MONTREAL, May 25, 2015 /CNW Telbec/ – (TSXV: NEL.UN) Nobel Real Estate Investment Trust (the “REIT” or “Nobel REIT”) is pleased to announce today that it will acquire, pursuant to the private placement announced on April 23, 2015 and that is expected to close on or about June 2, 2015, four investment properties in the Montreal area, including three industrial buildings located in the borough of Saint-Hubert in the city of Longueuil (at 3550 1st Street, 3600 1st Street and 3330 2nd Street, collectively the “Saint-Hubert Portfolio”), and another investment property located in the borough of Lachine in the city of Montreal (at 10340 CÃ´te-de-Liesse Road).
The CÃ´te-de-Liesse property is a two-storey office building with 26,216 square feet of leasable area strategically located on the service road of Highway 520, near the Pierre-Elliott-Trudeau international airport and Highways 20 and 40. The purchase price, excluding acquisition costs, is $3,400,000. Effective capitalization rate of this acquisition is 7.25% and the occupancy rate is 95.5%.
The three properties of the Saint-Hubert Portfolio are adjacent, which creates synergy and a good critical mass in the area. Located alongside of Highway 30, the aggregate leasable area of these buildings is 116,157 square feet and the occupancy rate is 97.4%. The purchase price, excluding acquisitions costs, is $10,700,000. The effective capitalization rate of this acquisition is 7.30%.
“The addition of these four new properties, added to the acquisition announced on April 28, will bring the REIT’s portfolio to fourteen properties with an aggregate of 656,345 square feet of leasable area, an increase of 55% compared to our current gross leasable area, in line with our growth strategy.” stated Jean Teasdale, President and Chief Executive of Nobel REIT.
About Nobel REIT
Nobel REIT is an unincorporated open-ended real estate investment trust governed by the laws of the Province of QuÃ©bec. Nobel REIT has been created for the purpose of acquiring and owning income producing properties. The REIT will focus on acquiring commercial retail, mixed-used retail, and industrial and suburban office properties in the primary and secondary markets in the Province of QuÃ©bec. Nobel REIT currently owns nine properties located in QuÃ©bec, comprising 422,904 square feet of gross leasable area.
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SOURCE Nobel Real Estate Investment Trust