VANCOUVER,
May 16, 2012 /PRNewswire/ - Pure
Industrial Real Estate Trust ("PIRET" or the "REIT") (TSXV: AAR.UN)
today announced it has entered into an agreement to acquire two
fully leased, single tenant, income producing industrial properties
for a total purchase price of $19,500,000.
The properties are located at 515 Welham Road in
Barrie, Ontario and 12155 -
154th Street in Edmonton,
Alberta. The properties have a combined total rentable
area of 187,753 square feet and are 100% leased on a fully net
basis for 20 years to a leading private designer and manufacturer
of specialized heavy equipment attachments for companies dedicated
to servicing the construction, resource, forestry and mining
industries. PIRET will acquire the properties on an all cash basis
and fund the acquisition with equity from the bought deal financing
closed on March 1, 2012. PIRET
will finance the assets post-closing with a new first mortgage of
up to 65% of the purchase price at an anticipated rate of no more
than 3.80%. The assets will be acquired at an attractive
going-in capitalization rate of 8.00%.
PIRET also announced today the successful closing
of the $7,275,000 previously
announced acquisition of the investment property located at 230
Barmac Drive in North York,
Ontario. This single tenant property has a total rentable
area of 118,225 square feet and is 100% leased to a leading private
distributor of apparel that has been in business since 1954.
PIRET acquired the property on an all cash basis and funded the
acquisition with equity from the bought deal financing closed on
March 1, 2012. PIRET will
finance the asset post-closing with a new first mortgage of up to
65% of purchase price at an anticipated rate of no more than 3.80%.
The asset was acquired at a going-in capitalization rate of
6.50%.
After completing these announced transactions,
PIRET's portfolio will total approximately 5.0 million square
feet. The REIT's year-to-date acquisitions are summarized
below:
|
|
|
|
|
|
Address |
Municipality |
GLA (sf) |
Price
($million) |
Cap
Rate |
Occupancy |
7830 Vantage Way |
Delta, BC |
46,300 |
$ 4.5 |
6.50% |
100% |
925 - 931 Brock Road |
Pickering, ON |
325,680 |
22.1 |
8.00% |
93% |
1345 Redwood Avenue |
Winnipeg, BC |
112,340 |
9.7 |
7.76% |
100% |
2440 Winston Park Drive |
Oakville, ON |
94,988 |
10.5 |
6.75% |
100% |
230 Barmac Drive |
North York, ON |
118,225 |
7.3 |
6.50% |
100% |
|
|
697,533 |
$ 54.1 |
7.39% |
97% |
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
NEITHER THE TSX VENTURE EXCHANGE NOR ITS
REGULATION SERVICES PROVIDER (as that term is defined in the
policies of the TSX Venture Exchange) HAS REVIEWED OR ACCEPTS
RESPONSIBILITY FOR THE ADEQUACY OR THE ACCURACY OF THIS
RELEASE.
SOURCE Pure Industrial Real Estate Trust (PIRET)