORPORATION
Condensed Consolidated Interim Statements of Earnings and Comprehensive Income

For the three months ended April 30, 2016 and 2015

(Unaudited)
Three months ended April 30
2016 2015

Revenue (note 7) $ 21,790,010 $ 16,066,421

Cost of sales and operating expenses 16,706,712 12,368,537
5,083,298 3,697,884
Expenses:
General and administration 808,045 964,112
Depreciation and amortization 2,506,923 1,798,420
3,314,968 2,762,532

Loss from joint ventures - 706

Net finance costs:

Investment and other income (17,493) (20,261)
Interest expense 1,326,628 911,688
1,309,135 891,427
Earnings before income taxes 459,195 43,219

Income tax expense (recovery):

Current 787,472 238,968
Deferred (775,632) (250,205)
11,840 (11,237)
Net earnings 447,355 54,456

Net earnings (loss) and comprehensive income (loss) attributable to:

Owners of the Company (310,947) (156,932)
Non-controlling interest 758,302 211,388
447,355 54,456

Basic and diluted earnings (loss) per share $ (0.01) $ (0.00)

Total shares and weighted average shares outstanding 33,113,365 33,113,365

See accompanying notes to these condensed consolidated interim financial statements.

2
WALL FINANCIAL CORPORATION
Condensed Consolidated Interim Statements of Changes in Equity

For the three months ended April 30, 2016 and 2015

(Unaudited)
Attributable to equity holders of the company

Share Contributed Non-controlling Total

Retained Earnings Total
Capital Surplus Interests Equity

Balance at February 1, 2016 $ 11,642,002 $ 319,000 $ 95,009,568 $ 106,970,570 $ 33,009,772 $ 139,980,342

Earnings (loss) for the period - - (310,947) (310,947) 758,302 447,355

Contributions - - - - 725,000 725,000
Balance at April 30, 2016 $ 11,642,002 $ 319,000 $ 94,698,621 $ 106,659,623 $ 34,493,074 $ 141,152,697

Balance at February 1, 2015 $ 11,642,002 $ 319,000 $ 71,786,491 $ 83,747,493 $ 28,433,579 $ 112,181,072

Earnings (loss) for the period - - (156,932) (156,932) 211,388 54,456

Contributions - - - - 2,994,837 2,994,837
Balance at April 30, 2015 $ 11,642,002 $ 319,000 $ 71,629,559 $ 83,590,561 $ 31,639,804 $ 115,230,365

See accompanying notes to these condensed consolidated interim financial statements.

3
WALL FINANCIAL CORPORATION
Condensed Consolidated Interim Statements of Cash Flows
For the three months ended April 30, 2016 and 2015
(Unaudited)
2016 2015

Cash provided by (used in):

Cash flow from operating activities:
Net earnings $ 447,355 $ 54,456
Adjustments for items not involving cash:
Depreciation 2,506,923 1,798,420
Amortization of deferred financing fees 46,107 41,450
Loss from joint ventures - 706
Deferred income taxes (775,632) (250,205)
Income tax expense 787,472 238,968
Interest expense 1,326,628 911,688
4,338,853 2,795,483

Recovery of costs through real estate sales 4,004,688 1,724,991

Additions to development properties (38,567,460) (31,531,275)
Interest paid (4,874,612) (5,057,040)
Income taxes paid (3,169,987) (2,366,839)
Changes in non-cash operating working capital:
Amounts receivable (2,559,355) (261,154)
Accounts payable and accrued liabilities (5,038,718) (948,242)
Inventory 21,815 15,461
Deposits and prepaids 638,965 (952,027)
(45,205,811) (36,580,642)

Cash flow from investing activities:

Additions to investment properties (4,760,567) (7,929,525)
Additions to property, plant, and equipment (11,356,878) (3,235,487)
Additions to sales centres (380,417) (190,242)
Contributions to investments in joint ventures (1,920,000) -
Increase in deposits held in trust (8,646,038) (12,271,974)
Increase in deposits on real estate sales 8,505,514 12,128,659
(18,558,386) (11,498,569)

