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BSR REIT Announces the Sale of Three Noncore Properties for $52.5 Million
BSR REIT Announces the Sale of Three Noncore Properties for $52.5 Million Canada N...
About this update from Bsr Real Estate Investment Trust
[{"type":"text","content":"\n\n\n\nBSR REIT Announces the Sale of Three Noncore Properties for $52.5 Million\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nLITTLE ROCK and TORONTO, April 13, 2020\n\n\n\nLITTLE ROCK and TORONTO, April 13, 2020 /CNW/ - BSR Real Estate Investment Trust (\"BSR\" or the \"REIT\") (TSX:HOM.U and HOM.UN) announced today that it has sold three noncore properties, comprising 632 apartment units, as part of the REIT's portfolio enhancement and capital recycling strategy. All dollar amounts in this news release are denominated in US currency.\nThe following properties were sold in Longview, Texas for gross proceeds of $52.5 million: Summer Brook Apartments built in 1997; Summer Green I Apartments; and the second phase, Summer Green II, both built in 1984.\n\"The sale of the Longview properties is consistent with our stated strategy to capitalize on the historically low cap rate spread between primary and secondary markets in U.S. sunbelt states,\" said John Bailey, Chief Executive Officer of BSR. \"These sales follow the March acquisition of Ariza in our target market of Austin, Texas, and enable us to enhance the quality of our portfolio in primary markets, while also crystalizing the benefits of upgrades previously performed on the Longview properties on a tax-deferred basis. I am very proud of the BSR team for continuing to execute efficiently during these uncertain economic times related to COVID-19, which is a testament to our management platform.\" \nSince BSR completed its IPO on May 18, 2018, the portfolio's weighted average age has decreased by seven years to 22 years old, from 29 years, directly attributable to acquisitions and dispositions. The REIT's nine acquisitions following the IPO added 2,562 apartment units with a weighted average year built of 2009 (11 years old) compared to the 19 dispositions totaling 3,414 apartment units with a weighted average year built of 1982 (38 years old). NOI from properties located in the REIT's primary markets now comprises 79% of total NOI compared to 52% as of the fourth quarter of 2018 on a pro-form...