NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
FOR IMMEDIATE RELEASE JANUARY 10, 2012
PURE INDUSTRIAL REAL ESTATE TRUST ANNOUNCES $46.9 MILLION OF PROPERTY ACQUISITIONS AND $26.5 MILLION EQUITY FINANCING
Pure Industrial Real Estate Trust (TSXV: AAR.UN) ("PIRET")
announced today that it has entered into agreements to
acquire $46.9 million of income producing properties (the
"Acquisitions"), consisting of four industrial properties
representing approximately 579,318 square feet of gross
leasable area ("GLA") located in Ontario, British Columbia
and Manitoba. The Acquisitions consist of a portfolio of two
buildings and excess land located in Pickering, Ontario (the
"Pickering Property"), and single properties located in
Oakville, Ontario (the "Oakville Property"), Delta, British
Columbia (the "Delta Property") and Winnipeg, Manitoba (the
"Winnipeg Property"). The properties are being acquired at a
weighted average going-in capitalization rate of 7.53%.
PIRET has also entered into an agreement to sell to a
syndicate of underwriters led by Canaccord Genuity Corp. and
Dundee Securities Ltd. (the "Underwriters"), on a
bought deal basis, 6,300,000 trust units ("Units")
at a price of $4.20 per Unit for gross proceeds to PIRET of
approximately $26.5 million (the "Financing").
PIRET has also granted the Underwriters an over-allotment
option to purchase up to an additional 945,000 Units on the
same terms and conditions, exercisable at any time, in whole
or in part, up to 30 days after the closing of the Financing.
The Financing is expected to close on or about January 31,
2012 and is subject to regulatory approval.
The proceeds from the Financing will be used to fund the
Acquisitions, repay short-term debt and for general corporate
purposes.
The Pickering Property consists of one single tenant
industrial building and one multi-tenant industrial building
comprising an aggregate of approximately 325,680 square feet
of GLA and approximately six acres of land that can
accommodate two additional buildings totaling approximately
115,000 square feet of additional GLA. The Pickering Property
is currently 93% leased to a variety of high quality national
and regional tenants with a weighted average lease term of
approximately 3.6 years.
The Oakville Property represents approximately 94,998 square
feet of GLA and is 100% leased to a high quality national
tenant with a weighted average lease term of approximately
7.5 years. The purchase price for the Oakville Property is
$10.6 million, representing a 6.75% capitalization rate.
The Delta Property represents approximately 46,300 square
feet of GLA and is 100% leased to a single tenant with a
remaining lease term of approximately 4.7 years. The purchase
price for the Delta Property is $4.45 million, representing a
6.5% capitalization rate.
The Winnipeg Property represents approximately 112,340 square
feet of GLA and is 100% leased to a single high quality
international tenant with a remaining lease term of
approximately four years. The purchase price for the Winnipeg
Property is $9.7 million, representing a 7.76% capitalization
rate.
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The purchase price of the Acquisitions is expected to be
settled with the proceeds of the Financing and approximately
$27.1 million of mortgage financing bearing an anticipated
weighted average interest rate of 3.8%.
Darren Latoski, Co-CEO of PIRET, said "PIRET is continuing to
identify high quality, well tenanted industrial properties
across Canada which we can acquire on an accretive basis.
PIRET is continuing to take advantage of our well-established
pipeline of acquisition opportunities and our access to
capital in order to strengthen our status as Canada's only
publicly traded REIT focused exclusively on industrial real
estate."
*********
About Pure Industrial Real Estate Trust
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. For more information please
contact:
Andrew Greig,
Director of Investor Relations
Phone: (604) 681-5959 or (888) 681-5959
E-mail: agreig@piret.ca www.piret.ca
TSX Venture Exchange - AAR.UN
Forward-Looking Information:
Certain statements contained in this news release may constitute forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "plan", "expect", "may", "will", "intend", "should", and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Forward looking statements in this news release include that the Financing is expected to close on or about January 31, 2012 and that the purchase price of the Acquisitions is expected to be settled with the proceeds of the Financing. The forward-looking statements contained in this news release are based on certain key expectations and assumptions made by PIRET, including: expectations and assumptions concerning receipt of required regulatory approvals and the satisfaction of other conditions to the completion of and use of proceeds from the Financing.
Although PIRET believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because PIRET can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the failure to obtain necessary regulatory approvals or satisfy the conditions to closing the Financing, competitive factors in the industries in which PIRET operates, prevailing economic conditions, and other factors, many of which are beyond the control of PIRET.
The forward-looking statements contained in this news release represent PIRET's expectations as of the date hereof, and are subject to change after such date. PIRET disclaims any intention or obligation to update or
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revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.
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.
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR
FOR DISSEMINATION IN THE UNITED STATES.
CW4928817.5
distribué par | Ce noodl a été diffusé par Pure Industrial Real Estate Trust et initialement mise en ligne sur le site http://www.piret.ca. La version originale est disponible ici. Ce noodl a été distribué par noodls dans son format d'origine et sans modification sur 2012-01-10 23:27:02 PM et restera accessible depuis ce lien permanent. Cette annonce est protégée par les règles du droit d'auteur et toute autre loi applicable, et son propriétaire est seul responsable de sa véracité et de son originalité. |
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