Chartwell Retirement Residences (TSX:CSH.UN) agreed to acquire 50% stake in Quebec City Portfolio for approximately CAD 210 million on June 20, 2024. As a part of the acquisition Chartwell will be assuming the current in-place mortgage debt on the Quebec City Portfolio totaling approximately CAD 154 million, being Chartwell's 50% share. Beginning on August 28, 2028, subject to a one-year extension at the vendor's option, Chartwell will have an option to purchase the remaining 50% ownership interest of the Quebec City Portfolio and the vendor will have an option to sell its remaining 50% ownership interest of the Quebec City Portfolio to Chartwell at the then fair market value.

Chartwell intends to use the net proceeds of the Offering, including over-allotment proceeds, if any, to partially fund the cash portion of the purchase price of the Quebec City Portfolio. The acquisition is subjected to customary closing conditions and is expected to close in Q3 2024. Osler, Hoskin & Harcourt LLP acted as legal advisor for Chartwell Retirement Residences.