/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES./
TORONTO, April 27,
2022 /CNW/ - Starlight U.S. Residential Fund (TSXV:
SURF.A) (TSXV: SURF.U) (the "Fund") announced today that, it
has acquired Eight at East, a Class "A" institutional quality,
multi-family property completed in 2017 and is located in a suburb
of Orlando, Florida. The
US$91.75 million purchase price was
satisfied with: (i) proceeds from the
Fund's initial public offering; and (ii) new
first mortgage debt in the amount of approximately US$64.25 million with an initial term of three
years, subject to two one-year extension options, and will be
interest only and payable at an annual interest rate of one-month
term secured overnight financing rate + 2.60%.
Eight at East is located in east Orlando close to significant employment
drivers including Central Florida Research Park, University of Central Florida and Lake Nona Medical
Center. The property is comprised of 264 one, two and three-bedroom
multi-family residential suites in 20 garden-style two and three
storey buildings on a 32-acre site. The suites feature quartz
countertops, stainless steel appliances, tile backsplash, and vinyl
plank flooring. Amenities include a clubhouse with coffee bar,
conference room, a billiards and game room and a 24-hour fitness
centre. Additional amenities include an extensive veranda area
overlooking a resort-style pool with cabanas, outdoor fireplace and
fire pit, gas grill barbecue areas, dog park, and conservation
boardwalk, as well as controlled access entry gates.
"We are excited to add Eight at East, a high-quality
multi-family residential community located in one of Orlando's strongest suburban submarkets with
diverse demand drivers and significant growth potential." commented
Evan Kirsh, the Fund's President.
"This property will help to further geographically diversify the
Fund's portfolio by providing exposure to a robust, new
market".
The Fund has selected The Bainbridge Companies
("Bainbridge") to property manage Eight at East. Bainbridge
currently manages over 3,000 units for the manager of the Fund
across four markets, including Hudson at East, located directly
adjacent to Eight at East.
Forward-looking Statements
This news release contains statements that may constitute
forward-looking statements within the meaning of Canadian
securities laws, and which reflect the Fund's current expectations
regarding future events, including the financial performance of the
Fund and its
properties, including the impact of COVID-19 on the business and
operations of the Fund and Eight at East. Particularly, statements
regarding future results, performance, achievements, prospects or
opportunities for Fund or the real estate industry are forward-
looking statements. In some cases, forward-looking statements can
be identified by terms such as "may", "might", "will", "could",
"should", "would", "occur", "expect", "plan", "anticipate",
"believe", "intend", "seek", "aim", "estimate", "target",
"project", "predict", "forecast", "potential", "continue",
"likely", "schedule", or the negative thereof or other similar
expressions concerning matters that are not historical facts.
The forward-looking statements in this news release involve
risks and uncertainties, including those set forth in the Fund's
materials filed with the Canadian securities regulatory authorities
from time to time at www.sedar.com. Actual results could differ
materially from those projected herein. Those risks and
uncertainties include, among other things, risks related to: the
impact of COVID-19 on the Fund's portfolio, including Eight at
East, as well as the impact of COVID-19 on the markets in which the
Fund operates and the trading price of the Fund's listed units; the
applicability of any government regulation concerning the Fund's
tenants or rents as a result of COVID-19; reliance on the Fund's
manager; the expected benefits of the ownership of Eight at East;
the experience of the Fund's officers and directors; substitutes
for residential real estate rental suites; reliance on property
management; competition for real property investments and tenants;
and United States market
factors.
Information contained in forward-looking statements is based
upon certain material assumptions that were applied in developing
such forward-looking statements including management's perceptions
of historical trends, current conditions and expected future
developments, as well as other considerations that are believed to
be appropriate in the circumstances, including the following: the
overall financial performance of the Fund's portfolio including as
a result of the acquisition and financing of Eight at East; the
ability to deploy the remaining proceeds from the initial public
offering and any refinancing; the impact of COVID-19 on the Fund's
portfolio, including Eight at East, as well as the impact of
COVID-19 on the markets in which the Fund operates and the trading
price of the Fund's listed units; the applicability of any
government regulation concerning the Fund's tenants or rents as a
result of COVID-19; the ability of the manager of the Fund to
manage and operate the Fund's properties; the ability of the
property managers selected to manage the Fund's properties; the
population of multi-family real estate market participants;
assumptions about the markets in which the Fund operates; the
global and North American economic environment; foreign currency
exchange rates; and governmental regulations or tax laws. Readers
are cautioned against placing undue reliance on forward- looking
statements. Except as required by applicable Canadian securities
laws, none of the Fund or its manager undertake any obligation to
update or revise publicly any forward- looking statements, whether
as a result of new information, future events or otherwise,
after the date on which the statements are made or to reflect
the occurrence of unanticipated events.
About Starlight U.S. Residential
Fund
The Fund is a trust formed under the laws of Ontario
for the primary purpose of indirectly
acquiring, owning, and operating a portfolio of income producing
multi-family and single- family residential rental properties in
the U.S. residential real estate market located primarily in
Arizona, California, Colorado, Florida, Georgia, Idaho, Nevada, North
Carolina, Oregon,
South Carolina, Tennessee, Texas, Utah,
and Washington. Following the
Acquisition, the Fund will have interests
in and operate a portfolio comprising 1,702, Class "A"
stabilized, income producing multi-family residential suites
located in Austin, Texas,
Tampa, Florida, Las Vegas, Nevada and Raleigh, North Carolina, and 91 single-family
residential rental homes in Atlanta, Georgia.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is
defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy
or accuracy of this release.
SOURCE Starlight U.S. Residential Fund