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Firm Capital Property Trust Announces Closing of Previously Announced Sale of Its 50% Interest in a 159,470 Square Foot Industrial Building Located in Montreal for $27.9 Million
TORONTO, May 08, 2025 (GLOBE NEWSWIRE) -- Firm Capital Property Trust (“ FCPT ”...
About this update from Firm Capital Property Trust
[{"type":"text","content":"Firm Capital Property Trust Announces Closing of Previously Announced Sale of Its 50% Interest in a 159,470 Square Foot Industrial Building Located in Montreal for $27.9 Million\n\n\n\n TORONTO, May 08, 2025 (GLOBE NEWSWIRE) -- Firm Capital Property Trust (“\n \n FCPT\n \n ” or the “\n \n Trust\n \n ”) (TSX : FCD.UN) is pleased to announce that it has closed the previously announced sale within its Montreal Industrial Portfolio Joint Venture (“\n \n Montreal Industrial JV\n \n ”) of a 100% interest in a single tenant, 159,470 square foot industrial facility for gross proceeds of approximately $27.9 million ($27.5 million net of closing costs). The Trust’s portion of the gross proceeds after closing costs are approximately $13.8 million.\n \n\n The property was owned by the Trust in the 50/50 Montreal Industrial JV since 2018 and was originally purchased for $11.0 million (at 100% ownership). The property was carried on the Trust’s balance sheet at an IFRS value of approximately $12.5 million for its 50% interest. The sale reduces the Trust’s exposure to large tenants and allows the Trust to reinvest capital into smaller bay multi-tenant industrial units.\n \n\n The Trust will be using its portion of the net to repay debt on the revolving credit facility then, to fund future acquisitions in the following sectors: (i) grocery-anchored retail, (ii) multi-tenant industrial, and (iii) multi-residential rentals, that are less exposed to the impact of US tariffs as a result of the diversity of tenants.\n \n\n Based on the original purchase price, the Montreal Industrial JV will have generated a gain on sale of approximately $16.0 million ($8.0 million for the Trust at its 50% ownership). As such, the Trust expects the sale to increase the capital gains portion of its 2025 distribution by approximately $0.18 per Trust Unit compared to a total of $0.08 per Trust Unit in 2024.\n \n\n Further information about the Trust can be found by selecting the Firm Capital Property Trust link at\n \n www.firmcapital.com\n \n .\n \n\n\n\n ABOUT FIRM CAPITAL PROPERTY TRUST (TSX : FCD.UN)\n \n\n\n Firm Capital Property Trust is focused on creating long-term value for Unitholders, through capital preservation and disciplined investing to achieve stable distributable income. In partnership wit...