TORONTO, Nov. 12, 2020 (GLOBE NEWSWIRE) — Mitchell Cohen, President and Chief Executive Officer of Urbanfund Corp. (TSX Venture: âUFCâ) (âUrbanfundâ or, the âCompanyâ), announced today that the Company, along with Westdale Construction Limited (âWestdaleâ), has completed the previously-announced acquisition of the 110 unit The Manors Luxury Apartment portfolio located in Dartmouth, Nova Scotia. An incorporated subsidiary, West Mic Mac Properties Inc. (the âPurchaserâ), will purchase the portfolio with the Company being a 20% shareholder and Westdale holding the remaining 80% interest.
âUrbanfund is very excited to be part of this opportunity to purchase an interest in this 2-building luxury portfolio,â stated Mitchell Cohen. âThis spectacular property on over 4 acres of treed-lands will be a worthy addition to our mixed-use asset base.â
âThis acquisition is proximate to our current Dartmouth holdings with 110 ‘condo quality’ units overlooking the water,â stated Cohen.
The Manors Luxury Apartment Portfolio offers a variety of large 1, 2 and 3-bedroom suites of exceptional quality over 2 separate buildings built in 1981. The luxury project caters primarily to âempty-nestersâ with its spacious units, ample terraces, generous outdoor amenity space and proximity to local transit, shopping and greenspace.
The Purchaser purchased the portfolio for $17,000,000 plus customary closing costs. The purchase price was funded by a $11,800,000 mortgage and the balance by pro rata equity subscriptions from the Company and Westdale. The Companyâs subscription for a 20% interest in the Purchaser was satisfied with cash on-hand. The Company provided a limited guarantee of the mortgage proportionate to its interest in the Purchaser. Property Management will be the responsibility of Westdale and will be compensated at market rates.
âWe have been waiting to pick up these types of assets in such a highly desired location and we executed on it,â noted Cohen. âWith its proximity to our other Dartmouth assets, we will look to take advantage of economies of scale.â The portfolio is in the Micmac Village area of Dartmouth which is a popular, vibrant and affluent community characterized by a highly educated and affluent demographic. Situated along the Lake Banook Trail, the neighbourhood is defined by its beautiful landscaped and natural surroundings, including walking trails and parks. The buildings are located right across the street from Mic Mac Mall, Dartmouthâs major mall.
ABOUT URBANFUND CORP.
Urbanfund Corp. is a Toronto-based real estate development and operating company. Urbanfundâs focus is to identify, evaluate and invest in real estate or real estate related projects. The Companyâs assets are located in Brampton, Belleville, Kitchener, London and Toronto, Ontario, Quebec City and Montreal, Quebec and Dartmouth, Nova Scotia. The Companyâs strategy going forward remains committed to seek accretive real estate or real estate-related opportunities.
This press release contains certain forward-looking statements, which reflect Managementâs âexpectations regarding the Companyâs growth, results of operations, performance and business prospects and opportunities. Statements about acquisition of the Bellbrook and Regal Luxury âApartment portfolio in Dartmouth, Nova Scotia constitute forward-looking statements. Wherever âpossible, words such as âmayâ, âwillâ, âshouldâ, âcouldâ, âexpectâ, âplanâ, âintendâ, âanticipateâ, âââbelieveâ, âestimateâ, âpredictâ or âpotentialâ or the negative or other variations of these words, or âsimilar words or phrases, have been used to identify these forward-looking statements. These âstatements reflect Managementâs current beliefs and are based on information currently âavailable to management as at the date hereof.â
Forward-looking statements involve significant risk, uncertainties and assumptions. Many factors âcould cause actual results, performance or achievements to differ materially from the results âdiscussed or implied in the forward-looking statements. These factors should be considered âcarefully and readers should not place undue reliance on the forward-looking statements. âAlthough the forward-looking statements contained in this press release are based upon what âmanagement believes to be reasonable assumptions, the Company cannot assure readers that âactual results will be consistent with these forward-looking statements. These forward-looking âstatements are made as of the date of this press release, and the Company assumes no âobligation to update or revise them to reflect new events or circumstances, except as required âby law. Many factors could cause the actual results, performance or achievements of the âCompany to be materially different from any future results, performance or achievements that âmay be expressed or implied by such forward-looking statements, including: general economic âand market segment conditions, interest rates, costs outside of the Companyâs control such as Real Estate Taxes and utilities, the ability of tenants to satisfy their contractual rent âobligations and any unforeseen repair, maintenance or replacement of the Companyâs assets. âMore detailed assessment of the risks that could cause actual results to materially differ than âcurrent expectations is contained in the âRisks and Uncertainties” section of the Companyâs most ârecent Managementâs Discussion and Analysis.â
For further information, please contact:
President, Chief Executive Officer and Director
406-703-1877 extension 2025
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