/NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE SERVICES/
TORONTO, Aug. 30, 2016 /CNW/ - Smart Real Estate
Investment Trust ("SmartREIT") (TSX:SRU.UN) announced today that it
has closed its previously announced $350
million aggregate principal amount issue of senior unsecured
debentures. The issue included (i) $100
million principal amount of Series O senior unsecured
debentures that carry an annual coupon rate of 2.987% and will
mature on August 28, 2024 and (ii)
$250 million principal amount of
Series P senior unsecured debentures that carry an annual coupon
rate of 3.444% and will mature on August 28,
2026. The issue was offered by a syndicate of dealers co-led
and book-run by CIBC Capital Markets and BMO Capital Markets.
SmartREIT intends to use the net proceeds from the offering to
repay existing indebtedness, including the redemption of its
$100 million 5.00% Series F senior
unsecured debentures due February 1,
2019, $90 million 4.70% Series
G senior unsecured debentures due August 22,
2018, the repayment of $100
million outstanding under SmartREIT's revolving credit
facility, and for general trust purposes.
DBRS Limited has provided SmartREIT with a credit rating of BBB,
with a stable trend, relating to the debentures.
The debentures offered have not been registered under the United
States Securities Act of 1933, as amended or state securities laws.
Absent registration or an applicable exemption from the
registration requirements, this press release does not constitute
an offer to sell or solicitation of an offer to buy any of the
debentures in any jurisdiction in which such offer, solicitation or
sale would be unlawful.
This offering is being made by way of a prospectus supplement
dated August 16, 2016 to SmartREIT's
existing $2 billion short form base
shelf prospectus dated December 22,
2015. The terms of the offering are described in the
aforementioned prospectus supplement, which has been filed with
Canadian securities regulators in all jurisdictions of Canada where the Series O senior unsecured
debentures and the Series P senior unsecured debentures were
offered.
About SmartREIT
SmartREIT is one of Canada's
largest real estate investment trusts with total assets in excess
of $8.6 billion. It owns and manages
in excess of 31 million square feet in value-oriented, principally
Walmart-anchored retail centres, having the strongest national and
regional retailers as well as strong neighbourhood merchants. In
addition, SmartREIT is a joint-venture partner in the Toronto and Montreal Premium Outlets with
Simon Property Group. SmartREIT's core vision is to provide a
value-oriented shopping experience in all forms to Canadian
consumers and over time create high quality mixed use developments
in urban settings.
With SmartREIT's 2015 acquisition of SmartCentres, SmartREIT has
transformed into a fully integrated real estate provider. SmartREIT
and SmartCentres have had a long and successful alliance, helping
to provide Canadians with value-focused retail shopping centres
across the country. Now, the alliance has grown even stronger, the
result is a fully integrated real estate provider with expertise in
planning, development, leasing, operations and construction - all
under one roof. For more information on SmartREIT, visit
www.smartreit.com.
SOURCE Smart Real Estate Investment Trust
