WINNIPEG, April 2 /CNW/ - Temple Real Estate Investment Trust ("TREIT")
(TSX Venture: TR.UN) announced today it has completed the acquisition of
Clearwater Suites, which is located on Haineault Street in Fort McMurray for
$56.5 Million, subject to the usual closing adjustments. The acquisition was
previously announced by TREIT in its prospectus, dated December 28, 2006.
Clearwater Suites is a four-storey, 150-room extended stay hotel complex,
comprised of 117 one-bedroom units and 22 studio units. The property is
operated as an extended stay lodging complex to accommodate oil field and
major project workers who stay in Fort McMurray for periods of one week to
several months. The property also includes a 75-stall parkade.
The purchase price of $56.5 Million was funded by a $36 Million first
mortgage loan, a $10 Million vendor take-back mortgage and the balance in
cash. The first mortgage loan bears interest at 6.83% and has a three-year
term and 25 year amortization. The vendor take-back mortgage is payable
monthly on an interest only basis at 6% and matures on August 31, 2009.
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 8,841,837 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,