Starlight U.S. Multi-Family Core Fund Files Preliminary Prospectus for Initial Public Offering

/NOT FOR DISSEMINATION IN THE UNITED STATES/

TORONTO, Feb. 26, 2013 /CNW/ - Starlight U.S. Multi-Family Core Fund (the "Fund") announced today that it has filed, and obtained a receipt for, a preliminary prospectus for an initial public offering of limited partnership units with the securities commissions of all provinces in Canada.  The preliminary prospectus qualifies the distribution (the "Offering") of a minimum of US$37.5 million and a maximum of US$75 million of Class A Units, Class U Units, Class I Units and/or Class C Units of the Fund at a price of C$10.00 per Class A Unit, Class I Unit and Class C Unit and US$10.00 per Class U Unit.

The Fund was established for the primary purpose of indirectly acquiring, owning and operating a portfolio of diversified income producing rental properties in the U.S. multi-family real estate market. On completion of the Offering, the Fund will acquire a portfolio of three multi-family residential properties that comprise a total of 740 suites, all of which are located in Texas for an aggregate purchase price of approximately US$81.25 million, to be satisfied by way of approximately US$29.56 million in cash from the proceeds of the Offering, US$17.5 million in cash from new mortgage financings and the assumption of mortgages in the principal amount of approximately US$34.19 million. The balance of the net proceeds of the Offering will be used to acquire additional income producing multi-family properties in the U.S., consistent with the primary purpose of the Fund, and for working capital purposes.

Starlight Investments Ltd. ("Starlight") is the promoter of the Fund and will also act as manager of the Fund. Starlight is a privately held real estate investment management company that currently manages approximately $3 billion of Canadian commercial and residential properties.

The Fund has received commitments from an affiliate of Starlight, principals of Starlight and certain other investors known to Starlight and a Canadian fund manager, on behalf of funds managed by it, to subscribe for approximately 20% of the gross proceeds of the Offering.

The syndicate of agents for the Offering is being led by CIBC and includes National Bank Financial Inc., Raymond James Ltd., Scotiabank, GMP Securities L.P., Macquarie Private Wealth Inc., Canaccord Genuity Corp., Desjardins Securities Inc. and Dundee Securities Ltd. (collectively, the "Agents").

This press release does not constitute an offer to sell or the solicitation of an offer to buy securities of the Fund in the United States, nor shall there be any sale of the securities of the Fund in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended (the "1933 Act"), and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the 1933 Act and applicable state securities laws.

A preliminary prospectus containing important information relating to these securities has been filed with securities commissions or similar authorities in each of the provinces of Canada. The preliminary prospectus is still subject to completion or amendment. Copies of the preliminary prospectus may be obtained from any of the Agents. There will not be any sale or any acceptance of an offer to buy the securities until a receipt for the final prospectus has been issued.

SOURCE: Starlight U.S. Multi-Family Core Fund

For further information:

Evan Kirsh
President, Starlight U.S. Multi-Family Core Fund
647-725-0417
ekirsh@starlightus.com