TORONTO, Oct. 13, 2020 (GLOBE NEWSWIRE) — WPT Industrial Real Estate Investment Trust (the âREITâ) (TSX: WIR.U; WIR.UN – OTCQX: WPTIF) provided an update today on ongoing business and operational matters.
The REIT continues to closely monitor developments regarding the COVID-19 pandemic and work proactively to provide tenants safe and continuous access to their buildings while maximizing rent collections. As of October 13, 2020, the REIT has received over 99% of contractual rents for August, September and October 2020.
Further disclosure surrounding the impact of COVID-19 are included in the REITâs management discussion and analysis for the three months ended June 30, 2020 under the REITâs profile on SEDAR at www.sedar.com.
Since the REITâs last earnings release on August 5, 2020, the REIT has renewed six leases totaling approximately 570,000 square feet, with a weighted average cash re-leasing spread and straight-line rent re-leasing spread of 16.1% and 20.8%, respectively.
This recent leasing activity reduces the REITâs remaining 2020 lease expirations to approximately 0.6% and 2021 expirations to approximately 5.6% of the portfolioâs gross leasable area.
Lease-Up of Vacant Space
Since August 5, 2020, the REIT leased approximately 200,000 square feet of previously vacant space, including 182,954 square feet of space acquired as part of the REITâs March 2020 portfolio acquisition, for a weighted average lease term of 3.4 years.
The REIT also recently entered into a long-term lease with a large online retailer for its 188,000 square foot private capital development project in Bayonne, New Jersey.
The REIT recently agreed to expand the parking lot for its property located at 9929 and 9943 Doerr Lane in San Antonio, Texas. Total costs for the expansion are estimated to be approximately $4.5 million. Upon completion (estimated to be December 1, 2020) annual base rent will increase by approximately $459,000 per year and the building lease term will be extended for a total of three years to November 2030.
On August 28, 2020, the REIT sold the property located at 1370 Discovery Court Industrial Court, in Mableton, Georgia for net cash proceeds of approximately $10 million (inclusive of closing and working capital adjustments).
The REITâs portfolio currently consists of 99 properties totaling approximately 31.7 million square feet with occupancy of approximately 98% and a weighted average remaining lease term of 4.5 years.
For more information, please contact:
Scott Frederiksen, Chief Executive Officer
WPT Industrial Real Estate Investment Trust
Tel: (612) 800-8501
This press release contains âforward-looking informationâ as defined under applicable Canadian securities law (âforward-looking statementsâ) which reflect managementâs expectations regarding objectives, plans, goals, strategies, future growth, results of operations, performance, business prospects and opportunities of the REIT, including statements concerning the impact on the REIT of the occurrence of and response to the coronavirus disease 2019 (COVID-2019) pandemic. The words âplansâ, âexpectsâ, âscheduledâ, âestimatesâ, âintendsâ, âanticipatesâ, âprojectsâ, âbelievesâ or variations of such words and phrases (including negative variations) or statements to the effect that certain actions, events or results âmayâ, âwillâ, âcouldâ, âwouldâ, âmightâ, âoccurâ, âbe achievedâ or âcontinueâ and similar expressions identify forward-looking statements. Forward-looking statements are necessarily based on a number of estimates and assumptions that, while considered reasonable by management of the REIT as of the date of this press release, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Such estimates, beliefs and assumptions include, but are not limited to, results of operations, future prospects and opportunities, the demographic and industry trends remaining unchanged, no change in legislative or regulatory matters, future levels of indebtedness, the tax laws as currently in effect remaining unchanged, the continual availability of capital, the current economic conditions remaining unchanged, continued positive net absorption and declining vacancy rates in the markets in which the REITâs properties are located, and anticipated and potential adverse impacts resulting from the COVID-19 pandemic.
When relying on forward-looking statements to make decisions, the REIT cautions readers not to place undue reliance on these statements, as forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results and will not necessarily be accurate indications of whether or not the times at or by which such performance or results will be achieved, if achieved at all. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements, including, but not limited to, the factors discussed or referenced under âRisk Factorsâ in the REITâs most recently filed annual information form and managementâs discussion and analysis, each of which are available under the REITâs profile on SEDAR at www.sedar.com. These forward-looking statements have been approved by management to be made as of the date of this press release and, except as expressly required by applicable law, the REIT assumes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
The COVID-19 pandemic has cast additional uncertainty on the REITâs prior expectations, future outlook, anticipated events and projections. There can be no assurance that they will continue to be valid. Given the rapid pace of change with respect to the impact of the COVID-19 pandemic, it is premature to make further assumptions about these matters. The duration, extent and severity of the impact the COVID-19 pandemic, including measures to prevent its spread, will have on the REITâs business is highly uncertain and impossible to accurately predict at this time.