Business
H&R REIT Announces Receipt of Final Instalment of $180 Million First Mortgage Proceeds Related to 160 Elgin Sale
H&R REIT Announces Receipt of Final Instalment of $180 Million First Mortgage Proceeds Relate...
About this update from H&r Real Estate Investment Trust
[{"type":"text","content":"\n \n \n \n H&R REIT Announces Receipt of Final Instalment of $180 Million First Mortgage Proceeds Related to 160 Elgin Sale\n \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 H&R REIT Announces Receipt of Final Instalment of $180 Million First Mortgage Proceeds Related to 160 Elgin Sale\n \n \n Canada NewsWire\n \n \n \n \n \n \n \n \n \n \n \n \n \n TORONTO\n \n \n ,\n \n \n Aug. 21, 2023\n \n \n /CNW/ - H&R Real Estate Investment Trust (\"H&R\" or \"the REIT\") (TSX: HR.UN) is pleased to announce it is in receipt of the remaining\n \n $170.0 million\n \n of proceeds from the\n \n $180.0 million\n \n vendor take-back mortgage that H&R provided to Groupe Mach (the \"Purchaser\"), of 160 Elgin Street (\"160\n \n Elgin\n \n \") at the time of the sale of 160 Elgin. The REIT intends to allocate the majority of proceeds to repay outstanding indebtedness and fund current development projects.\n \n \n On\n \n April 20, 2023\n \n , H&R announced the closing of the sale of 160 Elgin for\n \n $277.0 million\n \n . 160 Elgin was H&R's only\n \n Ottawa\n \n office property, comprising 973,611 square feet in downtown\n \n Ottawa, Ontario\n \n . This sale is consistent with the REIT's strategic repositioning plan to surface significant value for unitholders, by transforming into a simplified, growth-oriented company focused on residential and industrial properties.\n \n \n H&R provided the Purchaser with the\n \n $180.0 million\n \n vendor take-back mortgage secured by a first mortgage on the property, which earned interest at 6.5% per annum. The REIT received an initial instalment of\n \n $10.0 million\n \n on\n \n July 20, 2023\n \n and has now received the remaining balance of\n \n $170.0 million\n \n , resulting in repayment in full of the mortgage. In addition, H&R provided the Purchaser with a second vendor take-back mortgage of\n \n $30.0 million\n \n bearing interest at 4.5% per annum, maturing\n \n April 20, 2028\n \n .\n \n \n \n About H&R REIT\n \n \n \n H&R REIT is one of\n \n Canada's\n \n largest real estate investment ...