Ever Higher Results and Cominar Increases its Distribution

 QUEBEC CITY, Aug. 7, 2014 /CNW Telbec/ - Cominar Real Estate Investment Trust  ("Cominar" or the "REIT") (TSX: CUF.UN) announced today its results for the  second quarter of fiscal year 2014.  Highlights for the Quarter Ended June 30, 2014        --  Increased net operating income by 7.4%     --  Increased recurring funds from operations by 10.1%     --  Increased recurring distributable income (basic) per unit by         5.1%     --  Increased occupancy rate to 93.9%     --  Invested $100.7 million in acquisitions of investment         properties (+ 1.2 million sq. ft.)  Subsequent Events     --  Replaced the secured credit facility of $300.0 million by an         unsecured credit facility of $350.0 million at an interest rate         reduced by 30 basis points.     --  Increased monthly distributions from $0.12 per unit to $0.1225         per unit.  "For the second quarter of 2014, our results show solid growth, which reflects  the contribution of recent acquisitions combined with operating performance of  the quarter which, overall, has increased our recurring funds from operations  by 10.1% and 9.3% per unit on a fully diluted basis compared to the same  quarter of 2013", said Michel Dallaire, President and Chief Executive Officer  of Cominar.  "Our acquisitions combined with our leasing teams' efforts on promoting  organic growth in each of our markets resulted in an improved payout ratio  which fell below our target set to 90% of distributable income, thereby  justifying an increase of monthly distributions from $0.12 to $0.1225 per unit  as of September 15, 2014", added Michel Dallaire.  PRESENTATION OF RESULTS  For the quarter ended June 30, 2014, operating revenues increased to $179.6  million, up 7.0% over the corresponding period in 2013 when operating revenues  were $167.8 million.  Net operating income reached $98.5 million, up 7.4% compared to net operating  income in the second quarter of 2013.  Recurring distributable income reached $52.1 million, up 7.4% over the second  quarter of 2013. The basic recurring distributable income per unit amounted to  $0.41 for the quarter ended June 30, 2014, up 5.1% compared to the same period  of 2013.  Recurring funds from operations for the second quarter of 2014 reached $60.3  million, up 10.1% compared to the second quarter of 2013. Recurring adjusted  funds from operations per unit fully diluted amounted to $0.47 in the second  quarter, up 9.3% from those of the same quarter of 2013.  Recurring adjusted funds from operations for the second quarter of 2014  reached $51.2 million, up 7.1% compared to 2013. Fully diluted per unit, they  reached $0.40, up 5.3% from the same period of 2013.  FINANCIAL SITUATION  As at June 30, 2014, Cominar had a debt ratio (excluding convertible  debentures) of 50.9%. The annualized interest coverage ratio stood at 2.70:1.  At the end of the second quarter of 2014, total assets reached $6.5 billion,  up 8.3% over December 31, 2013.  ACQUISITION ACTIVITIES  During the quarter, Cominar completed $100.7 million in strategic acquisitions  of 14 new income properties totalling 1.2 million square feet at a weighted  average capitalization rate of 7.1%.  Since the beginning of 2014, we invested in strategic acquisitions, totalling  approximately $358 million in income properties, which increased the total  leasable area of our portfolio by 2.5 million square feet, 2.0 million of  which are located in the Greater Toronto Area.  SUBSEQUENT EVENTS AFTER JUNE 30, 2014  On August 4, 2014, Cominar replaced its secured credit facility of up to $300  million by a new unsecured credit facility of up to $350 million at an  interest rate reduced by 30 basis points. This new credit facility will mature  in August 2017. The value of Cominar's unencumbered income properties is now  $2.3 billion.  On August 7, 2014, Cominar announced a distribution of $0.1225 per unit to  unitholders of record on August 29, 2014, which will be paid on September 15,  2014.  ADDITIONAL FINANCIAL INFORMATION  Cominar's condensed interim consolidated financial statements and management's  discussion and analysis for the second quarter 2014, will be filed with SEDAR  at www.sedar.com and will be available on Cominar's website at www.cominar.com.  CONFERENCE CALL ON AUGUST 7, 2014  On Thursday, August 7, 2014 at 11 a.m. (ET), Cominar's management will hold a  conference call to present the results for second quarter 2014. Anyone who is  interested may take part in this call by dialing 1 888 390-0549. A  presentation regarding these results will be available before the conference  call on the REIT's website at www.cominar.com, under the Conference Call  header. In addition, a taped rebroadcast of the conference call will be  available from Thursday, August 7, 2014 at 2 p.m. to Thursday, August 14, 2014  at 11:59 p.m., by dialing 1 855 859-2056 followed by this code: 817607.  