Nexus REIT Announces Release Date for Third Quarter Results and Results Call, October 2020 Distribution, Updates on TSX Graduation and Acquisition, and Issuance of Units to Settle Debt

TORONTO and MONTREAL, Oct. 19, 2020 (GLOBE NEWSWIRE) — Nexus Real Estate Investment Trust (the “REIT”) (TSXV: NXR.UN) announced today that it intends to release its financial results for the quarter ended September 30, 2020 before the opening of the TSX on Tuesday November 17, 2020.
Management of the REIT will host a conference call at 1:00 PM Eastern Standard Time on Tuesday November 17, 2020 to review the financial results and operations.To participate in the conference call, please dial 416-915-3239 or 1-800-319-4610 (toll free in Canada and the US) at least five minutes prior to the start time and ask to join the Nexus REIT conference call.A recording of the conference call will be available until December 17, 2020. To access the recording, please dial 604-674-8052 or 1-855-669-9658 (toll free in Canada and the US) and enter access code 5401.TSX Graduation UpdateThe REIT is working through its listing application with the TSX and expects to graduate shortly. Subject to Exchange approval, the REIT plans to undertake a 4 to 1 unit consolidation at or around the time of graduation to the TSX.October DistributionThe REIT will make a cash distribution in the amount of $0.01333 per unit, representing $0.16 per unit on an annualized basis, payable November 13, 2020 to unitholders of record as of October 30, 2020. Should the REIT complete its planned unit consolidation prior to the October 30, 2020 record date, the distribution amount will be adjusted proportionately.The REIT’s distribution reinvestment plan (“DRIP”) entitles eligible unitholders to elect to receive all, or a portion of the cash distributions of the REIT reinvested in units of the REIT. Eligible unitholders who so elect will receive a bonus distribution of units equal to 4% of each distribution that was reinvested by them under the DRIP.Insider participation in the DRIP is approximately 1.5% of total participation for the October distribution payable on November 13, 2020.A total of 2,996,655 units have been issued under the DRIP since its inception in February 2014.Acquisition UpdateOn October 1, 2020, the REIT completed the acquisition announced on August 24, 2020. The REIT acquired a single-tenant industrial property located in Rocky View County Alberta, within the Calgary Metropolitan Region, for a contractual purchase price of $13,750,000 at an attractive 6.8% going-in capitalization rate. The property has a gross leasable area of 95,180 square feet on 10 acres of land and is fully occupied by a company that specializes in commercial building products. The contractual purchase price was partially satisfied through the issuance of 2,750,000 Class B LP Units of a subsidiary limited partnership of the REIT at a deemed value of $2.00 per unit, which are convertible to REIT Units on a one to one basis.The REIT is also in advanced discussion with respect to the acquisition of a 50% interest in a Greater Toronto Area industrial property with approximately 500,000 square feet of GLA, and has a strong pipeline of other potential acquisition opportunities.Issuance of Units to Settle DebtOn October 1, 2020, the REIT issued 93,167 Class B LP Units of Nexus Richmond LP, a subsidiary limited partnership of the REIT, to the vendor of the REIT’s Richmond BC property (the “Richmond Partner) in partial satisfaction of development management fees payable to the Richmond Partner pursuant to a development management agreement entered into between the REIT and the Richmond Partner. The units were issued at a deemed value of $2.30 per unit, in settlement of $214,284 of development management fees.About Nexus REITNexus is a growth-oriented real estate investment trust focused on increasing unitholder value through the acquisition, ownership and management of industrial, office and retail properties located in primary and secondary markets in North America. The REIT currently owns a portfolio of 73 properties comprising approximately 4.1 million square feet of rentable area. The REIT has approximately 109,508,000 units issued and outstanding. Additionally, there are Class B LP units of subsidiary limited partnerships of Nexus REIT issued and outstanding, which are convertible into approximately 25,848,000 REIT units.Forward Looking StatementsCertain statements contained in this news release constitute forward-looking statements which reflect the REIT’s current expectations and projections about future results. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “estimates”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the REIT to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this news release. Such forward-looking statements are based on a number of assumptions that may prove to be incorrect.While the REIT anticipates that subsequent events and developments may cause its views to change, the REIT specifically disclaims any obligation to update these forward-looking statements except as required by applicable law. These forward-looking statements should not be relied upon as representing the REIT’s views as of any date subsequent to the date of this news release. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The factors identified above are not intended to represent a complete list of the factors that could affect the REIT.Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.For further information please contact:
Kelly C. Hanczyk, CEO at (416) 906-2379; or
Rob Chiasson, CFO at (416) 613-1262.


Canadian Newsmakers – Breaking Canadian News, Updated Every 5 Minutes CanadaPages.com

Comments are closed.

Navigate