HALIFAX,
NS, March 1, 2023 /CNW/ - (TSXV: NXLV)
– NexLiving Communities Inc. ("NexLiving" or the "Company")
announced today that its acquisition of a 100% interest in
Northpoint Management Inc. ("Northpoint") from Sheaco Holdings Inc.
has closed. Northpoint's key assets are two newly built
multi-family buildings comprising 75 units each located at 2251 and
2261 Mountain Road, Moncton NB.
The Company previously announced its intention to acquire these
buildings on November 4, 2021, with
subsequent updates to the transaction announced on December 5, 2022, and February 21, 2023.
The purchase price for the acquisition was paid by the issuance
of 37,500,000 common shares at a deemed issue price of $0.20 per share (valued at $7.5 million), cash of $1.4 million and a $30.7
million CMHC insured mortgage bearing interest at 4.19% with
a 10-year term.
The Northpoint buildings are located in North Moncton and feature large units with
attractive upgrades including granite countertops, hardwood floors,
stainless steel appliances and energy efficient heat pumps. Each
building contains an elevator and offers residents underground
parking and storage lockers.
Dividend:
The Company's board of directors has approved and declared a
dividend of 0.05 cents per common
share for the quarter ending March
31, representing 0.2 cents per
share on an annualized basis. The dividend is payable on, or after
March 31 to shareholders of record at
the close of business on March 7.
The Company designates these taxable dividends to be paid to its
holders as eligible dividends and will notify the holders such
dividends are being paid as eligible dividends for the purposes of
the Income Tax Act (Canada) and
corresponding provincial legislation.
About the Company
NexLiving continues to execute its plans to acquire recently
built or refurbished, highly leased multi-residential properties in
bedroom communities in Atlantic
Canada. The Company aims to satisfy the needs of the newly
emerging 55+ resident. The demographic that has changed the world
is now changing the way residential rental apartments cater to
their requirements. Their desire for community, along with service,
quality and convenience has led to the emergence of the 55+ active
living segment. Apartments are their next "home", after years of
owning they look forward to the carefree lifestyle provided through
renting in a community of their peers. NexLiving intends to
consolidate this emerging market niche.
For its recently acquired properties in Ontario the Company plans to undertake a
targeted value-add capital program to modernize and reposition the
large 1- and 2-bedroom suites. The Company currently owns 1,166
units in New Brunswick and
Ontario. NexLiving has also
developed a robust pipeline of qualified properties for potential
acquisition. By screening the properties identified to match the
criteria set out by the Company (proximity to healthcare,
amenities, services and recreation), management has assembled a
significant pipeline of potential acquisitions for consideration by
the Company's Board of Directors.
For more information about NexLiving, please refer to our
website at www.nexliving.ca and our public disclosure at
www.sedar.com.
Forward-Looking
Statements
This news release forward-looking information within the meaning
of applicable Canadian securities laws ("forward-looking
statements"). All statements other than statements of
historical fact are forward-looking statements. Often, but not
always, forward-looking statements can be identified by the use of
words such as "plans", "expects", "is expected", "budget",
"scheduled", "projects", "estimates", "forecasts", "intends",
"continues", "anticipates", or "does not anticipate" or "believes"
or variations (including negative variations) of such words and
phrases, or state that certain actions, events or results "may",
"could", "should", "would", "might" or "will" be taken, occur or be
achieved. Forward-looking statements contained in this news release
include, but are not limited to management's expectations of
additional rental increases to come into effect by year end and the
further enhancement of the Company's financial results. Such
forward-looking statements are qualified in their entirety by the
inherent risks and uncertainties surrounding future expectations.
These forward-looking statements reflect the current expectations
of the Company's management regarding future events and operating
performance, but involve known and unknown risks, uncertainties and
other factors which may cause the actual results, performance or
achievements of the Company to be materially different from any
future results, performance or achievements expressed or implied by
such forward-looking statements. Actual events could differ
materially from those projected herein and depend on a number of
factors. These risks and uncertainties are more fully described in
regulatory filings, including the Company's Annual Information
Form, which can be obtained on SEDAR at www.sedar.com, under
NexLiving's profile, as well as under Risk Factors section of the
MD&A released on April 18, 2022.
Although forward-looking statements contained in this new release
are based upon what management believes are reasonable assumptions,
there can be no assurance that actual results will be consistent
with these forward-looking statements. Accordingly, readers should
not place undue reliance on forward-looking statements. The
forward-looking statements in this new release speak only as of the
date of this news release. Except as required by applicable
securities laws, the Company does not undertake, and specifically
disclaims, any obligation to update or revise any forward-looking
statements, whether as a result of new information, future
developments or otherwise, except as required by applicable
law.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this press release.
SOURCE NexLiving Communities Inc.