DISTRIBUTION REINVESTMENT PLAN  Cominar offers unitholders the opportunity to participate in its Unitholder  Distribution Reinvestment Plan, which allows them to receive their monthly  cash distributions as additional Cominar units. Participants will be entitled  to receive an additional distribution equal to 5% of the distributions  reinvested, which will be reinvested in additional units. For more information  and to obtain a participation form, please visit Cominar's website at  www.cominar.com.  PROFILE AS AT AUGUST 7, 2014  Cominar is the third largest diversified real estate investment trust in  Canada and currently remains the largest commercial property owner in the  Province of Quebec. The REIT owns a real estate portfolio of 526 properties in  three different market segments, that is, office properties, retail properties  and industrial and mixed-use properties. Cominar's portfolio totals 39.5  million square feet spread out across Quebec, Ontario, the Atlantic Provinces  and Western Canada. Cominar's objectives are to pay growing cash distributions  to unitholders and to maximize unitholder value through proactive management  and the expansion of its portfolio.  FORWARD-LOOKING STATEMENTS  This press release may contain forward-looking statements with respect to  Cominar and its operations, strategy, financial performance and financial  condition. These statements generally can be identified by the use of  forward-looking words such as "may", "will", "expect", "estimate",  "anticipate", "intend", "believe" or "continue" or the negative thereof or  similar variations. The actual results and performance of Cominar discussed  herein could differ materially from those expressed or implied by such  statements. Such statements are qualified in their entirety by the inherent  risks and uncertainties surrounding future expectations. Some important  factors that could cause actual results to differ materially from expectations  include, among other things, general economic and market factors, competition,  changes in government regulation and the factors described under "Risk  Factors" in Cominar's Annual Information Form. The cautionary statements  qualify all forward-looking statements attributable to Cominar and persons  acting on its behalf. Unless otherwise stated, all forward-looking statements  speak only as of the date of this press release. Cominar does not assume any  obligation to update the aforementioned forward-looking statements, except as  required by applicable laws.  NON-IFRS MEASURES  Net operating income, recurring distributable income (DI), recurring funds  from operations (FFO) and recurring adjusted funds from operations (AFFO) are  not measures recognized by International Financial Reporting Standards  ("IFRS") and do not have standardized meanings prescribed by IFRS. Such  measures may differ from similar computations as reported by similar entities  and, accordingly, may not be comparable to similar measures reported by such  other entities. Cominar's Management Discussion and Analysis for the second  quarter ended June 30, 2014, presents the reconciliation of DI, FFO and AFFO  with the most similar IFRS measures:     NON-IFRS MEASURES     =================     Quarters      ended June      30                 2014    2013   Δ%          2014             2013   Δ%     -----------         ----    ----  ---           ----             ----  ---                       ($000) ($000)       ($ per unit)    ($ per unit)     Net      operating      income           98,539  91,733  7.4     Recurring      distributable      income           52,051  48,473  7.4         0.41(1)          0.39(1)  5.1     Distributions     46,688  45,598  2.4            0.36             0.36    -     Recurring      funds from      operations       60,308  54,797 10.1         0.47(2)          0.43(2)  9.3     Recurring      adjusted      funds from      operations       51,172  47,765  7.1         0.40(2)          0.38(2)  5.3     ===========       ======  ======  ===          ======           ======  ===              (1)   basic              (2)   fully diluted    SOURCE  Cominar Real Estate Investment Trust  Michel Dallaire, Eng., President and Chief Executive Officer, Gilles Hamel,  CPA, CA, Executive Vice President and Chief Financial Officer, Tel.: (418)  681-8151, michel.dallaire@cominar.com, gilles.hamel@cominar.com  To view this news release in HTML formatting, please use the following URL:  http://www.newswire.ca/en/releases/archive/August2014/07/c1353.html  CO: Cominar Real Estate Investment Trust ST: Quebec NI: REL ERN CONF MNA  
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