WINNIPEG, June 2 /CNW/ - Huntingdon Real Estate Investment Trust
("HREIT") (TSX: HNT.UN) announced that it has completed the sale of a retail
property in Okotoks, Alberta, known as Westland Plaza. The property was sold
for $3,513,000 and resulted in net cash to HREIT of approximately $672,000,
after expenses and the repayment of approximately $2.67 million of first
HREIT also announced that it has entered into an unconditional agreement
to sell a retail centre in Fort Saskatchewan, Alberta, known as Southland
Square for $1,725,000, subject to the usual closing adjustments. The sale is
expected to result in net cash to HREIT of approximately $600,000, after
expenses and the repayment of approximately $1.02 million first mortgage debt.
The sale is scheduled to close on July 1, 2009.
HREIT will use the majority of the net cash from the sales to repay other
higher cost interim mortgage debt. HREIT expects to record a gain on the above
transactions of approximately $1.2 million.
Pursuant to HREIT's previously announced plans to divest assets and
reduce debt, additional property sales are under conditional contract and
expected to close during the second half of 2009.
HREIT is a real estate investment trust, which is listed on the Toronto
Stock Exchange under the symbols HNT.UN (Trust Units) and HNT.DB.C (Series C
Convertible Debentures). HREIT owns 72 income producing office, industrial,
retail and standalone parking lot properties that have a total gross leaseable
owned area of 4.8 million square feet; two land parcels held for development
and other development and expansion opportunities within the existing
portfolio. The properties are located in Manitoba, Ontario, Saskatchewan,
Alberta, British Columbia and Northwest Territories. HREIT also owns CRESI
Inc., a third party property management business. For further information on
HREIT, please visit our website at www.hreit.ca.
The Toronto Stock Exchange has not reviewed or approved the contents of
this press release and does not accept responsibility for the adequacy or
accuracy of this press release.
For further information:
For further information: Arni Thorsteinson, President & Chief Executive
Officer, or Gino Romagnoli, Investor Relations, Tel: (204) 475-9090, Fax:
(204) 452-5505, Email: email@example.com