This news release constitutes a "designated
news release" for the purposes of Chartwell Retirement Residences'
prospectus supplement dated November 14,
2024 to its short form base shelf prospectus dated
April 30, 2024.
MISSISSAUGA, ON, April 1,
2025 /CNW/ - Chartwell Retirement Residences
("Chartwell") (TSX: CSH.UN) announced today that it has acquired
the 345 suite (of which 36 are care units) Résidence Le
Florilège in Quebec
City ("Le Florilège"). Located in the Beauport neighbourhood of Quebec City and built in 2022, Le Florilège is
on a major arterial road directly across from the Beauport Golf
Club and near retail shopping and services. Le Florilège is 97%
occupied. The purchase price of $112.9
million before working capital adjustments and closing costs
is being financed with cash and a $77.6
million loan maturing in 6 months and carrying an interest
rate of Canadian Overnight Repo Rate Average ("CORRA") + 1.95%.
Chartwell also announced today that it has separately acquired
Chartwell L'Envol residences pour retraites ("L'Envol"), a recently
developed retirement residence comprised of 360 suites (of which 36
are care units) built in 2019 in the Cap-Rouge neighbourhood of Quebec City. L'Envol is located within two
kilometres of a major highway and near retail shopping amenities.
L'Envol is 97% occupied. The purchase price of $117.8 million before working capital adjustments
and closing costs is being financed with cash and a $65.4 million loan maturing in 6 months and
carrying an interest rate of CORRA + 1.95%. A mezzanine loan
of $4.2 million extended by Chartwell
to the prior owner of the property was also settled at closing.
Finally, Chartwell announced that it recently acquired the
remaining 15% interest not owned by Chartwell in Chartwell
Trait-Carré residence pour retraites ("Trait-Carré"), a 361
suite (of which 37 are care units) retirement residence located in
Charlesbourg, Quebec, for a price
of $17.2 million before working
capital adjustments and closing costs. Trait-Carré, built in 2021,
is currently 97% occupied. The purchase price included the
proportionate assumption of the $66.5
million financing in place at closing, with the balance
settled in cash. The financing was repaid in full by Chartwell
following closing of the transaction.
"These acquisitions of high quality, recently developed
residences with strong occupancies below replacement cost will
positively contribute to the overall quality of Chartwell's
portfolio and expand our ownership presence in high-growth
Quebec City and its surrounding
neighborhoods. The acquired properties are complementary to our
existing Quebec portfolio and are
already managed by Chartwell, which allows for a seamless
integration into our platform. The transactions are consistent with
our investment strategy to grow in strong markets with newer,
high-quality assets which we believe will be competitive for many
years." said Jonathan Boulakia,
Chief Investment Officer of Chartwell Retirement Residences.
About Chartwell
Chartwell is in the business of
serving and caring for Canada's
seniors, committed to its vision of Making People's Lives BETTER
and to providing a happier, healthier, and more fulfilling life
experience for its residents. Chartwell is an unincorporated,
open-ended real estate trust which indirectly owns and operates a
complete range of seniors housing communities, from independent
living through to assisted living and long term care.
Chartwell is one of the largest operators in Canada, serving approximately 25,000 residents
in four provinces across the country. For more information, visit
www.chartwell.com.
Forward-Looking Information
This press release
contains forward-looking information that reflects the current
expectations, estimates and projections of management about the
future results, performance, achievements, prospects or
opportunities for Chartwell and the seniors housing industry.
Forward-looking information can be generally identified by the use
of words such as "anticipate", "continue", "estimate", "expect",
"expected", "intend", "may", "will", "project", "plan", "should",
"believe" and similar expressions. Except as required by law,
Chartwell does not intend to update or revise any forward-looking
statements, whether as a result of new information, future events
or for any other reason.
For more information, please
contact: Chartwell Retirement
Residences
Jonathan
Boulakia
Chief Investment
Officer
Tel: (905)
501-6763
email:
investorrelations@chartwell.com
SOURCE Chartwell Retirement Residences (IR)
