TORONTO / DALLAS, May 14, 2014 /CNW/ - Milestone Apartments REIT (TSX: MST.UN) ("Milestone" or the "REIT")
today announced that it has completed the purchase of Harbor Creek, a
316-unit garden-style multifamily apartment community located in the
Canton submarket of Atlanta, Georgia, for a purchase price of US$28.0
million. This acquisition was previously announced by the REIT on May
1, 2014.
Harbor Creek was built in two phases in 2003 and 2007, and is currently
approximately 98% occupied. The property features extensive amenities
consistent with the REIT's established portfolio and benefits from its
close proximity to several employment centers and major transportation
corridors, including downtown Atlanta.
The acquisition was funded using proceeds raised from the previously
announced equity bought deal financing and the refinancing of the
US$228.6 million mortgage debt facility, both completed in April 2014.
The REIT is in the process of placing a seven-year, interest only
fixed-term mortgage of approximately US$15.7 million on Harbor Creek,
at an interest rate of approximately 3.55%. Finalization of this
financing is expected by May 30, 2014 and is subject to customary
closing procedures.
About Milestone Apartments REIT
Milestone Apartments REIT is an unincorporated, open-ended real estate
investment trust that is governed under the laws of Ontario. The REIT's
portfolio consists of 55 multifamily garden-style residential
properties, comprising 17,964 units that are located in 11 major
metropolitan markets throughout the Southeast and Southwest United
States. Milestone Apartments REIT is the largest REIT listed on the TSX
focused solely on the U.S. multifamily sector. The REIT operates its
portfolio through its internal property management company, Milestone
Management, with more than 900 employees across the U.S. Based in
Dallas, TX, TMG Partners, L.P., an affiliate of The Milestone Group, is
the external asset manager of the REIT. For more information, please
visit www.milestonereit.com.
About The Milestone Group
The Milestone Group is a privately-held real estate investment
management company with expertise and presence in major metropolitan
markets throughout the United States. The firm has corporate offices in
Dallas, TX and New York, NY with regional acquisition and management
offices across the United States. Founded in 2004, The Milestone Group
has a strong track record of investing in the U.S. multifamily sector,
including completion of more than US$4.5 billion in multifamily
transactions. For more information, please visit www.milestonegp.com.
Forward-looking information
This news release may contain forward-looking statements (within the
meaning of applicable securities laws) relating to the business of the
REIT and the environment in which it operates. Forward-looking
statements are identified by words such as "believe", "anticipate",
"expect", "intend", "plan", "will", "may", "estimate" and other similar
expressions. These statements are based on the REIT's expectations,
estimates, forecasts and projections and include, without limitation,
statements regarding the ability to arrange mortgage financing for
Harbor Creek on the terms described. They are not guarantees of future
performance and involve risks and uncertainties that are difficult to
control or predict. A number of factors could cause actual results to
differ materially from the results discussed in the forward-looking
statements, including, but not limited to, the factors discussed under
the heading "Risk Factors" in the REIT's annual information form
available at www.sedar.com. There can be no assurance that forward-looking statements will prove
to be accurate as actual outcomes and results may differ materially
from those expressed in these forward-looking statements. Readers,
therefore, should not place undue reliance on any such forward-looking
statements. Further, these forward-looking statements are made as of
the date of this news release and, except as expressly required by
applicable law, the REIT assumes no obligation to publicly update any
such statement, whether as a result of new information, future events
or otherwise.
SOURCE Milestone Apartments REIT
