/NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE SERVICES./
TORONTO, April 23, 2019 /CNW/ - (TSX:CAR.UN) – Canadian
Apartment Properties Real Estate Investment Trust (TSX:CAR.UN)
("CAPREIT" or the "REIT") announced today that it has closed its
previously announced issue and sale of 7,043,750 units for
$49.00 per unit for aggregate gross
proceeds of $345,143,750, which
includes the exercise in full of the over-allotment option. The
offering was sold through a syndicate of underwriters led by RBC
Capital Markets on a bought-deal basis.
CAPREIT intends to use the net proceeds of the Offering:
- to finance the REIT's approximately $116
million equity requirement as part of a $182 million portfolio acquisition of 23
Manufactured Housing Communities totaling 3,469 sites across
Canada;
- to fund the REIT's $46 million
equity requirement for approximately $86
million of additional Canadian acquisitions of newly
constructed apartment properties (that are in the advanced stages
of due diligence for certain of these acquisitions). These
acquisitions are expected to close at various points in the
remainder of the second quarter of 2019;
- to partially repay the outstanding balance on the REIT's
acquisition and operating facility in the amount of approximately
$168 million. The REIT's acquisition
and operating facility was recently drawn to, among other uses,
fund the REIT's approximately $69
million acquisition of Willoughby
Walk that closed on April 15,
2019, fund the REIT's approximately $66 million acquisition of an unencumbered 1,104
site MHC portfolio that closed on March 14,
2019 and to partially fund the approximately €98 million
acquisition of 511 residential suites in the Netherlands that closed on February 26, 2019; and
- the remainder, if any, for future acquisitions, capital
expenditures and for general trust purposes.
ABOUT CAPREIT
CAPREIT owns interests in multi-unit
residential rental properties, including apartments, townhomes and
manufactured home communities primarily located in and near major
urban centres across Canada and
The Netherlands. As at
April 15, 2019, CAPREIT had owning
interests in 53,143 residential units, comprised of 45,446
residential suites and 45 manufactured home communities ("MHC")
comprising 7,697 land lease sites. Since its Initial Public
Offering in May 1997, CAPREIT has
grown monthly cash distributions per unit by 93%. For more
information about CAPREIT, its business and its investment
highlights, please refer to our website at www.caprent.com or
www.capreit.net and our public disclosure which can be found under
our profile at www.sedar.com.
CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING
STATEMENTS
All statements in this press release that do not
relate to historical facts constitute forward-looking statements.
These statements represent CAPREIT's intentions, plans,
expectations and beliefs and are subject to certain risks and
uncertainties that could result in actual results differing
materially from these forward-looking statements. These risks and
uncertainties are more fully described in regulatory filings that
can be obtained on SEDAR at www.sedar.com.
SOURCE Canadian Apartment Properties Real Estate Investment
Trust (CAPREIT)