TORONTO, CANADA–(Marketwired – March 31, 2015) – Canadian Apartment Properties Real Estate Investment Trust (“CAPREIT”) (TSX:CAR.UN) announced today that it has completed the acquisition of a 285-suite apartment portfolio in Burlington, Ontario for a purchase price (excluding transaction costs) of approximately $53.7 million. The purchase of the portfolio was funded from CAPREIT’s Acquisition and Operating credit facility.
The portfolio includes a three building apartment complex located on Tyandaga Park Drive containing 175 suites in a garden-style setting featuring a number of two-storey units, and a nearby 13-storey apartment tower containing 110 one, two and three bedroom suites at 3055 Glencrest Road. The properties are close to parks, schools, libraries and retail shopping, as well as major transportation highways and the Burlington GO station. Numerous investments in lobbies, common areas, suite upgrades, and energy saving initiates have recently been completed. Occupancy stood at over 97% at closing.
“This accretive acquisition enhances our presence in the very strong Burlington rental market, an important and growing community in the Greater Toronto Area,” commented Thomas Schwartz, President and CEO.
CAPREIT also announced today that it has sold its interest in its wholly owned Irish subsidiary (“Rockbrook SPV”) which owned the Rockbrook portfolio, consisting of 270 residential suites and 50,214 square feet of mixed-use commercial space located in Dublin, Ireland, to Irish Residential Properties REIT plc (“I-RES”). CAPREIT sold the Rockbrook SPV to I-RES for a total acquisition cost of approximately EUR0.9 million pursuant to the previously-announced Pipeline Agreement between CAPREIT and I-RES (as amended on February 9, 2015). Following the sale, the Rockbrook SPV repaid the loan of EUR89.7 million to CAPREIT. I-RES received shareholder approval for the Pipeline Agreement and the acquisition of the Rockbrook SPV at an extraordinary general shareholders’ meeting held on March 25, 2015.
As one of Canada’s largest residential landlords, CAPREIT is a growth-oriented investment trust owning interests in 41,839 residential units, comprising 35,555 residential suites and 30 manufactured home communities comprising 6,284 land lease sites located in and near major urban centres across Canada. For more information about CAPREIT, its business and its investment highlights, please refer to our website at www.capreit.net and our public disclosure, which can be found under our profile at www.sedar.com.
CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING STATEMENTS
All statements in this press release that do not relate to historical facts constitute forward-looking statements. These statements represent CAPREIT’s intentions, plans, expectations and beliefs and are subject to certain risks and uncertainties that could result in actual results differing materially from these forward-looking statements. These risks and uncertainties are more fully described in regulatory filings that can be obtained on SEDAR at www.sedar.com.
Mr. Michael Stein
Mr. Thomas Schwartz
President & CEO
Mr. Scott Cryer
Chief Financial Officer