Homburg Invest Inc. announces joint venture in the United States

    Shares issued: Class A - 148,945,498 Class B - 31,514,782

    HALIFAX, March 27 /CNW/ - (TSX: HII.A & HII.B and AEX:HII) - Richard
Homburg, Chairman and CEO of Homburg Invest Inc. ("Homburg Invest") announced
that Homburg Invest, through its wholly owned U.S. subsidiary, has entered
into a preliminary agreement with Cedar Shopping Centers Inc. (NYSE:   CDR)
("Cedar"), a U.S. real estate investment trust, as a joint venture partner to
own 32 properties presently owned and managed by Cedar.
    Pursuant to the terms of the agreement, Homburg Invest Inc. will acquire
interests in the respective properties ranging from 49.9% to 80% in the joint
venture and Cedar will retain the remaining interests. Cedar will remain as
the manager of the properties and will receive fees with respect to its
management. Homburg Invest Inc. has the option to acquire up to 80% interests
in all properties. If successfully concluded, this will be the second joint
venture between Homburg Invest and Cedar with respect to shopping center
properties in the U.S.
    The agreement is subject to a due diligence period as well as approval of
the Board of Directors of both Homburg Invest and Cedar Shopping Centers, Inc.
    The properties, valued at approximately US$ 128.9 million, involve
27 properties in Ohio (primarily drug-store anchored), 2 properties in
Pennsylvania and 3 properties in New York State. The 32 properties total
slightly more than 1 million square feet. The value of each of the respective
properties has been determined at a weighted cap rate of 7.9%. Aggregate
existing first mortgage financing on the joint venture properties is estimated
at approximately US$ 55.1 million with an average (fixed) interest rate of
5.6%. Homburg's asset value in the joint venture will be approximately
US$ 77.7 million. Homburg's equity participation for the 32 properties would
be approximately US$ 50 million.
    Cedar Shopping Centers, Inc. is a self-managed real estate investment
trust focused on supermarket-anchored shopping centers and drug store-anchored
convenience centers, which has realized significant growth in assets and
shareholder value since its public offering in October 2003. The Company
presently owns and operates 119 of such primarily supermarket- and drug
store-anchored centers with an aggregate of approximately 12.1 million square
feet of gross leasable area, located in nine states, predominantly in the
Northeast and mid-Atlantic regions. The Company also owns a pipeline of
development parcels aggregating approximately 336 acres and has entered into
purchase agreements for an additional 41 acres within the same geographic
    Homburg, with its head office in Halifax, Nova Scotia, is an
international real estate investment and development company that owns a
diversified portfolio of quality real estate, including office, retail,
industrial and residential apartment and townhouse properties in Canada,
Europe and the United States. The Company also owns land assets for
development in Calgary and Edmonton, Alberta; Montreal, Quebec; and
Charlottetown, Prince Edward Island. In 2007, Homburg completed significant
acquisitions totaling over approximately CAD$ 1.1 billion and as of December
31, 2007 has assets of over CAD$ 3.8 billion with an approximate aggregate of
18.2 million square feet of gross leasable area.

    This news release may contain statements which by their nature are
forward looking and express the Company's beliefs, expectations or intentions
regarding future performance, future events or trends. Forward looking
statements are made by the Company in good faith, given management's
expectations or intentions however, they are subject to market conditions,
acquisitions, occupancy rates, capital requirements, sources of funds, expense
levels, operating performance and other matters. Therefore, forward looking
statements contain assumptions which are subject to various factors including:
unknown risks and uncertainties: general economic conditions; local market
factors; performance of other third parties; environmental concerns; and
interest rates, any of which may cause actual results to differ from the
Company's good faith beliefs, expectations or intentions which have been
expressed in or may be implied from this news release. Therefore, forward
looking statements are not guarantees of future performance and are subject to
known and unknown risks. Information and statements in this document, other
than historical information, should be considered forward-looking and reflect
management's current views of future events and financial performance that
involve a number of risks and uncertainties. Factors that could cause actual
results to differ materially include, but are not limited to, the following:
general economic conditions and developments within the real estate industry,
competition and the management of growth. The Toronto Stock Exchange has
neither approved nor disapproved of the information contained herein.
    %SEDAR: 00013330E

For further information:

For further information: Mr. Richard Homburg, Chairman and CEO, (902)
468-3395; Mr. Richard Stolle, President and Chief Operating Officer at 011 31
20 573 3855. For information on Homburg Invest Inc., visit our website at

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