TORONTO, June 21, 2019 /CNW/ – European Residential Real Estate Investment Trust (TSX-V:ERE.UN, “ERES“) is pleased to announce that the trustees of ERES have declared its quarterly cash distribution, in respect of the second quarter of 2019 of â¬0.02625 per Unit and Class B LP Unit (the “Q2 Distribution“), being equivalent to â¬0.105 per Unit annualized. The distribution will be payable to holders of the Units and Class B LP Units (the “Unitholders“) of record on June 28, 2019, with payment on July 15, 2019.
The Euro-denominated distribution will be paid in Canadian dollars based on the exchange rate on the date of payment. Registered Unitholders will be provided with an option to elect to receive such distribution in Euros rather than Canadian dollars. If no such election is made, registered Unitholders will be paid the distribution in Canadian dollars based on the above exchange rate mechanism. Beneficial Unitholders will not have an option to elect to receive the distribution in Euros.
As previously announced, the Q2 Distribution will be the final quarterly distribution declared and paid by ERES. Commencing in July 2019, ERES intends make regular monthly distributions, subject to the ongoing discretion of the ERES board of trustees. While the annual amount of the future distributions going forward has yet to be determined, ERES expects to target an AFFO payout ratio in the range of 80% to 90%. ERES Limited Partnership will make corresponding cash distributions to holders of Class B LP Units. The first such monthly distribution is expected to be made for the month of July, payable to Unitholders of record on July 31, 2019, with payment on or about August 15, 2019.
“Our second quarter distribution is fully in line with our published 2019 forecast dated March 13, 2019, and we remain confident in the forecast going forward with a monthly distribution and target of AFFO payout ratio between 80% and 90%,” commented Phillip Burns, Chief Executive Officer. “The new policy is also a reflection of our confidence in the future and our commitment to enhancing Unitholder value over the long term.”
Upon payment of ERES’s most recent previous quarterly distribution on January 16, 2019, 47,721 Units were issued pursuant to the REIT’s Distribution Reinvestment Plan (“DRIP“), of which approximately 23% of such Units were issued to ERES insiders.
ERES is an unincorporated, open-ended real estate investment trust. ERES’ Units are listed on the TSX Venture Exchange under the symbol ERE.UN. ERES is Canada’s only European-focused multi-residential REIT, with a current initial focus on investing in high-quality multi-residential real estate properties in the Netherlands. ERES owns a portfolio of 67 multi-residential properties, comprised of 3,348 suites located in the Netherlands, and owns two office properties in Germany and one office property in Belgium.
ERES’s registered and principal business office is located at 11 Church Street, Suite 401, Toronto, Ontario M5E 1W1.
For more information, please visit our website at www.eresreit.com.
Neither TSX Venture Exchange Inc. nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange Inc.) accepts responsibility for the adequacy or accuracy of this release.
SOURCE European Residential Real Estate Investment Trust
View original content: http://www.newswire.ca/en/releases/archive/June2019/21/c8157.html