QUÉBEC CITY, March 27, 2018 /CNW
Telbec/ - Cominar Real Estate Investment Trust ("Cominar" or
the "REIT") (TSX: CUF.UN) confirmed today the closing of its
previously announced sale of its non-core market property portfolio
to Slate Acquisitions Inc. and its designees ("Slate") for gross
proceeds of $1.14 billion. The
non-core market portfolio is composed of 95 properties totalling
6.2 million square feet located in the Greater Toronto Area, the Atlantic Provinces
and Western Canada (the "Non-Core
Market Portfolio"). Slate will be assuming approximately
$106.2 million of mortgage debt and
Cominar intends to use the net proceeds of the transaction for debt
repayment and general trust purposes.
"I am pleased to have closed the sale of Cominar's non-core
market portfolio. This transaction will enable Cominar to focus on
its core markets portfolio in Montreal, Québec City and Ottawa, while also strengthening its balance
sheet," said Sylvain Cossette,
President and Chief Executive Officer of Cominar. "I am also
pleased that the vast majority of the employees affected by this
transaction will continue to be employed and I want to thank all of
those who are leaving us today for their contribution and wish them
the very best of success."
Overview of Non-Core Market Portfolio
|
|
|
Geographic
Market
|
GLA (sq.
ft.)
|
# of
Properties
|
|
Greater Toronto
Area
|
2,466,000
|
24
|
|
Atlantic
Provinces
|
2,587,000
|
57
|
|
Western
Canada
|
1,108,000
|
14
|
Total
|
6,161,000
|
95
|
By Asset
Class
|
GLA (sq.
ft.)
|
# of
Properties
|
|
Office
|
2,815,000
|
35
|
|
Industrial and
mixed-use
|
1,716,000
|
37
|
|
Retail
|
1,630,000
|
23
|
Total
|
6,161,000
|
95
|
PROFILE AS AT MARCH 27,
2018
Cominar is the third largest diversified real
estate investment trust in Canada
and currently remains the largest commercial property owner in the
Province of Quebec. The REIT owns
a real estate portfolio of 430 properties in three different market
segments, that is, office properties, retail properties and
industrial and mixed-use properties. Cominar's portfolio totals
38.2 million square feet spread out across Quebec and Ottawa. Cominar's objectives are to pay
sustainable cash distributions to unitholders and to maximize
unitholder value through proactive management.
FORWARD-LOOKING STATEMENTS
This press release may
contain forward-looking statements with respect to Cominar and its
operations, strategy, financial performance and financial
condition. These statements generally can be identified by the use
of forward-looking words such as "may", "will", "expect",
"estimate", "anticipate", "intend", "believe" or "continue" or the
negative thereof or similar variations. The actual results and
performance of Cominar discussed herein could differ materially
from those expressed or implied by such statements. Such statements
are qualified in their entirety by the inherent risks and
uncertainties surrounding future expectations. Some important
factors that could cause actual results to differ materially from
expectations include, among other things, general economic and
market factors, competition, changes in government regulation and
the factors described under "Risk Factors" in Cominar's Annual
Information Form. The cautionary statements qualify all
forward-looking statements attributable to Cominar and persons
acting on its behalf. Unless otherwise stated, all forward-looking
statements speak only as of the date of this press release. Cominar
does not assume any obligation to update the aforementioned
forward-looking statements, except as required by applicable
laws.
SOURCE COMINAR REAL ESTATE INVESTMENT TRUST