CALGARY, July 29, 2015 /CNW/ - BrightPath Early Learning Inc. ("BrightPath" or the "Company") (TSX-V: BPE), the leading Canadian provider of quality early childhood education and care, announced today its intention to develop its fifth purpose-built early learning centre. The centre is to be located in the London Place West shopping centre owned and managed by First Capital Realty Inc. ("First Capital"). The centre will be modelled on BrightPath's highly successful McKenzie Towne centre, which is also adjacent to a premier First Capital shopping centre. Earlier today, the Company announced it has agreed to monetize its McKenzie Towne building through a sale leaseback transaction on favourable terms.
Located in southwest Calgary, the Richmond Early Learning and Child Care Centre will be strategically located adjacent to key arterial roads providing convenience and visibility to residents in the surrounding areas and commuters along its path. When completed, the centre will comprise approximately 245 licensed spaces in a 20,000 square foot facility on approximately one acre of land. The primary trade area consists of more than 60,000 residents including more than 4,100 children up to five years of age. Management believes that this segment of the Calgary market is significantly under-served with fewer than 850 licensed spaces available; moreover, many of these spaces do not match the standard offered in BrightPath's new, state-of-the-art facilities.
The Company has secured this location by successfully negotiating a long-term ground lease agreement with First Capital subject to issuance of a development permit and other conditions in favour of the landholder. Construction is expected to begin in early 2016.
"As we accelerate the Company's growth, we are excited to add yet another new premium development to our portfolio," said Mary Ann Curran, Chief Executive Officer of BrightPath. "Adding the Richmond Early Learning and Care Centre to an already strong growth program of four new locations that open this year and next results in an additional 1,055 licensed spaces representing a 19% increase in capacity. Previous BrightPath greenfield developments have proven to deliver superior early education, child care and ancillary services to their respective communities while generating significant cash flow and profitability for the Company. Management is focused on building the Company's pipeline through new developments and select acquisitions."
The Richmond Centre will be financed utilizing BrightPath's available credit facility. Based on the success of the Company's previous greenfield developments, and the non-dilutive funding provided for its construction, this centre is expected to significantly enhance the Company's profitability and cash flow.
About BrightPath Early Learning Inc.
BrightPath Early Learning Inc. is a Canadian leader in child care and early education with 52 locations in major markets across the country. Meeting the highest standards in curriculum, nutrition, technology and recreational programing, BrightPath is committed to providing families with the very best child development programs and care Canada has to offer.
For more information, please visit www.BrightPathKids.com/corporate or contact Dale Kearns, President and CFO of BrightPath Early Learning Inc. at (403) 705-0362 Ext. 406.
Certain statements contained herein constitute forward-looking statements regarding the future growth, results of operations, performance and opportunities of the Company. Forward-looking statements can generally be identified by the use of, but not limited to, the following words: "plans", "expects" or "does not expect", "budget", "scheduled", "estimate", "forecast", "pro forma", "anticipate" or "does not anticipate", "believe", "intend", "inferred", "potential" and similar expressions or statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements are not historical facts, but reflect the Company's current expectations regarding future results or events based on information currently available and what the Company believes to be reasonable assumptions. All forward-looking statements are qualified by these cautionary statements.
Forward-looking statements are subject to a number of risks, assumptions and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results or events to differ materially from those expressed, implied or projected include, but are not limited to, general economic conditions, the Company's ability to meet and maintain forecasted occupancy levels, general government policies, continued availability of government child care subsidies to parents, unexpected costs or liabilities related to acquisitions, construction, environmental matters, legal matters, changes in interest rates, credit spreads and the availability of financing. In addition, please refer to the Risks and Uncertainties section of the Company's annual Management's Discussion and Analysis. As such, the Company gives no assurance that actual results will be consistent with these forward-looking statements.
Readers should not place undue reliance on any such forward-looking statements. These forward-looking statements are made as of the date hereof. The Company undertakes no obligation to publicly update or revise any such statement, reflect new information or reflect the occurrence of future events or circumstances, except as required by securities laws.
SOURCE BrightPath Early Learning Inc.
For further information: Dale Kearns, President & CFO, BrightPath Early Learning Inc., Office: (403) 705-0362 Ext. 406, Toll Free: (888) 808-2252, Suite 200, 30 Glendeer Circle SE, Calgary, AB, T2H 2Z7, http://www.brightpathkids.com