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True North Commercial Announces Sale of Two Industrial Properties, Recycles Capital into a 107,000 sq.ft. Downtown Ottawa Office leased by the Federal Government of Canada to Reposition as a Pure Play Office REIT
True North Commercial Announces Sale of Two Industrial Properties, Recycles Capital into a...
About this update from True North Commercial Reit
[{"type":"text","content":"\n\n\n\nTrue North Commercial Announces Sale of Two Industrial Properties, Recycles Capital into a 107,000 sq.ft. Downtown Ottawa Office leased by the Federal Government of Canada to Reposition as a Pure Play Office REIT\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\nCanada NewsWire\nTORONTO, Dec. 20, 2018\n\n\n\nSecures Additional $20 Million Revolving Credit Facility\n/NOT FOR DISTRIBUTION IN THE U.S. OR OVER U.S. NEWSWIRES/\n TORONTO, Dec. 20, 2018 /CNW/ - True North Commercial Real Estate Investment Trust (TSX: TNT.UN) (the \"REIT\") is pleased to announce it has completed the sale of two industrial properties located at 63 Innovation Drive, Hamilton, Ontario and 1035 Industrial Road, Waterloo, Ontario for the sale price of $15.375 million. The REIT intends to redeploy the net proceeds into a 107,000 square foot office property located in Ottawa's central business district. The property is 100% occupied with 95% leased by the Federal Government of Canada (the \"Potential Acquisition\"). The REIT is currently conducting due diligence, but there can be no assurance that the Potential Acquisition will close. \nThe REIT is also pleased to announce it has entered into an agreement with a Canadian chartered bank for a new $20 million unsecured revolving credit facility (the \"Credit Facility\") for a two-year term maturing on December 1, 2020. The Credit Facility will bear interest at 325 basis points per annum above the floating bankers' acceptance rate or 225 basis points per annum above the prime rate.\n\"We are excited to reposition the REIT as a pure play office REIT by divesting of our two existing industrial properties and redeploying the net proceeds into an office property in Ottawa that fits the REIT's core strategy\", stated Daniel Drimmer, the REIT's President and Chief Executive Officer. \"We are also extremely pleased to have arranged this unsecured credit facility which will provide the REIT with increased liquidity and flexibility to enable us to execute on our strategic initiatives.\"\nAbout the REIT\nThe REIT ...