Choice Properties REIT selling portfolio of 30 properties for $426 million

TORONTO — Choice Properties Real Estate Investment Trust has signed a deal to sell 30 properties in mostly smaller communities across Canada for $426 million.

The buyer was not immediately identified.

article continues below

The portfolio includes 27 stand-alone retail properties and three distribution centres.

They have an average lease term of approximately 12 years with Loblaw Companies Ltd., an affiliated company.

The buyer also has an option to acquire two additional stand-alone retail properties for $29 million.

Choice Properties says the portfolio is being sold for "slightly above" its carrying value and proceeds from the sale will be used to repay debt.

"Along with the recent issuance of equity, this transaction further strengthens our balance sheet by reducing leverage and providing additional capacity to fund our significant development program," chief executive Rael Diamond said in a statement.

This report by The Canadian Press was first published Sept. 20, 2019.

Companies in this story: (TSX:CHP.UN, TSX:L)

Read Related Topics

© Copyright Times Colonist

Most Popular

  • Discover Magazine

    Click here to see the latest Discover Magazine and our other special publications


    The Times Colonist is looking for newspaper carriers to work in the Reader Sales and Service Department.

Find out what's happening in your community.