OTTAWA,
ON, Feb. 15, 2024 /CNW/ - Minto Apartment Real
Estate Investment Trust (the "REIT") (TSX: MI.UN) announced today
the successful completion of its previously announced sale of the
Tanglewood and Chesterton/Bowhill properties located in
Ottawa, Ontario, to Ottawa
Community Housing Corporation for gross proceeds of $86 million. The net proceeds of $68 million, after mortgage repayments and
disposition costs, will be used to repay a portion of the
variable-rate debt under the REIT's revolving credit facility.
"The successful completion of this accretive sale strengthens
the REIT's balance sheet and provides increased flexibility with
respect to the REIT's refinancing, operating and investment
strategies." said Jonathan Li,
President and Chief Executive Officer of the REIT.
This will mark the second recent reduction in the REIT's
variable-rate debt following a $30
million pay down of the revolving credit facility that was
made on January 31, 2024, from funds
received in connection with the repayment of the convertible
development loan related to Fifth + Bank property located in
Ottawa, Ontario. In addition, as
previously disclosed, the REIT is currently evaluating upward
refinancing opportunities that may generate incremental net
financing proceeds of $55 to
$65 million which will be used to
repay portions of the revolving credit facility.
About Minto Apartment Real Estate
Investment Trust
Minto Apartment Real Estate Investment Trust is an
unincorporated, open-ended real estate investment trust established
pursuant to a declaration of trust under the laws of the Province
of Ontario to own income-producing
multi-residential properties located in Canada. The REIT owns a portfolio of
high-quality multi-residential rental properties
located primarily in urban centers in Canada's major markets of Toronto, Montreal, Ottawa and Calgary. For more information on Minto
Apartment REIT, please visit the REIT's website
at https://www.mintoapartmentreit.com.
Forward-Looking
Information
This news release may contain forward-looking information within
the meaning of applicable securities legislation, which reflects
the REIT's current expectations regarding future events and in some
cases can be identified by such terms as "will" and "may".
Forward-looking information is based on a number of assumptions and
is subject to a number of risks and uncertainties, many of which
are beyond the REIT's control that could cause actual results and
events to differ materially from those that are disclosed in or
implied by such forward-looking information. Such risks and
uncertainties include, but are not limited to, future upward
refinancing opportunities, and the factors discussed under "Risk
Factors" in the REIT's Annual Information Form dated March 8, 2023, which is available on SEDAR+
(www.sedarplus.ca). The REIT does not undertake any obligation to
update such forward-looking information, whether as a result of new
information, future events or otherwise, except as expressly
required by applicable law. This forward-looking information speaks
only as of the date of this news release.
SOURCE Minto Apartment Real Estate Investment Trust