FREDERICTON, June 25 /CNW/ - Plazacorp Retail Properties Ltd. (PLZ:TSX
Venture) announced today that it will develop five new retail properties.
These development projects are located in Shediac and Miramichi, New
Brunswick, Alexandria, Almonte and Bancroft, Ontario.
In all, the Corporation will be investing approximately $10 million for
its share of these five new developments and will add approximately 130,000
square feet to Plazacorp's portfolio of retail properties. All five (5)
projects are 100% leased to national retailers. The Shediac and the three
Ontario projects are being developed with joint venture partners. Plazacorp
will own a 25% interest in the three Ontario projects. Plazacorp will own 10%
of the Shediac project and receive 50% of the cash flow in excess of an 8%
"We are pleased to be able to continue to grow our portfolio by
developing high quality new projects that are 100% leased to Canada's best
retailers. These projects confirm our ability to creatively structure our
deals in order to manage our capital and meet the needs of our best
customers/retailers. Upon completion, these new properties will further
diversify our asset base and allow us to continue to grow our cash flow and
deliver a reliable dividend to our shareholders." said Plazacorp President and
CEO Michael Zakuta.
In addition, Plazacorp has raised $1.185 million through a private
placement offering of 8% interest only first mortgage bonds for a 7 year term.
The first mortgage bonds are secured by a property located in Edmundston, New
Approximately 27% of the amount raised was subscribed for by certain
directors and insiders of Plazacorp. The transaction is subject to approval of
the TSX Venture Exchange.
Plazacorp Retail Properties Ltd. is an owner of shopping malls and strip
plazas throughout Atlantic Canada, Quebec and Ontario. Plazacorp now owns
interests in 98 properties comprising over 4.4 million square feet of retail
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
For further information:
For further information: on Plazacorp visit our website at www.plaza.ca
or contact: Michael Zakuta, President and CEO, (514) 457-0997 x228; Kim
Sharpe, Director of Business Development, (506) 451-1826