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Inovalis Real Estate Investment Trust announces it has entered into an agreement for the forward purchase with a joint-venture partner of a class-A office property to be developed in Germany
Inovalis Real Estate Investment Trust announces it has entered into an agreement for the f...
About this update from Inovalis Reit
[{"type":"text","content":"\n\n\n\nInovalis Real Estate Investment Trust announces it has entered into an agreement for the forward purchase with a joint-venture partner of a class-A office property to be developed in Germany\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\nInovalis Real Estate Investment Trust announces it has entered into an agreement for the forward purchase with a joint-venture partner of a class-A office property to be developed in Germany\nCanada NewsWire\nTORONTO, Nov. 10, 2016\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES/\n\n\n\nTORONTO, Nov. 10, 2016 /CNW/ - Inovalis Real Estate Investment Trust (the \"REIT\") (TSX: INO.UN) announced today that it has entered into an agreement for the forward purchase of a class-A office property (the \"Property\") to be developed in Ingolstadt, Germany (in the heart of the Bavaria region).\n\nUpon completion of its development in the first quarter of 2018, the Property will be fully let to leading German automotive suppliers and serve as a headquarter under a 10-year firm lease. Building permit for the Property was obtained in September 2016. The Property will be located in a northern periphery of Ingolstadt, close to several strategic industrial sites. It will be a 103,000 sq.ft office mainly property consisting of three buildings (two to four storeys each) together with 309 parking units.\n\nThe REIT through Inovalis S.A. relations is looking to share up to 50% of the asset. One of Inovalis S.A. partners has showed great interest for the project.\n\nThe net purchase price of the Property of approximately €23.9 million ($35.2 million) reflects an acquisition yield of 6.5%. A deposit of  €1.5 million ($ 2.2 million) has already been paid upon signature of the forward purchase agreement. The balance of the purchase price will be paid upon completion of the Property with a combination of senior mortgage debt for €14.0 million (C$ 20.6 million) and an additional equity commitment of approximately €8.4 million (C$ 12.4 million). \n\nDavid Giraud, Chief Executive...