TORONTO, May 4, 2015 /CNW/ - Firm Capital Property Trust ("FCPT" or the "Trust"), (TSXV : FCD.UN) reported today its consolidated interim financial results for the three months ended March 31, 2015.
FIRST QUARTER HIGHLIGHTS
- Three Months Ended March 31, 2015 ("Q1/2015") FFO and AFFO of $0.97 million and $0.95 million, which is a 21% and 37% increase over the three months ended March 31, 2014 ("Q1/2014");
- Q1/2015 FFO and AFFO per Unit of $0.107 and $0.104 per Unit, which is a 7% decline and a 5% increase over Q1/2014;
- Q1/2015 FFO and AFFO payout ratios of 94% and 96%;
- Q1/2015 Cash Net Operating Income ("NOI") of $1.7 million a 39% increase over Q1/2014;
- 90.5% and 91.9% occupancies for the commercial and multi-residential portfolios, respectively, provide leasing upside;
- Conservative leverage profile with Debt / Gross Book Value ("GBV") at 44.8%;
- Significant Acquisition Capacity: $4.7 million of cash and $8.0 million of credit facility availability provides for in excess of $30 million of acquisition capacity (assuming 60% leverage) or 33% of investment property growth without having to raise additional equity;
- Closed $3.0 million Private Placement of Trust Units: On March 24, 2015, the Trust closed a non-brokered private placement of 557,008 Trust Units at a price of $5.35 per Trust Unit for gross proceeds of approximately $3.0 million; and
- Distribution Announcement: Announces the Trust has declared and approved distributions in the amount of $0.033333 per Trust Unit payable on or about August 17, 2015, September 15, 2015 and October 15, 2015 to unitholders of record on July 31, 2015, August 31, 2015 and September 30, 2015 respectively.
PROPERTY PORTFOLIO HIGHLIGHTS
The Trust's property portfolio consists of 55 commercial properties with a total Gross Leasable Area ("GLA") of 833,373 square feet (830,019 square feet of Net Leasable Area) and one apartment complex comprised of 135 apartment units. The portfolio is diversified across geographies with 56% of the NOI generated from Ontario, 30% from Quebec, 9% from Nova Scotia and 5% collectively from BC, Alberta, Manitoba and New Brunswick. The portfolio is diversified across asset classes with 57% of NOI generated from Net Lease Convenience Retail, 30% from Industrial, 8% from Core Service Provider Office and 5% from Multi-Residential.
The portfolio is well diversified by tenant profile with no tenant accounting for more than 9.9% of total net rent. Further, the top 10 tenants are largely comprised of credit worthy and large national tenants and account for 33.2% of total net rent.
DISTRIBUTION REINVESTMENT PLAN & UNIT PURCHASE PLAN
The Trust has in place a Distribution Reinvestment Plan ("DRIP") and Unit Purchase Plan (the "Plan"). Under the terms of the DRIP, FCPT's Unitholders may elect to automatically reinvest all or a portion of their regular monthly distributions in additional Units, without incurring brokerage fees or commissions. Under the terms of the Plan, FCPT's Unitholders may purchase a minimum of $1,000 of Units per month and maximum purchases of up to $12,000 per annum. Management and trustees have not participated in the DRIP or Plan to date and own approximately 8.2% of the issued and outstanding trust units of the Trust.
ABOUT FIRM CAPITAL PROPERTY TRUST
Firm Capital Property Trust is focused on creating long-term value for Unitholders, through capital preservation and disciplined investing to achieve stable distributable income. In partnership with management and industry leaders, The Trust's plan is to co-own a diversified property portfolio of multi-residential, flex industrial, net lease convenience retail, and core service provider professional space. In addition to stand alone accretive acquisitions, the Trust will make joint acquisitions with strong financial partners and acquisitions of partial interests from existing ownership groups, in a manner that provides liquidity to those selling owners and professional management for those remaining as partners. Firm Capital Realty Partners Inc., through a structure focused on an alignment of interests with the Trust, will source and syndicate investments.
FORWARD LOOKING INFORMATION
This press release may contain forward-looking statements. In some cases, forward-looking statements can be identified by the use of words such as "may", "will", "should", "expect", "plan", "anticipate", "believe", "estimate", "predict", "potential", "continue", and by discussions of strategies that involve risks and uncertainties. The forward-looking statements are based on certain key expectations and assumptions made by the Trust. By their nature, forward-looking statements involve numerous assumptions, inherent risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and various future events will not occur. Although management of the Trust believes that the expectations reflected in the forward-looking statements are reasonable, there can be no assurance that future results, levels of activity, performance or achievements will occur as anticipated. Neither the Trust nor any other person assumes responsibility for the accuracy and completeness of any forward-looking statements, and no one has any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or such other factors which affect this information, except as required by law.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, which may be made only by means of a prospectus, nor shall there be any sale of the Units in any state, province or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under securities laws of any such state, province or other jurisdiction. The Units of the Firm Capital Property Trust have not been, and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered, sold or delivered in the United States absent registration or an application for exemption from the registration requirements of U.S. securities laws.
SOURCE Firm Capital Property Trust
For further information: Robert McKee, President & Chief Executive Officer, (416) 635-0221; Sandy Poklar, Chief Financial Officer, (416) 635-0221