All amounts are in US dollars unless
otherwise stated
TORONTO, Feb. 27, 2019 /CNW/ - Firm Capital American
Realty Partners Corp. (the "Company"), (TSXV: FCA.U), (TSXV:
FCA) is pleased to announce that it has fully repaid the 7.0%
Convertible Unsecured Debenture (the "Debenture") and
provides an update regarding its Single Family Home Disposition
Program:
FULLY REPAID CONVERTIBLE UNSECURED DEBENTURE
Due to a
combination of working capital and single family home sales as
outlined below, the Company has fully repaid the amount owing on
the Debenture. In total, the Company has repaid approximately
$49 million of both the Debenture and
other forms of debt used to originally encumber the single family
homes prior to the disposition program being implemented.
85% OF ATLANTA SINGLE FAMILY
HOMES SOLD. ONLY 18 HOMES REMAIN
As previously disclosed,
the Company had listed for sale its remaining 120 single family
homes located in Atlanta, Georgia.
To date, the Company has sold or closed sales on 102 homes, or 85%
of the total portfolio, for gross proceeds of approximately
$10.6 million ($9.9 million net of estimated closing costs). Of
these sales, 98 have officially closed with the remaining four
expected to close during Q1/2019. The remaining unencumbered and
unsold 18 single family homes, which have a current list price of
$2.2 million will provide the Company
with additional working capital that will be used for both
operations and future investment opportunities.
ABOUT FIRM CAPITAL AMERICAN REALTY PARTNERS CORP.
Firm
Capital American Realty Partners Corp. is a U.S. focused real
estate investment entity that pursues real estate and debt
investments through the following platforms:
- Income Producing Real Estate Investments: Acquiring
income producing real estate assets in major cities across
the United States. Acquisitions
are completed solely by the Company or in joint-venture partnership
with local industry expert partners who retain property management
responsibilities; and
- Mortgage Debt Investments: Real estate debt and
equity lending platform in major cities across the United States, focused on providing all
forms of bridge mortgage loans and joint venture capital.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
Certain information in this news release constitutes
forward-looking statements under applicable securities law. Any
statements that are contained in this news release that are not
statements of historical fact may be deemed to be forward-looking
statements. Forward-looking statements are often identified by
terms such as "may", "should", "anticipate", "expect", "intend" and
similar expressions. Forward-looking statements in this news
release include, but are not limited to, statements with respect to
the Company's intention to complete the sale of its single-family
homes (and the ability to do so for consideration that accords
with the estimated value of the portfolio, as set out above)
and ultimate debt repayments, the use of proceeds from the new loan
described
above, the use of proceeds from (and timing of) the disposition
of the Company's portfolio of single family homes located in
Atlanta, potential capital
financing and growth opportunities, as well as the Company's
intention to acquire income producing U.S. real estate assets and
complete joint venture partnerships and mortgage debt and equity
lending investments. Forward-looking statements necessarily involve
known and unknown risks, including, without limitation, risks
associated with general economic conditions; adverse factors
affecting the U.S. real estate market generally or those specific
markets in which the Company holds properties; volatility of real
estate prices; inability to complete the Company's single family
property disposition program, debt repayments or debt restructuring
in a timely manner; inability to access sufficient capital from
internal and external sources, and/or inability to access
sufficient capital on favourable terms; industry and government
regulation; changes in legislation, income tax and regulatory
matters; the ability of the Company to implement its business
strategies; competition; currency and interest rate fluctuations
and other risks, including those described in the Company's public
disclosure documents on SEDAR at www.sedar.com.
Readers are cautioned that the foregoing list is not exhaustive.
Readers are further cautioned not to place undue reliance on
forward-looking statements as there can be no assurance that the
plans, intentions or expectations upon which they are placed will
occur. Such information, although considered reasonable by
management at the time of preparation, may prove to be incorrect
and actual results may differ materially from those anticipated.
Forward-looking statements contained in this news release are
expressly qualified by this cautionary statement.
Neither the Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this
release. Additional information about the Company is available
at www.firmcapital.com or www.sedar.com.
SOURCE Firm Capital American Realty Partners Corp.
