CALGARY, Dec. 13, 2013 /CNW/ - Northern Property Real Estate Investment
Trust ("NPREIT") (NPR.UN - TSX) announced its December 2013 monthly
distribution in the amount of $0.1317 per stapled security, payable on
January 15, 2014 to holders of stapled securities of record at December
As at the date hereof, there are 31,891,849 trust units of NPREIT
("Trust Units") and common shares of NorSerCo Inc. ("NorSerCo", and
together with NPREIT, "NPR") issued and outstanding and all of which
trade as stapled securities (the "Stapled Securities") under the single
trading symbol NPR.UN and 67,796 Class B exchangeable limited
partnership units and NorSerCo special shares issued and outstanding.
Stapled Unit Structure and NorSerCo Dissolution
On July 13, 2012, the shareholders of NorSerCo approved: (i) the sale of
all or substantially all of the property of NorSerco to NPREIT and/or
NPR Limited Partnership (the "Asset Transfer"); (ii) the separation
(the "Unstapling") of the Stapled Securities; and (iii) the voluntary
liquidation and dissolution of NorSerCo (the "Wind-Up").
NPR intends to complete the Asset Transfer, Unstapling and Wind-Up in
the first quarter of 2014. NPREIT will continue to qualify as a real
estate investment trust for tax purposes following the dissolution of
Once complete the NorSerCo common shares will be de-listed (the NorSerCo
common shares have historically only traded as part of a Stapled
Security) from the Toronto Stock Exchange (the "TSX") and the
Unstapling will occur on or about January 31, 2014. Trust Units will be
listed on the TSX in substitution for the Stapled Securities and are
expected to trade under the trading symbol NPR.UN.
Holders of Stapled Securities do NOT need to take any action, and will
receive their normal monthly distribution on their Stapled Securities
in January 2014, and thereafter will receive monthly distributions on
their Trust Units. NPR currently does not expect that monthly
distributions for Trust Units after the Wind-up will be materially
affected by the Asset Transfer, Unstapling and Wind-up.
Registered holders of Stapled Securities may, but are not required to,
exchange their Stapled Security certificate for a Trust Unit
certificate at their convenience once the Asset Transfer, Unstapling
and Wind-Up have been completed by contacting NPR's registrar and
transfer agent, Computershare Trust Company of Canada, at
NPR is primarily a multi-family residential real estate investor,
providing a broad spectrum of rental accommodations in Canadian
secondary markets with strong economic fundamentals where
capitalization rates are generally higher and competition somewhat
restrained. NPR's residential portfolio is comprised of: multi-family
segment apartments, town homes and single family rental units; and
execusuites and hotels, where the rental periods range from a few days
to several months. NPR also has a portfolio of commercial buildings
focused on government tenancies predominantly located in Canada's far
north. Geographically, NPR operates in British Columbia, the Northwest
Territories, Alberta, Saskatchewan, Nunavut, Quebec and Newfoundland
and Labrador. As at September 30, 2013, NPR has 10,142 residential
units and 1,064,944 square feet of commercial space.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS.
This news release contains forward-looking statements relating to the
timing of the proposed Asset Transfer, Unstapling and Wind-up, the
substitutional listing of the Trust Units on the TSX under the trading
symbol NPR.UN and the amount of future monthly distributions to holders
of Trust Units. These statements are not guarantees of future
performance and involve risks and uncertainties that are difficult to
control or predict. Therefore, actual outcomes and results may differ
materially from those expressed in these forward-looking statements.
Readers, therefore, should not place undue reliance on any such
forward-looking statements. Further, a forward-looking statement
speaks only as of the date on which such statement is made.
SOURCE: Northern Property Real Estate Investment Trust
For further information:
Mr. Robert J. Palmer, Chief Financial Officer at (403) 531-3545