VANCOUVER, Feb. 2 /PRNewswire/ - Pure Industrial Real Estate Trust ("PIRET" or the "REIT") (TSXV: AAR.UN) today announced the successful closing of a single tenant, income producing industrial property that was previously announced on January 10th, 2011 for a total purchase price of $40,000,000.
The property is located in Burnaby, British Columbia and is 100% leased on a net, carefree basis to TFI TRANSPORT 2 L.P., a division of TransForce Inc., a publically traded (TFI-T) transportation and logistics firm with a market capitalization of $1.3 billion. The tenant has entered into a fifteen year leaseback with PIRET, with contracted rent escalations every five years.
The property, located at 7867 - 7890 Express Street, Burnaby, British Columbia, is 183,000 sq.ft. and is situated on 27 acres. The facility is an efficient and well located cross-dock distribution facility and is being acquired at a favorable going-in cap rate of 7.07%. PIRET funded the acquisition with equity from the bought deal financing that closed on January 28th 2011 and a 10 year first mortgage of $26,000,000 bearing interest at a rate of 5.02 percent.
After completing this acquisition and as previously announced PIRET will have completed more than $180 million in acquisitions since January 2010.
PIRET's units are listed on the TSX Venture Exchange under the symbol AAR.UN. For more information on PIRET, visit our website at www.piret.ca.
About Pure Industrial Real Estate Trust (PIRET)
PIRET is an unincorporated, open-ended investment trust established for the purposes of acquiring, owning and operating a diversified portfolio of income-producing industrial properties in primary markets across Canada. PIRET focuses exclusively on investing in industrial properties and is the only publicly traded vehicle in Canada that offers investors exclusive exposure to Canada's industrial asset class.
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR THE ACCURACY OF THIS RELEASE.
SOURCE Pure Industrial Real Estate Trust (PIRET)