Minto Apartment REIT To Provide Financing for a New 229-Suite Multi-Residential Development in Ottawa

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[{"type":"text","content":"\n \n \n \n Minto Apartment REIT To Provide Financing for a New 229-Suite Multi-Residential Development in Ottawa\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.prntac{\nTEXT-ALIGN: CENTER\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n \n - REIT Has Option to Acquire Property Following Stabilization at a 5% Discount to Market Value -\n \n \n \n \n OTTAWA, ON\n \n ,\n \n April 29, 2021\n \n /CNW/ - Minto Apartment Real Estate Investment Trust (\"the REIT\") (TSX: MI.UN) today announced an agreement to provide up to\n \n $51.4 million\n \n in financing (the \"Financing\") to a subsidiary of Minto Properties Inc. (\"MPI\") to develop a residential site in\n \n Ottawa, Ontario\n \n (\"Beechwood\"). Beechwood comprises approximately one acre of land fronting Beechwood Avenue in\n \n New Edinburgh\n \n , one of\n \n Ottawa's\n \n most desirable urban main streets and neighbourhoods.\n \n \n The Financing will bear interest at 6% per annum, which will accrue and be payable in full on the maturity of the loan. On stabilization of the property, which is expected in the fourth quarter of 2024, the REIT will have the exclusive option to purchase Beechwood at a 5% discount to its then-appraised fair market value. The Financing will be accretive to the REIT's AFFO per unit during the development period and accretive to the REIT's NAV upon an exercise of its purchase option.\n \n \n The Beechwood development is consistent with the REIT's strategy of growing its institutional quality portfolio of urban multi-residential assets in\n \n Canada's\n \n six major markets. Beechwood has an attractive location with diverse amenities, a strong retail presence and a Walk Score of 84. Much of the REIT's growth strategy will be through development and intensification, lowering the average age of the portfolio and reducing associated capex requirements. Subject to the outcome of final rezoning and site plan approval, Beechwood is expected to be a 9-storey building with approximately 229 rental suites comprising approximately 153,000 square feet and up to three ground floor retail units compr...

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