/NOT FOR DISTRIBUTION IN THE UNITED
STATES OR OVER UNITED
STATES WIRE SERVICES/
MISSISSAUGA, ON, Aug. 18, 2017 /CNW/ - Morguard North
American Residential Real Estate Investment Trust (the "REIT")
(TSX:MRG.UN) and Morguard Corporation (the "Company") (TSX:MRC)
announced today the acquisition of The Fenestra at Rockville Town
Square ("The Fenestra"), a 492-suite apartment community in
Rockville, MD. The acquisition was
completed for a purchase price of $163.1
million (US$129 million). The
entities will own the property on a 50/50 joint venture basis.
"The Fenestra's condo-quality amenities, recent construction and
prominent location in the hub of a growing community make the
property an excellent addition to our portfolio," said K. Rai Sahi, Chief Executive Officer of
Morguard. "This acquisition supports our long-term strategy of
investing in high-quality North American multi-suite residential
assets that improve the quality of the cash flow while maximizing
long-term investment returns for investors."
The Fenestra comprises three six-storey buildings in
Rockville, MD, an urban growth
market located within commuting distance of Washington, DC. Development of The Fenestra
was completed in 2008, which will help mitigate capital expenditure
risk.
The property is prominently located on Rockville Town Square,
the social and cultural hub of Rockville. Residents of The Fenestra can walk
to numerous restaurants, nightclubs and boutique shopping stores,
or easily commute to Washington
via the nearby Washington
Metro.
Concurrent with the acquisition, financing of $89.7 million (US$70.95
million), with a fixed term of 10 years and an interest rate
of 3.55%, was completed.
About Morguard North American Residential REIT
The
REIT is an unincorporated, open-ended real estate investment trust
which owns, through a limited partnership, interests in a portfolio
of 16 Canadian residential apartment communities, located in
Alberta and Ontario, and 30 U.S. low-rise and mid-rise,
garden-style apartment communities located in Colorado, Texas, Louisiana, Illinois, Georgia, Florida, North
Carolina, Virginia and
Maryland consisting of
approximately 13,000 residential suites.
About Morguard Corporation
Morguard Corporation is a
major North American real estate company. It has extensive
retail, office, industrial, multi–suite residential, and hotel
holdings owned directly, or through its investment in Morguard REIT
(TSX: MRT.UN), Morguard North American Residential REIT (TSX:
MRG.UN) and Temple Hotels Inc. (TSX:TPH). Morguard also provides
real estate management services to institutional and other
investors. Morguard's owned and managed portfolio of assets is
valued at $21.9 billion.
For more information, please visit www.morguard.com or follow us
on LinkedIn.
SOURCE Morguard North American Residential Real Estate
Investment Trust