PROREIT completes $49.3-mill acquisition

Tuesday, September 17, 2019

PRO Real Estate Investment Trust (PROREIT) to purchase six properties – five light industrial buildings in Halifax and one boutique office tower in Ottawa – for $49.3 million.

“We are pleased to have successfully closed these six properties, which represent slightly over 50% of the total purchase price of the seven acquisitions announced last month, with the remaining mixed-used industrial property located in Kanata, Ontario, expected to close in the coming weeks,” said Jim Beckerleg, President and CEO, PROREIT in the REIT’s press release.

Located in Burnside Industrial Park, the portfolio of five light industrial buildings in Halifax was acquired for an aggregate purchase price of $28.1 million from a domestic institution. The portfolio consists of 357,824 square feet of gross leasable area (GLA).

The Ottawa property is an institutionally-owned and managed 11-storey boutique office tower situated in the heart of Ottawa’s central business district, acquired for $21.2 million. The building, which features 58,203 square feet of premium office and ground floor retail space, occupies a valuable corner location that benefits from excellent visibility and accessibility.

“Our financial position has never been stronger. Our recent successful equity raise and exceptional mortgage offerings allow us to finance these purchases on a accretive basis to our AFFO per unit, while also reducing our leverage,” Beckerleg added. “The focus will now be on integrating these new assets, and on continuing to build and diversify our high-quality portfolio.”

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