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InterRent Expands In Kingston With Agreement To Buy 40 Unit Apartment Building For $1.7 Million
InterRent Expands In Kingston With Agreement To Buy 40 Unit Apartment Building For $1.7 Million.
About this update from Interrent Real Estate Investment Trust
[{"type":"text","content":"\n\n\n\n\nTSX - Venture - IIP\n\nTORONTO, April 21 /CNW/ - InterRent International Properties Inc.,\n(\"InterRent\" or the \"Company\"), today announced that it has entered into a\nconditional agreement of purchase with an arms length party to acquire a\n40 unit apartment building, in Kingston, Ontario for a price of $1.7 million,\nor $42,500, per unit. The addition of these apartments will represent an\nincrease of 30% in InterRent's current Kingston portfolio of 130 units, to\n170, and the total number of units in Ontario, under ownership and management\nto 827. The acquisition is scheduled to close on July 27, 2005, and is subject\nto completion of due diligence by InterRent.\nThe $1.7 million purchase price will be satisfied by $425,000 in cash\nfrom the Company's treasury and the balance by a new ten year, CMHC insured\nfirst mortgage at 4.73% per annum. Rental revenue from the property will\ncontribute approximately $330,000 to InterRent's gross annual rental revenues.\nThe Company also announced that to date, it has successfully completed\nthe purchase of 80 of its recently announced purchase of a total of 224 units\nin London, Ottawa, Hamilton and the GTA.\nMichael Newman, President & CEO of InterRent, commenting on the pending\nacquisitions stated, \"With this acquisition, our Kingston portfolio will total\n170 units within a radius of half a mile. We believe that true synergies can\nonly be captured and maximum income gains achieved through InterRent's\nstrategy of clustering its multi-residential properties, within certain\nneighborhoods in mid-size Ontario communities. We are now building critical\nmass in several Ontario communities that are exhibiting below average vacancy\nrates and a higher than average demand for decent rental accommodations.\"\n\nInterRent is a rapidly expanding, growth oriented real estate company\nengaged in building shareholder value through the acquisition, ownership and\noperation of strategically located income producing multi-residential real\nestate within the Greater Toronto Area (GTA), and other major Ontario\npopulation centers.\n\nCertain information in this press release may contain forward-looking\nstatements. This information is based on current expectations that are subject\nto significant risks and uncertainties that are difficult to predict. Actual\nresults might differ ma...