The large-scale transactions were valued at a total of $44 million
Nexus Real Estate Investment Trust has announced the completion of its acquisition of two industrial properties located in Calgary, Alberta and Headingley, Winnipeg, Manitoba, valued at a total of $44 million.
The Calgary asset, located at 10774 42 Street SE, is situated on 14 acres of land and offers approximately 165,000 square feet of gross leasable area. At present, it serves as the head office of large utility contractor Valard Construction.
The Headingley property, located at 97 Nicola Drive, is situated on 23 acres of land and has approximately 40,000 square feet of gross leasable area.
Read more: Nexus REIT announces strong Q1 2021 results
Nexus REIT reported that the acquisition was financed through a combination of 1,821,925 Class B LP Units of a subsidiary limited partnership issued to the vendor, “which were valued at the volume weighted average trading price of the REIT’s units for the five days prior to the April 16, 2021 purchase and sale agreement execution date, cash on hand, and cash drawn on a revolving credit facility.”
The REIT is also expecting that mortgage financing will be placed on the properties, with the proceeds of these to be used for financing future acquisitions.
