Minto Apartment REIT Provides Capital Allocation Update

About this update from Minto Apartment Real Estate Investment Trust

[{"type":"text","content":"\n\n\n\n Minto Apartment REIT Provides Capital Allocation Update\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\n Canada NewsWire\n \n\n\n\n\n\n OTTAWA, ON\n \n\n ,\n \n\n Jan. 22, 2025\n \n\n /CNW/ - Minto Apartment Real Estate Investment Trust (the \"REIT\") (TSX: MI.UN) today provided an update on its capital allocation program, following the closing of its previously announced sale of the Castleview property located in\n \n Ottawa, Ontario\n \n for gross proceeds of\n \n $69 million\n \n . Following the repayment of the mortgage and associated transaction costs, the net proceeds of\n \n $33.8 million\n \n will be used, in part, to repay the remaining balance on the REIT's variable-rate revolving credit facility.\n \n\n\n\n\n\n\n\n\n In addition, the REIT has been active under its Normal Course Issuer Bid (\"NCIB\") program as the unit price remains well below net asset value. From mid-November to\n \n December 31, 2024\n \n , the REIT purchased close to the maximum number of units it is permitted to purchase daily under the NCIB, resulting in the purchase of approximately\n \n $4.7 million\n \n of units at a weighted average price of\n \n $14.03\n \n per unit. Furthermore, an Automatic Securities Purchase Plan was established at the end of\n \n December 2024\n \n , and the REIT has committed an additional\n \n $10 million\n \n towards continuing unit purchases under the NCIB during the first quarter of 2025.\n \n\n \"We have been active with our capital recycling program, generating gross proceeds of nearly\n \n $200 million\n \n from six non-core asset sales since early 2023. We have redeployed the net proceeds from these asset sales to accretive capital allocation strategies including paying down variable-rate debt and repurchasing units under the NCIB, resulting in enhancements to our cash flow per unit, strengthening our balance sheet and increasing our financial flexibility,\" said\n \n Jonathan Li\n \n , President and Chief Executive Officer of the REIT. \"In addition, we recently entered the Metro Vancouver market with the acquisition of the Lonsdale Squa...

More updates from Minto Apartment Real Estate Investment Trust