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ERES REIT announces closing of Euro98MM additional portfolio acquisition
ERES REIT announces closing of €98MM additional portfolio acquisition Canad...
About this update from European Residential Real Estate Invt Tr
[{"type":"text","content":"\n\n\n\nERES REIT announces closing of €98MM additional portfolio acquisition\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.prngen2{\nBORDER-TOP:black 0pt; BORDER-RIGHT:black 0pt; VERTICAL-ALIGN: TOP; BORDER-BOTTOM:black 0pt; TEXT-ALIGN: LEFT; PADDING-LEFT:0.50em; BORDER-LEFT:black 0pt; PADDING-RIGHT:0.50em\n}\n.prnsbt0{\nBORDER-TOP:0pt\n}\n.prnsbr0{\nBORDER-RIGHT:0pt\n}\n.prnbcc{\nBORDER-COLLAPSE: COLLAPSE\n}\n.prnsbl0{\nBORDER-LEFT:0pt\n}\n.prnsbb0{\nBORDER-BOTTOM:0pt\n}\n\n\n\n\n\n\n\nCanada NewsWire\nTORONTO, June 28, 2019\n\n\n\nTORONTO, June 28, 2019 /CNW/ - European Residential Real Estate Investment Trust (TSX-V:ERE.UN, \"ERES\") and Canadian Apartment Properties Real Estate Investment Trust (TSX:CAR.UN, \"CAPREIT\") are pleased to announce the closing of the previously announced acquisition by ERES from CAPREIT (the \"Pipeline Acquisition\"), effective June 30, 2019, of a portfolio comprised of 21 properties, representing an aggregate of 511 residential suites in six locations in the Netherlands (the \"Additional Portfolio\"), as more particularly described in ERES's management information circular dated April 23, 2019 (the \"Circular\").  The purchase price for the Additional Portfolio, of approximately €98 million, implies a forward capitalization rate of approximately 3.8%, attesting to the high quality of the properties.  The Additional Portfolio is approximately 96% occupied, and has an occupied average monthly rent of €739 per suite (excluding service charges).\nThe €98 million purchase price (the \"Purchase Price\") for the Additional Portfolio, which is subject to certain post-closing purchase price adjustments and transaction costs, was satisfied by a combination of: \n(i)\napproximately €60 million of new mortgage debt on the Additional Portfolio, bearing a 0.97% fixed interest rate and a 4 year term to maturity;\n(ii)\na €22 million draw on ERES's new revolving credit facility to be provided to ERES by two Canadian chartered banks shortly after closing of the acquisition of the Additional Portfolio (the \"Cre...