CAPREIT Completes Greater Montreal Area Apartment Acquisition & First Operating Lease Buyout
TORONTO, Nov. 21, 2019 (GLOBE NEWSWIRE) — Canadian Apartment Properties Real Estate Investment Trust (“CAPREIT”) (TSX:CAR.UN) announced today that it has completed the acquisition of a brand new, seven-storey apartment building in the Greater Montreal Area in the suburb of Boisbriand. Occupancy for the property currently stands at 96.3%. CAPREIT paid approximately $33.3 million for the property, funded by its Acquisition and Operating credit facility.
This modern and attractive property is well-located for residents wishing to live within driving distance of downtown Montreal but also enjoy easy access to the Laurentian Mountains. It is situated close to Faubourg Boisbriand, a premier shopping destination with pharmacies, restaurants and department stores, as well as schools, colleges, parks and a major sports complex. The building contains a mix of 121 bachelor, one, two and three bedroom apartments with parking, a fitness facility and indoor salt-water swimming pool. All suites include a balcony, air conditioning, stainless steel appliances and a washer-dryer.“We continue to strengthen and modernize our portfolio with the acquisition of new and recently constructed properties such as REZ Boisbriand. We are confident this attractive and well-appointed property will see high demand and will benefit from our strong and proven Montreal management team,” commented Mark Kenney, President and CEO.CAPREIT also announced today that it had completed the first of the previously announced buyouts of an existing operating lease on a Toronto apartment property containing 155 rental suites, converting the ownership to traditional fee simple property interest. The net purchase price for the leased property was approximately $8.3 million funded by the REIT’s Acquisition and Operating credit facility.“By accelerating the buyout of these operating leases, we are simplifying our ownership structure, increasing our net asset value, and providing additional liquidity and flexibility to act on further growth opportunities going forward,” Mr. Kenney added.A Media Snippet accompanying this announcement is available by clicking on the image or link below: