TORONTO, Sept. 26, 2014 /CNW/ - CT Real Estate Investment Trust (CT REIT), (TSX: CRT.UN) today announced that it has purchased three properties in Ontario from Partners REIT for $34.9 million dollars, excluding transaction costs. The properties, located in Brockville, Strathroy and Wasaga Beach, are expected to have a weighted average going-in cap rate of 6.53%. Each is comprised of a single building leased to Canadian Tire Corporation, Limited (CTC), comprising a total of 192,295 square feet and originally built by CTC and sold in 2008.
The purchase was funded by the assumption of three mortgages totaling $19.2 million dollars and by a draw on CT REIT's line of credit. The mortgages bear interest at 3.4% and mature January 1, 2018.
The transaction was completed in September.
About CT Real Estate Investment Trust
CT Real Estate Investment Trust (TSX:CRT.UN) is an unincorporated, closed end real estate investment trust formed to own income producing commercial properties primarily located in Canada. Its portfolio is comprised of more than 260 properties totaling approximately 20 million square feet of GLA, consisting primarily of retail properties located across Canada. Canadian Tire Corporation, Limited is CT REIT's most significant tenant. For more information, visit ctreit.com.
This press release contains forward-looking information within the meaning of applicable securities legislation, which reflects CT REIT's current expectations regarding future events, including with respect to the terms, timing of closing, mortgage financing and capitalization rate of the property acquisitions described above. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond CT REIT's control, that could cause actual results and events to differ materially from those that are disclosed in or implied by such forward-looking information. Such risks and uncertainties include, but are not limited to the factors discussed under "Risk Factors" in CT REIT's 2013 Annual Information Form and its MD&A for the period ended June 30, 2014, which are both available on CT REIT's website at www.ctreit.com and on SEDAR at www.sedar.com. CT REIT does not undertake any obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.
SOURCE: CT REIT
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