Cash flow from financing activities:

Proceeds from loans from shareholder 20,000,000 -
Proceeds from mortgages payable 59,618,620 -
Payment of financing fees (1,391,026) -
Repayment of mortgages payable (805,581) (900,903)
Bank and other indebtedness (8,817,458) 45,679,323
Contributions by non-controlling interest 725,000 2,994,837
69,329,555 47,773,257

Increase (decrease) in cash and cash equivalents 5,565,358 (305,954)

Cash and cash equivalents, beginning of period 15,972,540 39,778,169
Cash and cash equivalents, end of period $ 21,537,898 $ 39,472,215

See accompanying notes to condensed consolidated interim financial statements.

4
WALL FINANCIAL CORPORATION
Notes to Condensed Consolidated Interim Financial Statements

For the three months ended April 30, 2016 and 2015
(unaudited)

1. Reporting Entity:

Wall Financial Corporation (WFC) is a publicly listed company incorporated under the British
Columbia Business Corporations Act. Its shares are listed on the Toronto Stock Exchange under
the symbol WFC.

These condensed consolidated interim financial statements as at and for the three months ended
April 30, 2016 comprise WFC and its subsidiaries (together referred to as the Company), and
the Companys interests in joint ventures. The Company predominantly operates in the greater
Vancouver area of British Columbia in the development and management of residential rental
units, development and construction of residential housing for re-sale, and the development and
management of hotel properties.
th
The registered office of the Company is located at 10 Floor, 938 Howe Street, Vancouver, BC
V6Z 1N9, Canada.
2. Basis of Presentation:

These condensed consolidated interim financial statements and the notes thereto have been
prepared in accordance with International Accounting Standard (IAS) 34 - Interim Financial
Reporting, as issued by the International Accounting Standards Board (IASB). These financial
statements do not include all of the information required for full annual financial statements and
should be read in conjunction with the Companys consolidated financial statements for the years
ended January 31, 2016 and 2015, which have been prepared in accordance with International
Financial Reporting Standards (IFRS) as issued by the IASB.

For the three months ended April 30, 2016 and 2015, there have been no changes to the
Companys accounting policies from those disclosed in the Companys consolidated financial
statements for the years ended January 31, 2016 and 2015.

The Companys quarterly results are impacted by the cyclical nature of the Companys business.
Revenues and other income can fluctuate significantly from period to period due to the timing and
quantity of closings of residential and commercial units at the development properties. Assets
can fluctuate due to the amount of development activities undertaken by the Company and are
also impacted by the acquisitions and dispositions of rental properties, which the Company will
manage and review on an ongoing basis to maximize value for shareholders. Dividends can
fluctuate as the Company is on a flexible dividend policy; the amount and timing of dividends will
be based on the Companys availability of and need for cash.

These condensed consolidated interim financial statements were approved by the Companys
Board of Directors on June 14, 2016, and are the responsibility of the Companys management.
The Companys independent auditors, KPMG LLP, have not conducted a review of these
condensed consolidated interim financial statements.

5
WALL FINANCIAL CORPORATION
Notes to Condensed Consolidated Interim Financial Statements

For the three months ended April 30, 2016 and 2015
(unaudited)

3. Debt on properties:

April 30, 2016 January 31, 2016

Bank and other indebtedness:

Properties under development $ 258,148,665 $ 263,147,543
General corporate debt 91,675,879 95,494,459
Total bank and other indebtedness 349,824,544 358,642,002
Mortgages payable:
Investment properties 139,536,540 95,219,106
Property, plant and equipment 94,137,366 79,216,061
Total mortgages payable 233,673,906 174,435,167

Less: deferred financing fees (3,781,264) (2,420,720)

229,892,642 172,014,447
Less: current portion of mortgages payable (95,992,577) (81,141,330)
Non-current portion of mortgages payable 133,900,065 90,873,117

(a) Bank and other indebtedness on properties under development for sale:

At April 30, 2016, the Company has borrowed $258,148,665 (January 31, 2016 -
$263,147,543) on available construction financing facilities in the form of Canadian dollar
prime rate loans, letters of credit, and bankers acceptances. The maximum available funding
under such facilities is $764,884,000 (January 31, 2016 - $460,634,000). The credit facilities
are secured by first mortgages and assignment of rents on the related properties, and
assignment of insurance. The borrowings are due on demand.

