RioCan Real Estate Investment Trust Completes Previously Announced $58.5 Million Acquisition Of 5 Shopping Centres.Business Editors TORONTO--(BUSINESS WIRE)--Nov. 2, 2000 RioCan Real Estate Investment Trust RioCan Real Estate Investment Trust (TSX: REI.UN) is the largest real estate investment trust (REIT) in Canada with ownership interests in over 200 retail properties.[1] (TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). :REI.UN.) ("RioCan") today announced that it has completed previously announced acquisitions of 5 shopping centres from Ivanhoe Inc. for a total purchase price of $58.5 million. The shopping centres contain in the aggregate approximately 500,000 square feet of leasable area and are all anchored by a national supermarket retailer. The 5 shopping centres acquired are:
Bamburgh Gardens Toronto, Ontario
Markham Corners Toronto, Ontario
Miracle Plaza Hamilton, Ontario
751 Upper James Hamilton, Ontario
Victoria Park Square Toronto, Ontario
The originally planned (and announced) acquisition of University Plaza in Hamilton, Ontario by RioCan from Ivanhoe Inc. as part of this portfolio was terminated by mutual agreement. In addition, the previously announced acquisition of a 50% interest in Northumberland Mall in Cobourg, Ontario Cobourg (2006 population 18,210) is a town some 110 kilometers east of Toronto in the Canadian province of Ontario. It is the largest town in and the seat of Northumberland County, Ontario; its nearest neighbour is Port Hope, 7 km to the west. from Ivanhoe Inc. is expected to be completed in December 2000. RioCan is today announcing that it has agreed to acquire the other 50% interest in Northumberland Mall from Sears Canada. Accordingly in December, RioCan will become the owner of 100% of the mall. The properties were acquired on an all-cash basis and RioCan will achieve an unlevered return of 11% on this portfolio. Edward Sonshine, Q.C., President & CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of RioCan, said, "We are extremely pleased at the quality of the portfolio we have acquired. The shopping centres are in the Greater Toronto Area The Greater Toronto Area (widely abbreviated as the GTA) is the most populous metropolitan area in Canada. The GTA is a provincial planning area with a population of 5,555,912 at the 2006 Canadian Census. and 76% of income is earned from supermarket and national tenants. We expect to add further value to this portfolio by capitalizing on our dominant position in the market and our excellent relationships with the tenant community." RioCan is Canada's largest real estate investment trust. RioCan has total assets of approximately $2.3 billion consisting of ownership interests in a portfolio of 135 retail properties across Canada containing an aggregate of well over 20 million square feet of gross leasable area Gross leasable area (GLA) in the retail development industry is a term applied to shopping malls, lifestyle centers, outlet malls and other retail centers to indicate the amount of floor space available to be rented. . RioCan's primary objective is the long-term maximization of cash flow and capital appreciation of its portfolio. It achieves this by proactively managing its existing properties, seeking accretive acquisition Accretive Acquisition An acquisition that will increase the acquiring company's EPS. Notes: As they are expected to increase the acquiring company's future earnings, these acquisitions tend to be favorable for the company's market price. and expansion opportunities and undertaking development activities on a selective basis. RioCan is listed on the Toronto Stock Exchange Toronto Stock Exchange (TSE) Canada's largest stock exchange, trading approximately 1,200 company stocks and 33 options. under the symbol REI.UN. |
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