TORONTO, April 2, 2012 /CNW/ - NorthWest Healthcare Properties Real Estate Investment Trust (TSX: NWH.UN) (the "REIT") announced today that it completed on March 30, 2012, the acquisition of Springbank Medical Centre, a 53,100 square foot medical office building in London, Ontario. The purchase is expected to be immediately accretive.
Located within central London, the recently completed Springbank Medical Centre (460 Springbank Drive) has immediately become one of the premiere medical office buildings in the market due to its new construction, appealing design and diversified healthcare tenant mix. The property is fully leased to a quality roster of users that is anchored by the Thames Valley Family Health Team on a long term basis. The property is further supported by additional complementary physicians and healthcare related uses that include laboratory (CML), diagnostic imaging, pain management, audiology, respirology and pharmacy (Shoppers Drug Mart). The property has a large paid parking operation, with both surface and indoor stalls provided.
The purchase price was $24 million, subject to adjustments. The property was acquired free and clear of mortgage financing, with the equity being funded from existing resources. NorthWest has entered into a commitment for a two year, $13 million floating rate mortgage loan secured against this property, which is expected to fund early in the second quarter.
The investment is the REIT's third acquisition in London and its twenty-fourth asset in the Province of Ontario. The REIT believes that the acquisition of Springbank Medical Centre further solidifies its market leadership in healthcare real estate in Canada.
In a separate transaction, the REIT has completed its previously announced $4.6 million, 10-year mortgage financing on its Centre Medicale de L'Hetriere project in Quebec City at a fixed interest rate of 4.23%.
About NorthWest Healthcare Properties Real Estate Investment Trust
NorthWest Healthcare Properties Real Estate Investment Trust is an unincorporated, open-ended real estate investment trust established under the laws of the Province of Ontario. The REIT holds a portfolio of 61 income-producing properties, with a focus on medical office buildings and healthcare real estate, comprising approximately 4.2 million square feet of gross leasable area located in British Columbia, Alberta, Ontario, Québec, Nova Scotia and New Brunswick.
This press release contains forward-looking statements which reflect the REIT's current expectations regarding future events. The forward-looking statements involve risks and uncertainties. Actual results could differ materially from those projected herein. The REIT disclaims any obligation to update these forward-looking statements.
For further information:
Mike Brady, Senior Vice President, NorthWest Healthcare Properties Real Estate Investment Trust, (416) 366-2000 ext. 243, or www.nwhp.ca.