(b) General corporate debt:

At April 30, 2016, the Companys borrowings of $91,675,879 (January 31, 2016 -
$95,494,459) are made available by way of lines of credit with a maximum available
aggregate amount of $128,015,000 (January 31, 2016 - $128,015,000). The debt is secured
by fixed and floating demand debentures, second mortgages, and an assignment of rents on
certain investment properties, and property, plant, and equipment. The borrowings are due
on demand.

(c) Mortgages payable:

Of the $94,137,366 (January 31, 2016 - $79,216,061) in mortgages on property, plant and
equipment, $15,000,000 (January 31, 2016 - $39,381,363) bear interest at bankers
acceptance rates plus applicable stamping fees. Two interest rate swaps are in place to fix
the interest rates on the remaining balance of the mortgages payable of $79,137,366, with.
$39,572,463 (January 31, 2016 - $39,834,698) fixed at 3.27% for a term of 4 years maturing
November 2, 2019, and with the balance of $39,564,904 (January 31, 2016 nil) fixed at

6
WALL FINANCIAL CORPORATION
Notes to Condensed Consolidated Interim Financial Statements

For the three months ended April 30, 2016 and 2015
(unaudited)

3. Debt on properties (continued):

(c) Mortgages payable (continued):

2.99% for a term of 2 years maturing March 2, 2018. For the three months ended April 30,
2016, a mark-to-market gain in the fair value of the interest rate swap of $565,097 (April 30,
2015 nil) was recorded in finance costs on the statement of earnings. As at April 30, 2016,
the fair value of the interest rate swap asset is $139,397 (January 31, 2016 fair value
liability of $425,700) and is included in accounts payable on the statement of financial
position.

Mortgages payable on investment properties of $135,755,276, net of financing fees of

$3,781,264 (January 31, 2016 - $92,798,386, net of financing fees of $2,420,720) bears
interest at fixed rates ranging from 2.46% to 6.50% (January 31, 2016 - 2.46% to 6.50%).

All mortgages are secured by first and second fixed charges over the Companys properties
under development for sale, investment properties, and property, plant, and equipment.

Principal instalments payable within the next five fiscal years and thereafter on mortgages
payable are as follows:

2018 $ 99,531,121
2019 10,191,976
2020 39,597,982
2021 13,991,191
2022 1,657,372
Thereafter 64,923,000

$ 229,892,642

4. Net finance costs (income):

April 30, 2016 April 30, 2015

Finance income:
Investment and interest income $ 17,493 $ 20,261
Finance costs:
Interest on:
Bank and other indebtedness 3,784,602 4,276,485
Mortgages payable 1,090,010 780,555
4,874,612 5,057,040
Interest capitalized to properties under
development for sale (2,982,887) (4,145,351)
1,891,725 911,689
Change in fair value of interest rate swap contracts (565,097) -
1,326,628 911,689

Net finance cost $ 1,309,135 $ 891,428

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WALL FINANCIAL CORPORATION
Notes to Condensed Consolidated Interim Financial Statements

For the three months ended April 30, 2016 and 2015
(unaudited)

5. Related party transactions:

As at April 30, 2016, the Company has a loan payable of $70,000,000 (January 31, 2016 -
$50,000,000) due on demand to a company owned by a significant shareholder of the Company,
with $50,000,000 bearing interest at prime plus 2.00% per annum (January 31, 2016 prime plus
2.00%) and with $20,000,000 bearing interest at 3.00% per annum (January 31, 2016 nil). The
loan is secured by a second mortgage on the Sheraton Wall Centre and Westin Wall Centre hotel
properties. The due to shareholder balance of $69,864,583 (January 31, 2016 - $49,848,958) on
the statement of financial position, reflects the loans payable of $70,000,000 (January 31, 2016 -
$50,000,000) offset by unamortized financing costs of $135,417 (January 31, 2016 - $151,042).

