Firm Capital Property Trust Announces Closing of $36.3 Million Edmonton Industrial Portfolio
TORONTO, April 12, 2022 (GLOBE NEWSWIRE) — Firm Capital Property Trust (“FCPT” or the “Trust”) (TSX: FCD.UN) is pleased to announce the closing of the previously announced 50% interest in a 234,424 square foot six building multi-tenant industrial portfolio located in Edmonton, Alberta (the “Edmonton Industrial Portfolio” or the “Property”). The acquisition price for 100% of the Property is approximately $36.3 million ($155 per square foot), excluding transaction costs.
The Edmonton Industrial Portfolio’s located on Whitemud Drive NW and 97 Street, offers excellent access to major vehicular and rail transportation infrastructure. The Edmonton Industrial Portfolio is a short drive to downtown Edmonton and the Edmonton International Airport. The Property is also in close proximity to the Trust’s existing Edmonton Industrial and Residential properties. The Edmonton Industrial Portfolio is 93% occupied and immediately accretive to AFFO.
The Trust acquired the Edmonton Industrial Portfolio such that the Trust owns 50% and private clients affiliated with certain members of senior management and the board of trustees of the Trust (the “Private Clients”) owning the remaining 50% in a side-by-side alignment of interest structure. The acquisition of the Edmonton Industrial Portfolio was financed, in part, with a new $23.7 million first mortgage from a Canadian Chartered Bank. The remaining equity requirement of $12.8 million (excluding transaction costs), was split 50% by the Trust and 50% by the Private Clients. The Trust’s portion of the equity requirement of $6.4 million (excluding transaction costs) was funded through existing cash resources (including the Trust’s credit facility).
As a result of the acquisition of the Property, the Trust’s portfolio (based on IFRS values) consists of approximately 42% grocery anchored and essential retail, 32% industrial, 18% residential, 8% non-grocery anchored retail and under 1% for office.
ABOUT FIRM CAPITAL PROPERTY TRUST (TSX : FCD.UN)
Firm Capital Property Trust is focused on creating long-term value for Unitholders, through capital preservation and disciplined investing to achieve stable distributable income. In partnership with management and industry leaders, The Trust’s plan is to co-own a diversified property portfolio of multi-residential, flex industrial, net lease convenience retail, and core service provider professional space. In addition to stand alone accretive acquisitions, the Trust will make joint acquisitions with strong financial partners and acquisitions of partial interests from existing ownership groups, in a manner that provides liquidity to those selling owners and professional management for those remaining as partners. Firm Capital Realty Partners Inc., through a structure focused on an alignment of interests with the Trust sources, syndicates and property and asset manages investments on behalf of the Trust.
For the complete financial statements, Management’s Discussion & Analysis and supplementary information, please visit www.sedar.com or the Trust’s website at www.firmcapital.com
FORWARD LOOKING INFORMATION
This press release may contain forward-looking statements. In some cases, forward-looking statements can be identified by the use of words such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “believe”, “estimate”, “predict”, “potential”, “continue”, and by discussions of strategies that involve risks and uncertainties. The forward-looking statements are based on certain key expectations and assumptions made by the Trust. By their nature, forward-looking statements involve numerous assumptions, inherent risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and various future events will not occur. Although management of the Trust believes that the expectations reflected in the forward-looking statements are reasonable, there can be no assurance that future results, levels of activity, performance or achievements will occur as anticipated. Neither the Trust nor any other person assumes responsibility for the accuracy and completeness of any forward-looking statements, and no one has any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or such other factors which affect this information, except as required by law.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, which may be made only by means of a prospectus, nor shall there be any sale of the Units in any state, province or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under securities laws of any such state, province or other jurisdiction. The Units of the Firm Capital Property Trust have not been, and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered, sold or delivered in the United States absent registration or an application for exemption from the registration requirements of U.S. securities laws.
Neither the Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this release. Additional information about the Trust is available at www.firmcapital.com or www.sedar.com.
|For further information, please contact:|
|Robert McKee||Sandy Poklar|
|President & Chief Executive Officer||Chief Financial Officer|
|(416) 635-0221||(416) 635-0221|
For Investor Relations information, please contact:
Director, Investor Relations