Northview Apartment Real Estate Investment Trust has closed the acquisition of a 623-unit portfolio of six apartment properties in Ontario and Nova Scotia from affiliates of Starlight Group Property Holdings Inc. The aggregate purchase price of the acquisition properties is $151.8 million (excluding closing costs).
According to a prepared statement, the purchase price represents a weighted average capitalization rate of 4.5%.
Todd Cook, president and CEO, says that this acquisition further supports the company’s strategy of growing its portfolio in “strong and growing markets with now over 26,000 units across Canada.”
The aggregate purchase price for the acquisition was funded by cash consideration of $80.1 million, funded from the recently completed public offering on June 25, 2018; Issuance of $15 million in class B LP Units to Starlight at a price of $26.20 per Trust Unit; and new and assumed mortgage debt of $56.7 million.
Northview is one of Canada’s largest publicly traded multifamily REITs with a portfolio of approximately 26,000 quality residential suites and 1.2 million square feet of commercial space in more than 60 markets across eight provinces and two territories.