2600 Seven Evergreen Place, Winnipeg, Manitoba R3L 2T3
Tel.: (204) 475-9090 Fax: (204) 452-5505 E-mail: info@treit.ca Website: www.treit.ca
TEMPLE REAL ESTATE INVESTMENT TRUST Press Release TEMPLE REIT ANNOUNCES ACQUISITION OF RADISSON HOTEL & SUITES FORT MCMURRAY
Winnipeg, Manitoba, January 10, 2012 - Temple Real Estate
Investment Trust ("Temple REIT") (TSX Venture: TR.UN)
announced today it has agreed to acquire the Radisson Hotel &
Suites Fort McMurray (the "Hotel") for $25.1 million, subject
to the usual closing adjustments. The 5-storey Hotel, which
opened in 2003, is centrally located on Gregoire Drive midway
between downtown Fort McMurray and the Fort McMurray Airport.
The Hotel contains 134 guestrooms, including 28 suites and an
executive floor with 23 rooms. Other amenities offered by the
Hotel include:
• Flexible meeting space totalling approximately 5,650 square
feet, comprised of six distinct rooms, providing a variety of
options for small to large corporate meetings and
conferences, training sessions and social events;
• A variety of recreational amenities, including heated
indoor pool with waterslide, whirlpool and 24-hour fitness
room;
• 175-seat restaurant under lease to a new
tenant/operator;
• 221 surface parking spaces; and
• Other facilities include a business centre, guest laundry
facilities and seven staff housing units (15-bedrooms).
Temple REIT will undertake a $2.7 million capital expenditure
program over approximately18 months, consisting primarily of
guest room and lobby/corridor refurbishment.
Based on the 2012 forecasted net income, the total investment
in the Hotel of $27.8 million, including refurbishment,
represents a capitalization rate of approximately 13%. The
acquisition will be financed with a first mortgage loan in
the amount of $15 million, a vendor take-back mortgage in the
amount of $3 million and the balance in cash. The first
mortgage loan will bear interest at an estimated rate of 5.6%
for a three-year term and will have a 20-year amortization.
The vendor take-back mortgage will bear interest at 10%,
payable interest-only on a quarterly basis, and will mature
on February 1, 2013. The acquisition is scheduled to close on
February 1,
2012.
Temple REIT is a real estate
investment trust, which is listed on the TSX Venture Exchange
under the symbols TR.UN (trust units), TR.DB.A, TR.DB.B,
TR.DB.C and TR.DB.S (convertible debentures). The objective
of TREIT is to provide Unitholders with stable cash
distributions from investment in a diversified portfolio of
hotel properties and related assets. For further information
on TREIT, please visit our website at www.treit.ca.
FOR FURTHER INFORMATION PLEASE CONTACT:
Arni Thorsteinson ,
Chief Executive Officer, or Gino Romagnoli,
Investor Relations
Tel: (204) 475-9090, Fax:
(204) 452-5505, Email: info@treit.ca
This press release contains certain statements that could be
considered as forward-looking information. The
forward-looking information is subject to certain risks and
uncertainties, which could result in actual results differing
materially from the forward-looking statements.
The TSX Venture Exchange has not reviewed or approved the contents of this press release and does not accept responsibility for the adequacy or accuracy of this press release.
distribué par | Ce noodl a été diffusé par Temple Real Estate Investment Trust et initialement mise en ligne sur le site http://www.treit.ca. La version originale est disponible ici. Ce noodl a été distribué par noodls dans son format d'origine et sans modification sur 2012-01-10 23:07:25 PM et restera accessible depuis ce lien permanent. Cette annonce est protégée par les règles du droit d'auteur et toute autre loi applicable, et son propriétaire est seul responsable de sa véracité et de son originalité. |
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