TORONTO, June 30, 2020 /CNW/ – Summit Industrial Income REIT (“Summit” or the “REIT”) (TSX: SMU.UN) today provided an update on its rent collections for the month of June 2020. The REIT continues to closely monitor developments related to the pandemic and is following all guidelines issued by the federal and provincial governments.
As of June 30, 2020, the REIT had collected approximately 90.7% of total June rents. In addition, the REIT has agreed on rent deferrals with payment plans for a further 4.8% of tenants, and another 2.9% of tenants have been granted free rent for a period in exchange for lease extensions at higher monthly rents. In total, 98.4% of June rents have either been collected or arrangements made with tenants.
|
Portfolio |
Collected |
Arrangements |
Total |
|
Ontario |
94.0% |
5.2% |
99.2% |
|
Quebec |
89.3% |
10.4% |
99.7% |
|
Alberta |
86.0% |
10.5% |
96.5% |
|
Total |
90.7% |
7.7% |
98.4% |
As of June 30, 2020, portfolio occupancy was strong at 98.7%. The REIT’s proactive leasing activities are continuing, with only 300,479 square feet remaining to be renewed in 2020, the majority in the fourth quarter of the year, representing only 1.65% of the total portfolio, down from 3.4% at March 31, 2020.
The REIT also announced today that it had arranged for a blend and extend of an existing mortgage on a recent Greater Toronto Area acquisition that was to mature in 2021. The new mortgage was increased by $20.0 million for an eight-year term at an interest rate of 3.05% with a blended average interest rate of approximately 3.45%.
“We were pleased to have enhanced and strengthened our liquidity position with this new mortgage. We are also pleased that our rent collections remain strong and stable during these challenging times, and that we are maintaining our historically high occupancies across the portfolio,” commented Paul Dykeman, Chief Executive Officer.
About Summit
Summit Industrial Income REIT is an unincorporated open-end trust focused on growing and managing a portfolio of light industrial properties across Canada. Summit’s units are listed on the TSX and trade under the symbol SMU.UN. For more information, please visit our web site at www.summitIIreit.com.
Caution Regarding Forward Looking Information
This news release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. The use of any of the words “expect”, “anticipate”, “continue”, “estimate”, “objective”, “ongoing”, “may”, “will”, “project”, “should”, “believe”, “plans”, “intends”, “goal” and similar expressions are intended to identify forward-looking information or statements. More particularly and without limitation, this news release contains forward looking statements and information concerning the goal to build Summit’s property portfolio. The forward-looking statements and information are based on certain key expectations and assumptions made by Summit, including general economic conditions. Although Summit believes that the expectations and assumptions on which such forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward-looking statements and information because Summit can give no assurance that they will prove to be correct. By its nature, such forward-looking information is subject to various risks and uncertainties, which could cause the actual results and expectations to differ materially from the anticipated results or expectations expressed. These risks and uncertainties include, but are not limited to, tenant risks, current economic environment, environmental matters, general insured and uninsured risks and Summit being unable to obtain any required financing and approvals. Readers are cautioned not to place undue reliance on this forward-looking information, which is given as of the date hereof, and to not use such forward looking information for anything other than its intended purpose. Summit undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
SOURCE Summit Industrial Income REIT
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