/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES./
TORONTO, Dec. 16, 2020 /CNW/ – Choice Properties Real Estate Investment Trust (“Choice Properties” or the “Trust“) (TSX: CHP.UN) announced today that the Board of Trustees of Choice Properties declared a cash distribution for the month of December 2020 of $0.061667 per trust unit, representing $0.74 per trust unit on an annualized basis, payable on January 15, 2021 to Unitholders of record at the close of business on December 31, 2020.
Choice Properties further announced today that its Board of Trustees also declared a special non-cash distribution of $0.09 per trust unit, payable on December 31, 2020 to Unitholders of record at the close of business on December 31, 2020 (the “Special Distribution“). The Special Distribution is principally being made to distribute to Unitholders a portion of the capital gain realized by the Trust from transactions completed during the twelve-month period ended December 31, 2020. Accordingly, the Special Distribution will be in the form of a capital gain for Canadian income tax purposes.
Canadian resident Unitholders will generally be required to include their proportionate share of the Trust’s income and net taxable capital gain for the 2020 tax year as allocated and designated by the Trust in computing their respective income for the 2020 tax year.
The Special Distribution will be paid at the close of business on December 31, 2020 solely by the issuance of additional trust units that will have a fair market value equal to the dollar amount of the Special Distribution and which will be based on the closing price of the trust units on the TSX on December 31, 2020. Immediately after the payment of the Special Distribution, the issued and outstanding trust units will be consolidated such that the aggregate number of issued and outstanding trust units will be the same as immediately before the Special Distribution. The amount of the Special Distribution will increase the adjusted cost base of Unitholders’ consolidated trust units. Unitholders not resident in Canada for Canadian federal income tax purposes may be subject to applicable withholding taxes in connection with the payment of the Special Distribution.
About Choice Properties Real Estate Investment Trust
Choice Properties, Canada’s preeminent diversified real estate investment trust, is the owner, manager and developer of a high-quality portfolio comprising 726 properties totaling 65.3 million square feet of gross leasable area. Choice Properties owns a portfolio comprised of retail properties predominantly leased to necessityâbased tenants; industrial, office and residential assets concentrated in attractive markets; and offers an impressive and substantial development pipeline. Choice Properties’ strategic alliance with its principal tenant, Loblaw Companies Limited, the country’s leading retailer, is a key competitive advantage providing long-term growth opportunities. For more information, visit Choice Properties’ website at www.choicereit.ca and Choice Properties’ issuer profile at www.sedar.com.
SOURCE Choice Properties Real Estate Investment Trust
View original content to download multimedia: http://www.newswire.ca/en/releases/archive/December2020/16/c2625.html