Business
True North Commercial Real Estate Investment Trust Commences Deployment of September 2019 Unit Offering with Acquisition of Class "A" Office Properties in the GTA and Calgary
True North Commercial Real Estate Investment Trust Commences Deployment of September 2019 ...
About this update from True North Commercial Reit
[{"type":"text","content":"\n\n\n\nTrue North Commercial Real Estate Investment Trust Commences Deployment of September 2019 Unit Offering with Acquisition of Class \"A\" Office Properties in the GTA and Calgary\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, Oct. 24, 2019\n\n\n\n524,800 square feet, 100% occupied by Government and Credit-Rated Tenants\n/NOT FOR DISTRIBUTION IN THE U.S. OR OVER U.S. NEWSWIRES/\n TORONTO, Oct. 24, 2019 /CNW/ - True North Commercial Real Estate Investment Trust  (TSX: TNT.UN) (the \"REIT\") is pleased to announce it has agreed to acquire: (i) a 315,400 square foot Class \"A\" office property located at 101 McNabb Street, Markham, Ontario (the \"GTA Property\"); and (ii)  a 209,400 square foot Class \"A\" office property located at 3699 63rd Avenue NE, Calgary, Alberta (the \"Calgary Property\"), collectively with the GTA Property, the \"Acquisition Properties\".\nThe Acquisition Properties which are 100% occupied represent a combined implied capitalization rate of approximately 6.7% and are expected to be immediately accretive to the REIT's adjusted funds from operations (\"AFFO\"). After the closing of the Acquisition Properties, the REIT's gross revenue from government and credit-rated tenants is expected to increase from 79% to 82% and the weighted average remaining lease term will increase from 4.0 years to 4.6 years.\nThe aggregate purchase price of the Acquisition Properties is approximately $190.5 million, exclusive of closing costs, and is expected to be satisfied by a combination of: (i) proceeds from the REIT's September public unit offering; (ii) first mortgage financing on each of the properties in the aggregate amount of approximately $128.3 million; and (iii) the issuance of the REIT's trust units to the vendor of the GTA Property in the aggregate amount of $15 million at a price per Unit equal to the five (5) day volume weighted average price  as of 5 business days prior to Closing.\nClosing is expected to be on or about November 15, 2019 and November 4, 2019, in respect ...