WINNIPEG, Nov. 8 /CNW/ - Temple Real Estate Investment Trust ("TREIT")
(TSX Venture: TR.UN) announced today it has agreed to acquire a limited
service hotel property located in Fort McMurray, Alberta for $19.4 Million,
subject to the usual closing adjustments. The four-storey property, known as
the Advantage West Inn and Suites, opened in July 2004 and contains 83 rooms,
meeting facilities, sports bar, business centre, fitness centre and
continental breakfast area. The property is situated at 200 Parent Way, which
is situated on the east side of, and runs parallel to, Highway 63 and has good
visibility for both north and southbound highway traffic.
The purchase price of $19.4 Million represents an estimated going-in
capitalization rate of 12.5%. The acquisition will be financed with a first
mortgage loan in the amount of $11.64 Million and the balance in cash. The
first mortgage loan will bear interest at an estimated rate of 6 7/8% for a
five-year term and have a 15-year amortization. The acquisition is scheduled
to close on January 31, 2008.
TREIT is a real estate investment trust, which is listed on the TSX
Venture Exchange under the symbol TR.UN. The objective of TREIT is to provide
Unitholders with stable cash distributions from investment in a geographically
diversified Canadian portfolio of hotel properties and related assets. There
are currently 8,952,954 trust units outstanding. For further information on
TREIT, please visit our website at www.treit.ca.
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 Venture 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, Chief Executive Officer, or
Gino Romagnoli, Investor Relations, Tel: (204) 475-9090, Fax: (204) 452-5505,