Press release from CNW Group
KEYreit announces sale of 3 Quebec properties and December 2012 distribution
Wednesday, December 12, 2012
TORONTO, Dec. 12, 2012 /CNW/ - KEYreit (TSX: KRE.UN) today announced that it has entered into an agreement to sell three properties in the province of Quebec for gross proceeds of $1.9 million. The three properties, representing 8,020 square feet of gross leaseable area, are located in the cities of Chateauguay, Cowansville and Jonquiere, and are currently vacant. The property sales are expected to close before the end of December 2012. The net proceeds from the sale will be used to pay down a portion of the REIT's IPO Mortgage which has a current balance outstanding of $23.6 million.
"The REIT has identified certain of the disclaimed former Priszm properties, generally those located in smaller secondary or tertiary markets that are expected to take longer than average to re-lease, which may be sold from time to time", said Kevin Salsberg, Chief Operating Officer of the REIT. "The three sites we are currently disposing of fit the criteria that we have set out for these identified properties and are not considered core to the REIT's long term holdings. The proceeds from property sales can be effectively redeployed into future acquisitions or used to pay down debt, as will be the case with the sale of the three Quebec sites".
December 2012 Distribution
KEYreit also announced today a cash distribution of $0.05 per unit for the month of December 2012. The distribution will be payable on January 15, 2013 to Unitholders of record on December 31, 2012.
KEYreit (TSX: KRE.UN) (formerly Scott's Real Estate Investment Trust) is Canada's premier small-box retail property owner with 231 properties in nine provinces across Canada. KEYreit's properties are well located and geographically diverse across Canada with the majority of all properties containing long-term quadruple net leases.
To find out more about KEYreit (TSX: KRE.UN), visit our website at www.keyreit.com.
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