Killam Announces Three Acquisitions, Adding 492 Units to Portfolio



    HALIFAX, June 25 /CNW/ - Killam Properties Inc. (TSX:KMP/KMP:DB) is
pleased to announce three acquisitions totaling 492 units, including
139 apartment units and 353 manufactured home community (MHC) sites. The
acquisitions increase Killam's total rental portfolio to 15,407 units and
represent the addition of 1,314 units in the first half of the year.
    Killam has acquired 21 Parkland Drive, a newly constructed, 98-unit,
premium concrete apartment building ideally located in Halifax. The
six-storey, fully-occupied building has two bachelor units, 38 one-bedroom
units, 57 two-bedroom units and one penthouse. The average two-bedroom rent of
$1,019 includes underground parking and five appliances. The purchase price of
$13.1 million ($134,000/suite) was satisfied by the assumption of an existing
CMHC first mortgage of $6.6 million at 5.51%, with the balance in cash.
    In Fredericton, Killam recently acquired 1045 Douglas Street, a 41-unit,
three-storey apartment building, consisting of nine one-bedroom units and
32 two-bedroom units. The newly constructed building caters to seniors and has
an average two-bedroom rent of $941/month, includes an elevator and has
underground parking and air conditioned units. The purchase price of
$4.2 million ($102,400/suite) was satisfied by the assumption of an existing
CMHC first mortgage of $2.3 million at 5.6%, with the balance in cash.
    Killam continues to increase its MHC ownership with the acquisition of
Mountainview Estates, a community located just outside Halifax in the suburban
neighbourhood of Lake Echo. The property, consisting of 353 sites on
approximately 168 acres has an average rent of $190/month and is expected to
close in the next two weeks. The fully-occupied community offers a park-like
setting with lake-frontage and water views, baseball diamonds and a large
playground.
    "We are pleased to announce these purchases, which have been primarily
funded with the recently closed equity financing. The two apartment buildings
are both high-quality newly constructed properties. The acquisition of
21 Parkland Drive adds one of the finest assets in Halifax to our portfolio.
We are also pleased to add another large MHC community to our Halifax
portfolio, bringing the current number to five." stated Philip Fraser,
Killam's President and Chief Executive Officer. "We continue to have a robust
acquisition pipeline and anticipate making further acquisition announcements
during the summer."

    Killam Properties Inc, based in Halifax, Nova Scotia, one of Canada's
largest residential landlords, owning and operating multi-family apartments
and manufactured home communities.

    Note: The Toronto Stock Exchange has neither approved or disapproved of
the information contained herein. Certain statements in this report may
constitute forward-looking statements. Such forward-looking statements involve
risks, uncertainties and other factors which may cause actual results,
performance or achievements of Killam to be materially different from any
future results, performance or achievements expressed or implied by such
forward-looking statements. Killam does not undertake to update any of such
forward-looking statements.




For further information:

For further information: Killam Properties Inc., Dale Noseworthy, CA,
CFA   Director, Investor and External Relations,
dnoseworthy@killamproperties.com, (902) 442-0388, Fax: (902) 455-4525,
www.killamproperties.com

Organization Profile

Killam Properties Inc.

More on this organization


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890