VANCOUVER, Feb. 22, 2012 /PRNewswire/ - Pure Industrial Real
Estate Trust ("PIRET" or "REIT") (TSXV: AAR.UN) today provides an
update on recent operational activities.
PIRET has refinanced $23
million of existing mortgages on eight properties. The net
result of the refinancing is a reduction in the average interest
rate on these mortgages of 180 basis points or 35%, and a savings
of approximately $243,000 per annum.
The new mortgages have a term of five years and an amortization of
25 years, with the resultant portfolio effect of extending PIRET's
weighted average debt-to-maturity from 5.1 years to 5.5 years and
decreasing the weighted average interest rate from 4.80% to
4.63%.
PIRET also announces that it has finalized an
early lease renewal with Martin
Brower of Canada Co., located in 36,728 square feet at 1725
Inkster Boulevard, a multi-tenant industrial warehouse in
Winnipeg, MB that PIRET acquired
on July 14, 2011. The new lease
commenced December 1, 2011 at net
rental rates higher than the expiring term, with built in
contractual rent increases.
PIRET has also renewed the Shanahan's Limited
Partnership leases, totaling 68,405 square feet, in Calgary, AB and Winnipeg, MB. These new leases have been
renewed at rates 6% higher than the expiring rates, with rent steps
over the term.
"These refinancings and lease renewals are in
keeping with PIRET's active asset management strategy and further
our goal of predictability of cash flow through long term, net
leases and debt maturities," said Darren
Latoski, Co-CEO of PIRET.
Finally, PIRET announces that for the second
year in a row the TSX Venture Exchange has ranked PIRET in the top
ten listed companies in the Diversified Industries category in the
2012 TSX Venture 50. The 2012 TSX Venture 50 is comprised of ten
companies from each of five sectors; Clean Technology, Mining, Oil
& Gas, Diversified Industries, and Technology & Life
Sciences. The 2012 TSX Venture 50 companies were chosen based on
the following criteria, with equal weighting assigned to each:
share price appreciation, trading volume, market capitalization
growth and analyst coverage.
About Pure Industrial Real Estate Trust
(PIRET)
PIRET is an unincorporated, open-ended
investment trust established for the purposes of acquiring, owning
and operating a diversified portfolio of income-producing
industrial properties in primary markets across Canada. PIRET focuses exclusively on investing
in industrial properties and is the only publicly traded vehicle in
Canada that offers investors
exclusive exposure to Canada's
industrial asset class.
Additional information about PIRET is available
at www.piret.ca or www.sedar.com.
TSX Venture Exchange - AAR.UN
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND
DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR THE ACCURACY OF
THIS RELEASE.
SOURCE Pure Industrial Real Estate Trust (PIRET)