La Prairie, Quebec--(Newsfile Corp. - July 10, 2026) - Margaux Real Estate Investment Trust (TSXV: ALFA.UN) ("Margaux" or the "REIT") is pleased to announce that it has signed a letter of intent (the "LOI") dated July 9, 2026 for the acquisition (the "Acquisition") of a self-storage property (the "Property") located in Saint-Basile-le-Grand, Quebec.
Under the terms of the Acquisition, the total purchase price payable to the vendor at closing is $12.5 million (the "Purchase Price"), with closing anticipated to occur by the end of July. The vendor is an arm's-length party to the REIT and has agreed that $500,000 of the Purchase Price will be satisfied through the issuance of trust units ("Consideration Units") of Margaux, with the balance payable in cash. The number of Consideration Units to be issued has not yet been determined and will be established based on a price per Consideration Unit to be determined at a later date and in accordance with the policies of the TSX Venture Exchange (the "TSXV"), which price will not be lower than the minimum price permitted under such policies. The balance of the Purchase Price is expected to be funded through a combination of debt financing and available cash.
The Property consists of approximately 145,000 square feet of land and a two-storey building totaling approximately 76,000 square feet. The facility includes climate-controlled indoor self-storage units as well as outdoor storage spaces for automobiles, recreational vehicles, trailers, and various types of equipment.
Based on information provided by the vendor, the Property currently generates approximately $1,050,000 in annualized revenue and has an annual net operating income (NOI) of approximately $750,000.
"This acquisition is fully aligned with our strategy of acquiring self-storage assets in high-growth markets," said Michel Lassonde, Chairman of the Board of Trustees and Chief Executive Officer of Margaux. "The property is located on Highway 116, directly across from the large site acquired by Northvolt. It is therefore a strategic location in the heart of Montreal's South Shore and represents a high-quality addition to our portfolio."
Luc Poirier, President and Chief Operating Officer of Margaux, added: "This property offers excellent opportunities for operational optimization and long-term growth. Its location is at the center of a rapidly expanding residential market, ensuring sustained demand for self-storage services in the area."
The LOI was negotiated by KW Urbain, acting as the REIT's real estate broker. The lead broker was Wassim Labateya, Chartered Real Estate Broker and an executive officer of Margaux. A total cash brokerage commission of $250,000 is payable in connection with the Acquisition, of which Mr. Labateya will receive $125,000. The entire commission is being paid in cash exclusively by the vendor.