CAPREIT Significantly Expands Presence in Halifax, Nova Scotia
TORONTO, Dec. 10, 2019 (GLOBE NEWSWIRE) — Canadian Apartment Properties Real Estate Investment Trust (“CAPREIT”) (TSX:CAR.UN) announced today that it has waived conditions and agreed to acquire, subject to regulatory approvals, a portfolio of eight properties containing fourteen apartment buildings totaling 1,503 rental suites, well-located throughout the downtown core and surrounding metro area of Halifax, Nova Scotia. A table summarizing the properties being acquired is below.
Occupancy for the total portfolio currently stands at 99.9%. CAPREIT will pay approximately $391 million for the portfolio, satisfied by the assumption of approximately $109.1 million in mortgages with a weighted average interest rate of 1.94% and a weighted average term to maturity of 1.25 years, with the balance in cash from its Acquisition and Operating credit facility. Closing is expected by the end of January 2020.The properties have been well maintained and all are close to key amenities such as the Halifax waterfront, the city’s Central Business District, schools, universities, public transport, shopping, walking trails, entertainment, and other attractions. A number of the properties contain retail components to better serve residents.“With this purchase, we will significantly increase the size and scale of our Halifax portfolio, capturing strong economies of scale and operating synergies across our asset base in the city,” commented Mark Kenney, President and CEO. “Once completed, our Halifax portfolio will grow to over 3,100 residential suites, transforming CAPREIT into one of the city’s premier providers of quality rental accommodation.”A Media Snippet accompanying this announcement is available by clicking on the image or link below: