TSX-Venture-IIP
TORONTO, June 21 /CNW/ - InterRent International Properties
Inc.,("InterRent" or the "Company") today announced another acquisition, its
seventeenth, since raising $8.0 million in equity in December of 2004, as the
Company pursues its short term objective of owning 1,000 apartment suites in
Ontario by August 31, 2005, the end of its current fiscal year.
In its latest acquisition the Company entered into a conditional purchase
and sale agreement with arms length vendors for the purchase of a 48 unit
apartment complex in the Town of Prescott, Ontario. The complex comprising
three 3 storey buildings on 1.76 acres, was constructed approximately fifteen
years ago and contains forty 2 bedroom, and eight 1 bedroom suites, with the
majority separately metered for electricity. The purchase price of
$2.45 million ($51,042 per suite) will be paid for by the assumption of a
$1.7 million first mortgage, bearing interest at 4.64%, and due in 2009, a
$200,000 vendor take-back second mortgage bearing interest at 5%, and due
concurrently with the first mortgage, and the balance in cash. The closing of
the transaction is scheduled for August 10, 2005, and is conditional upon
InterRent's completion of its due diligence. The Company also announced that
it has closed on its previously announced acquisition of 143 suites in London,
Hamilton, Ottawa, Trenton and Toronto, and now has ownership of 727 apartment
suites in Ontario, with a further 100 scheduled to close in July of 2005.
Michael Newman President & CEO of InterRent, commenting on the
acquisition stated. "Management has successfully deployed the proceeds of the
equity raised late last year and achieved 135% growth this year. We will
continue to execute on our objective of building our portfolio, to become a
leading owner/operator of multi residential real estate within the Province,
through additional accretive acquisitions, some of which have already been
identified. Management is also exploring various alternatives to enhance
shareholder value, and will report to shareholders as these initiatives
approach realization."
InterRent is a rapidly expanding, growth oriented real estate company
engaged in building shareholder value through the acquisition, ownership and
operation of strategically located income producing multi-residential real
estate, with 827 apartment suites under ownership or binding agreements of
purchase.
Certain information in this press release may contain forward-looking
statements. This information is based on current expectations that are subject
to significant risks and uncertainties that are difficult to predict. Actual
results might differ materially from results suggested in any forward-looking
statements. The Company assumes no obligation to update the forward-looking
statements, or to update the reasons why actual results could differ from
those reflected in the forward looking-statements unless and until required by
securities laws applicable to the Company. Additional information identifying
risks and uncertainties is contained in the Company's filings with the
Canadian securities regulators, which filings are available at www.sedar.com.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
%SEDAR: 00010579E
