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Inovalis Real Estate Investment Trust Announces it has Completed the Acquisition of 100% Ownership in Arcueil Property
Inovalis Real Estate Investment Trust Announces it has Completed the Acquisition of 100% O...
About this update from Inovalis Reit
[{"type":"text","content":"\n\n\n\nInovalis Real Estate Investment Trust Announces it has Completed the Acquisition of 100% Ownership in Arcueil Property\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\nTORONTO, Jan. 23, 2020\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES/\n TORONTO, Jan. 23, 2020 /CNW/ - Inovalis Real Estate Investment Trust (the \"REIT\") (TSX: INO.UN) announced today that the REIT completed the purchase of its joint venture partner's 75% ownership interest in the Arcueil property on December 18th, 2019. The acquisition was completed at an attractive capitalization rate of 7.7% and will provide mid-single digit accretion to 2020 and 2021 AFFO per unit estimates.\nThe acquisition was financed by a previously announced bought deal through the issuance of 4,835,110 trust units at a price of $10.65 per Unit, for total gross proceeds of $51.5 million. The offering closed on December 23, 2019.    \nPrior to the acquisition, the REIT owned a 25% minority interest in the office building in Arcueil, France and had an agreement in place with the REIT's joint venture co-owner to acquire the remaining 75% interest in the property. The Arcueil property is located in the Vache Noire district of the southern rim of Paris and is fully leased to the Orange Group (mobile division of France Telecom) with the existing lease set to expire in March 2023. The property consists of 9 upper levels and 2 basement levels, with 253 parking spaces (40 outdoor and 213 indoor) and office floor plates of approximately 2,500 sq. m. \n\"This acquisition illustrates the benefit of past joint venture acquisitions to warehouse assets and crystalize the embedded value within the portfolio. It also represents a first step in simplifying the ownership structure of the REIT, by reducing the number of joint-venture properties over the next 12 to 18 months\" stated David Giraud, CEO of the REIT.\nABOUT INOVALIS REAL ESTATE INVESTMENT TRUST\nInovalis Real Estate Investment Trust is an unincorporated, open-ended real estate investment trust esta...