Crombie REIT (TSX:CRR.UN)
STELLARTON, NS, Oct. 7, 2013 /CNW/ - Crombie Real Estate Investment
Trust (TSX: CRR.UN) ("Crombie") today announced that it has been
assigned a DBRS Provisional Rating of BBB (low) with a Stable trend.
This is the first time DBRS has rated Crombie. In its report, DBRS
noted Crombie's steady earnings growth resulting from property
acquisitions from Empire Company Limited ("Empire") and Sobeys Inc.
("Sobeys") including properties to be acquired from Sobeys as part of
the pending Canada Safeway transaction, as well as third-party vendors;
the quality and defensive nature of Crombie's grocery and drugstore
anchored retail properties; improving geographic diversification in
urban markets; and the long term leases with Sobeys, Crombie's major
tenant. DBRS also noted Crombie's track record of consistent,
conservative financial management.
"Crombie is pleased to have achieved this institutional investment grade
credit rating as it acknowledges the quality and growth of our national
real estate portfolio and platform" said Donald Clow, FCA, Chief
Executive Officer of Crombie. "Earning an investment grade credit
rating from DBRS may provide Crombie with access to new sources of
capital, additional liquidity and further financial flexibility which
helps Crombie deliver on our long term strategy. The competitive
advantage we derive from our strategic relationship with Empire and
Sobeys has provided us with the opportunity to soon acquire 68 Canada
Safeway locations which we expect will be instrumental in continuing
our long-term strategy of building our national portfolio of grocery
and drug store anchored retail properties with emphasis on Canada's Top
To view the full DBRS news release, visit http://www.dbrs.com/research/261386/dbrs-assigns-a-provisional-rating-of-bbb-low-to-crombie-reit-stable-trend.html.
Crombie is an unincorporated, open-ended real estate investment trust
established under, and governed by, the laws of the Province of
Ontario. Crombie currently owns a portfolio of 180 commercial
properties across Canada, comprising approximately 14.6 million square
feet with a strategy to own and operate a portfolio of primarily high
quality grocery and drug store anchored shopping centers and
freestanding stores focused primarily on Canada's top 36 markets.
This news release may contain forward-looking statements that reflect
the current expectations of management of Crombie about Crombie's
future results, performance, achievements, prospects and opportunities.
Wherever possible, words such as "continue", "may", "will", "estimate",
"anticipate", "believe", "expect", "intend" and similar expressions
have been used to identify these forward-looking statements. These
statements reflect current beliefs and are based on information
currently available to management of Crombie, and include, without
limitation, statements regarding: potential new sources of capital
providing further opportunities to gain additional liquidity and
financial flexibility, which may be impacted by debt market conditions
from time to time; and completion of the acquisition of Safeway
properties which may be impacted by regulatory approvals and other
Readers are cautioned that such forward-looking statements are subject
to certain risks and uncertainties that could cause actual results to
differ materially from these statements. Crombie can give no assurance
that actual results will be consistent with these forward-looking
statements. A number of factors, including those discussed under "Risk
Management" in Crombie's annual Management Discussion and Analysis for
the year ended December 31, 2012, could cause actual results,
performance, achievements, prospects or opportunities to differ
materially from the results discussed or implied in the forward-looking
statements. These factors should be considered carefully and a reader
should not place undue reliance on the forward-looking statements.
There can be no assurance that the expectations of management of
Crombie will prove to be correct.
SOURCE: Crombie REIT
For further information:
Glenn Hynes, FCA
Chief Financial Officer and Secretary