WINNIPEG, March 30 /CNW/ - Huntingdon Real Estate Investment Trust
("HREIT") (TSX: HNT.UN) announced today that it has acquired a 25% beneficial
interest of two multi-tenant, light-industrial properties for $3,900,000. The
properties, which are both located in Winnipeg, Manitoba, are as follows:
1. 61 - 155 Paramount Road is a 328,195 square foot property, comprised
of four separate industrial buildings. The property is located on a
16.52-acre site in the northwest section of Winnipeg in the Inkster
2. 60 - 94 Hoka Street is a 106,953 square foot property, comprised of
two separate buildings. The property is located on a 5.56-acre site
in the east end of Winnipeg in an area commonly known as Transcona.
The purchase price represents an estimated 7.5% in-place capitalization
rate. The acquisition is initially financed by an interim first mortgage of
$2,600,000 with interest at 7.84%. Ten year first mortgage financing in the
amount of $4,000,000 with a 5.3% interest rate will be funded May 1, 2007.
The transaction will be completed by HREIT acquiring the 25% beneficial
interest of the properties, which are currently owned by an unrelated third
party. The remaining 75% beneficial interest is owned by 2668921 Manitoba Ltd.
("2668921"). 2668921 is owned by the family trust of Arni Thorsteinson, the
President, Chief Executive Officer and a trustee of HREIT and Mr. Thorsteinson
is the President of 2668921. 2668921 is also the parent company of Shelter
Canadian Properties Limited, the administrator and property manager of HREIT.
The independent trustees of HREIT have approved the transaction. Mr.
Thorsteinson abstained from voting on the resolution approving the
HREIT is a real estate investment trust, which is listed on the Toronto
Stock Exchange under the symbol HNT.UN. The objective of HREIT is to provide
Unitholders with stable and growing cash distributions from investments in a
geographically diversified Canadian portfolio of quality commercial and
industrial real estate properties. There are currently 71,888,568 trust units
outstanding. For further information on HREIT, please visit our website at
This press release contains certain statements that could be considered
as forward-looking information. The forward-looking information is subject to
certain risks and uncertainties, which could result in actual results
differing materially from the forward-looking statements.
The TSX has not reviewed or approved the contents of this press release
and does not accept responsibility for the adequacy or accuracy of this
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: firstname.lastname@example.org