TORONTO, Dec. 22, 2021 (GLOBE NEWSWIRE) — European Residential Real Estate Investment Trust (TSX:ERE.UN, “ERES” or the “REIT”) announced today that it has completed the acquisition of a portfolio of eight properties containing an aggregate of 137 single-family homes located throughout the Netherlands (the “Octo Portfolio”).
The Octo Portfolio has been acquired for a combined purchase price of €36.3 million (C$52.9 million) (excluding transaction costs and fees). The acquisition is being funded via long-term mortgage financing secured in combination with the previously announced Willem and Panorama transactions.
The Octo Portfolio properties are located in the municipalities of Leiderdorp, Voorhout, Boskoop, Wierden, Amersfoort, Vlijmen and Middelburg, with 55% of the units based in the Randstad region and all units located nearby properties currently owned by the REIT, that will allow for the portfolio to be efficiently and productively managed by ERES’s existing property manager in the region. The single-family homes are currently 99% occupied, and will be 100% owned by ERES. Approximately 70% of the units are liberalized, with majority of remaining units eligible for liberalization upon turnover, providing significant potential for rental uplifts across the portfolio.
“We are extremely pleased to be accelerating our rate of growth and further expanding our high-quality portfolio with our final acquisition of this year. The Octo Portfolio represents a unique collection of single-family homes, which positively complements ERES’s existing investments, providing incremental, beneficial diversification to our asset profile,” commented Phillip Burns, CEO of ERES. “This further evidences the runway of opportunity that continues to exist in the Dutch multi-residential market, and its continued ability to support ERES’s long-term growth in the country.”
ERES is an unincorporated, open-ended real estate investment trust. ERES’s Units are listed on the TSX 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 152 multi-residential properties, comprised of 6,545 suites and ancillary retail space located in the Netherlands, and owns one office property 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.
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 ERES’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.
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|Mr. Phillip Burns||Mr. Stephen Co|
|Chief Executive Officer||Chief Financial Officer|