Halifax, Nova Scotia, November 3, 2008 (TSX: HII.A & HII.B and NYSE
Euronext Amsterdam: HII)- Mr. Richard Homburg, Chairman and CEO of
Homburg Invest Inc. ("Homburg Invest" or "HII") announces that the
previously reported proposed joint venture with Cedar Shopping
Centres Inc. ("Cedar") to purchase 32 properties has been cancelled.
Mr. Homburg states that:
"HII had substantially completed its due diligence in respect of the
proposed joint venture, however recent unprecedented financial events
have caused the virtual collapse of world capital markets directly
causing the cancellation of this joint venture. Unless governments
get banks back to the business of lending, business will be forced to
re-evaluate and make harsh decisions in order to deal with current
economic circumstances."
The joint venture had proposed the acquisition of 27 properties in
Ohio (primarily drug-store anchored), 2 properties in Pennsylvania
and 3 properties in New York State totaling slightly more than 1
million square feet for an approximate cost of US$ 128.9 million.
The joint venture had been scheduled to close on or about December
15, 2008 subject to due diligence and final Board of Directors
approval and saves HII its capital contribution of approximately USD
$50 million.
Homburg, with its head office in Halifax, Nova Scotia, is an
international real estate investment and development company that
owns a diversified portfolio of quality real estate, including
office, retail, industrial and residential apartment and townhouse
properties in Canada, Europe and the United States. The Company also
owns land assets for development in Calgary and Edmonton, Alberta;
Montreal, Quebec; and Charlottetown, Prince Edward Island. In 2007,
Homburg completed significant acquisitions totaling over
approximately CAD$ 1.1 billion and as of December 31, 2007 has assets
of over CAD$ 3.8 billion with an approximate aggregate of 18.2
million square feet of gross leasable area.
-30-
For further information, please contact:
Mr. Richard Homburg,
Chairman and CEO
Homburg Invest Inc.
902-468-3395
or
Richard Stolle
President and COO
Homburg Invest Inc.
011 31 20 573 3855
This news release may contain statements which by their nature are
forward looking and express the Company's beliefs, expectations or
intentions regarding future performance, future events or trends.
Forward looking statements are made by the Company in good faith,
given management's expectations or intentions however, they are
subject to market conditions, acquisitions, occupancy rates, capital
requirements, sources of funds, expense levels, operating performance
and other matters. Therefore, forward looking statements contain
assumptions which are subject to various factors including: unknown
risks and uncertainties: general economic conditions; local market
factors; performance of other third parties; environmental concerns;
and interest rates, any of which may cause actual results to differ
from the Company's good faith beliefs, expectations or intentions
which have been expressed in or may be implied from this news
release. Therefore, forward looking statements are not guarantees of
future performance and are subject to known and unknown risks.
Information and statements in this document, other than historical
information, should be considered forward-looking and reflect
management's current views of future events and financial performance
that involve a number of risks and uncertainties. Factors that could
cause actual results to differ materially include, but are not
limited to, the following: general economic conditions and
developments within the real estate industry, competition and the
management of growth. The Toronto Stock Exchange has neither approved
nor disapproved of the information contained herein.
This announcement was originally distributed by Hugin. The issuer is
solely responsible for the content of this announcement.
http://hugin.info/138798/R/1265871/278687.pdf
Copyright © Hugin AS 2008. All rights reserved.
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