KEYreit closes purchase of $16.07 million property portfolio from Dundee REIT
TORONTO, Oct. 4, 2012 /CNW/ - KEYreit (TSX: KRE.UN) ("KEYreit") today
announced that it has closed the previously announced acquisition of three
retail properties from companies affiliated with Dundee Real Estate Investment
Trust ("Dundee REIT") for a purchase price of $16.07 million (excluding
The acquisition is comprised of two properties located in Charlottetown,
Prince Edward Island and one property in Halifax, Nova Scotia, totalling
101,473 square feet of gross leasable area ("GLA"). The property portfolio is
100% leased with an overall average lease term of approximately four years.
The total purchase price was satisfied through the assumption of existing
mortgage debt of approximately $7.0 million bearing a weighted average
interest rate of 5.43% and net proceeds received from KEYreit's equity
offering completed in August 2012.
"This acquisition fits perfectly with KEYreit's investment strategy: "small
box" retail, located in solid markets, with over 84% of GLA leased to national
or major retail tenants," said Kevin Salsberg, Chief Operating Officer of the
REIT. "With tenants such as Bed Bath & Beyond, Staples and Lawton's Drugs, we
continue to strengthen and diversify KEYreit's tenant base."
Including this acquisition, KEYreit now owns a portfolio of 232 retail
properties and more than 1.2 million square feet of retail space in nine
provinces across Canada.
KEYreit (TSX: KRE.UN) (formerly Scott's Real Estate Investment Trust) is
Canada's premier small-box retail property owner with 232 properties in nine
provinces across Canada. KEYreit's properties are well located and
geographically diverse across Canada with the majority of all properties
containing long-term quadruple net leases.
To find out more about KEYreit (TSX: KRE.UN), visit our website
For investor information, please contact: Teresa Neto Chief Financial Officer
For media information, please contact: Trevor Boudreau 604-564-8209
To view this news release in HTML formatting, please use the following URL:
NI: REL REL
-0- Oct/04/2012 21:36 GMT
Press spacebar to pause and continue. Press esc to stop.