For the period ended April 30, 2016, the Company recorded interest on loans payable to the
significant shareholder totaling $688,000 (April 30, 2015 - $612,333).

6. Financial instruments:

The carrying values of the Companys cash and cash equivalents, amounts receivable, deposits
held-in-trust, loans from shareholder, and accounts payable and accrued liabilities approximate
their fair values due to the short-term nature of these financial assets and liabilities. The face
value of bank and other indebtedness approximates its fair value, as it is due on demand.
Management estimates that these differences are not material to the consolidated financial
statements.

The Company uses interest rate swap contracts to effectively fix the interest rate on certain
mortgages payable. As hedge accounting is not applied, the contracts are carried at fair value
and reported as assets (positive) or liabilities (negative) depending on the fair value on the
reporting date. The change in fair value is recognized in net income or loss for the year. The fair
value of the interest rate swap contracts are calculated through discounting future expected cash
flows using the bankers' acceptance based swap curve adjusted for credit risk.

The fair value of mortgages payable is estimated by discounting the future contractual cash flows
at the market interest rate that is available to the Company for similar financial instruments. The
fair value of the mortgages payable at April 30, 2016 is $236,030,000 (January 31, 2016 -
$138,636,000).
All assets and liabilities for which fair value is measured or disclosed in the consolidated financial
statements are categorized within the fair value hierarchy, described as follows, based on the
lowest level input that is significant to the fair value measurement as a whole:
Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or
liabilities.

Level 2 - Valuation techniques for which the lowest level input that is significant to the
fair value measurement is directly or indirectly observable.

Level 3 - Valuation techniques for which the lowest level input that is significant to the
fair value measurement is unobservable.

8
WALL FINANCIAL CORPORATION
Notes to Condensed Consolidated Interim Financial Statements

For the three months ended April 30, 2016 and 2015
(unaudited)

6. Financial instruments (continued):

(a) Fair values (continued):

The fair value of interest rate swaps and mortgages payable are considered Level 2 and
investment properties are considered Level 3.
7. Segment disclosures:

The Company operates in three different segments of the real estate industry: ownership and
management of revenue-producing residential and commercial properties (Rental), ownership
and management of hotel properties (Hotel), and the development and sale of residential
housing (Development). Operating performance of the Company is evaluated primarily based
on the net operating income of these three segments. Centrally managed expenses such as
interest, amortization, and general administrative costs are not included or allocated to the
operating segment results.
The following summarizes the Companys assets as at April 30, 2016 with comparative
information as at January 31, 2016:

April 30, 2016 January 31, 2016

Identifiable assets:
Properties
Investment properties (Rental) $ 126,204,002 $ 124,062,655
Property, plant, and equipment (Hotel) 145,621,009 134,803,709
Properties under development for sale (Development) 697,412,250 636,977,257
969,237,261 895,843,621

Corporate 2,833,233 4,487,006

$ 972,070,494 $ 900,330,627

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 WALL FINANCIAL CORPORATION
Notes to Condensed Consolidated Interim Financial Statements

For the three months ended April 30, 2016 and 2015
(unaudited)

7. Segment disclosures (continued):

The following summarizes the Companys operating results for the three months ended April 30, 2016 and 2015:

Rental Hotel Development Corporate Consolidated

2016 2015 2016 2015 2016 2015 2016 2015 2016 2015

For the three months ended April 30

Revenue $ 3,327,677 $ 3,047,002 $ 12,209,138 $ 10,486,419 $ 6,253,195 $ 2,533,000 $ - $ - $ 21,790,010 $ 16,066,421

Depreciation expense 747,785 204,305 1,374,761 1,151,803 381,604 425,450 2,773 16,862 2,506,923 1,798,420

Earnings (loss) from operations (1,082,609) 715,839 1,317,384 865,426 1,233,824 (397,434) (1,009,404) (1,140,612) 459,195 43,219

8. Comparative Figures

Certain comparative information has been reclassified to conform with the current periods presentation.

10