(Source: The Canadian Press)
Canadian Real Estate Investment Trust (TSX:REF.UN) has acquired a 50 per cent stake in a set of Edmonton retail properties for $39.2 million, the property company announced Wednesday.
CREIT said it will assume a $5.7 million first mortgage, carrying an interest rate of 5.9 per cent and a term to maturity of 8.2 years for properties that form part of the South Edmonton Common shopping centre.
The centre is currently made up of 2.1 million square feet of retail space and includes an IKEA, Walmart, Home Depot and Loblaw Superstore.
CREIT’s stake includes 60,000 square feet of fully developed leasable area as well as property under re-development and retail development land.
Existing tenants include Tim Hortons/Wendy’s, Petro-Canada and The Keg Steakhouse. The average remaining lease term for the properties is about eight years.
Once fully developed, the total leasable area of all the real estate acquired by CREIT will be about 550,000 square feet, representing a total investment of about $65 million.
Read the full article “Canadian REIT acquires 50 per cent stake in Edmonton shopping centre” in the Canadian Press (December 30, 2009).