Allied Properties Real Estate Investment Trust announces agreement to acquire Class I office property and adjacent land in Montreal

About this update from Allied Properties Real Estate Investment Trust

[{"type":"text","content":"\n\n\n\n\nTORONTO, Feb. 2 /CNW/ - Allied Properties REIT (TSX:AP.UN) announced\ntoday that it has entered into an agreement to purchase 4436-4450 \nSaint-Laurent Boulevard, a Class I office property located in downtown\nMontreal, and 5,500 square feet of adjacent land that forms the southwest\ncorner of Saint-Laurent and Boulevard Mount-Royal. The purchase price is \n$11.2 million, and the portion allocated to the Class I office property\nrepresents a capitalization rate of 8.8%.\nThe Class I office property is comprised of 82,533 square feet of GLA, 24\nunderground parking spaces and 15 surface parking spaces. It is fully leased\nto 19 tenants consistent in character and quality with the REIT's existing\ntenant base.\n\"This acquisition will bring our Montreal portfolio to half a million\nsquare feet of GLA, nearly 20% of the total GLA in our portfolio\" said Michael\nEmory, President and CEO. \"The adjacent land is strategically located and\nrepresents an opportunity to create additional value for our unitholders in\nthe future.\"\nThe acquisition is expected to close on or about March 31, 2006, subject\nto customary conditions. The property will be subject to a first mortgage in\nthe approximate principal amount of $5.7 million and bearing interest at the\nrate of 5.663% for a term expiring in June of 2009.\n\nAllied Properties REIT owns a portfolio of predominantly Class I office\nproperties in downtown Toronto, downtown Montreal and downtown Winnipeg. The\nobjectives of the REIT are to provide stable and growing cash distributions to\nits unitholders and to maximize unitholder value through the effective\nmanagement and accretive growth of its portfolio.\n\nThis press release may contain forward-looking statements with respect to\nthe REIT, its operations, strategy, financial performance and condition. These\nstatements generally can be identified by use of forward looking words such as\n\"may\", \"will\", \"expect\", \"estimate\", \"anticipate\", intends\", \"believe\" or\n\"continue\" or the negative thereof or similar variations. The actual results\nand performance of the REIT discussed herein could differ materially from\nthose expressed or implied by such statements. Such statements are qualified\nin their entirety by the inherent risks and uncertainties surrounding future\nexpectations, including that the transaction ...

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