/NOT FOR DISSEMINATION IN THE UNITED STATES/
TORONTO, Feb. 26, 2013 /CNW/ - Starlight U.S. Multi-Family Core Fund
(the "Fund") announced today that it has filed, and obtained a receipt for, a
preliminary prospectus for an initial public offering of limited
partnership units with the securities commissions of all provinces in
Canada. The preliminary prospectus qualifies the distribution (the "Offering") of a minimum of US$37.5 million and a maximum of US$75 million of
Class A Units, Class U Units, Class I Units and/or Class C Units of the
Fund at a price of C$10.00 per Class A Unit, Class I Unit and Class C
Unit and US$10.00 per Class U Unit.
The Fund was established for the primary purpose of indirectly
acquiring, owning and operating a portfolio of diversified income
producing rental properties in the U.S. multi-family real estate
market. On completion of the Offering, the Fund will acquire a
portfolio of three multi-family residential properties that comprise a
total of 740 suites, all of which are located in Texas for an aggregate
purchase price of approximately US$81.25 million, to be satisfied by
way of approximately US$29.56 million in cash from the proceeds of the
Offering, US$17.5 million in cash from new mortgage financings and the
assumption of mortgages in the principal amount of approximately
US$34.19 million. The balance of the net proceeds of the Offering will
be used to acquire additional income producing multi-family properties
in the U.S., consistent with the primary purpose of the Fund, and for
working capital purposes.
Starlight Investments Ltd. ("Starlight") is the promoter of the Fund and will also act as manager of the Fund.
Starlight is a privately held real estate investment management company
that currently manages approximately $3 billion of Canadian commercial
and residential properties.
The Fund has received commitments from an affiliate of Starlight,
principals of Starlight and certain other investors known to Starlight
and a Canadian fund manager, on behalf of funds managed by it, to
subscribe for approximately 20% of the gross proceeds of the Offering.
The syndicate of agents for the Offering is being led by CIBC and
includes National Bank Financial Inc., Raymond James Ltd., Scotiabank,
GMP Securities L.P., Macquarie Private Wealth Inc., Canaccord Genuity
Corp., Desjardins Securities Inc. and Dundee Securities Ltd.
(collectively, the "Agents").
This press release does not constitute an offer to sell or the
solicitation of an offer to buy securities of the Fund in the United
States, nor shall there be any sale of the securities of the Fund in
any jurisdiction in which such offer, solicitation or sale would be
unlawful. The securities described herein have not been and will not be
registered under the United States Securities Act of 1933, as amended
(the "1933 Act"), and may not be offered or sold in the United States absent
registration or an applicable exemption from the registration
requirements of the 1933 Act and applicable state securities laws.
A preliminary prospectus containing important information relating to
these securities has been filed with securities commissions or similar
authorities in each of the provinces of Canada. The preliminary
prospectus is still subject to completion or amendment. Copies of the
preliminary prospectus may be obtained from any of the Agents. There
will not be any sale or any acceptance of an offer to buy the
securities until a receipt for the final prospectus has been issued.
SOURCE: Starlight U.S. Multi-Family Core Fund
For further information:
President, Starlight U.S. Multi-Family Core Fund