/NOT FOR DISTRIBUTION TO
The purchase price of
"Building on our active pipeline of accretive acquisitions (seven new communities in
"We are pleased to source and successfully execute another off-market acquisition through our long-standing industry relationships," commented
Overview of the Acquisition
Little Rock, AR : The suburbanLittle Rock acquisition comprises 167 lots and provides access to top-rated schools in thePulaski County Special School District and features walkable neighborhoods with easy access toHighway 107 , parks, playgrounds, sports courts, a swimming pool, and community center. Adjacent toLake Pickthorne , the community is located within five minutes ofHolland Bottoms State Wildlife Preserve which provides camping, hiking, and fishing opportunities. As the capital and most populous city ofArkansas ,Little Rock is a cultural, economic, government, and transportation center.Little Rock sits on the banks of theArkansas River at the crossroads ofInterstate 30 andInterstate 40 . Large national corporations such as Dillard's (fashion apparel and home furnishing retailer) and Windstream (cloud-optimized network solution provider) are headquartered inLittle Rock, AR.
Pro Forma PortfolioThe Acquisition is a targeted and strategic expansion of the REIT's portfolio, increasing the number of manufactured housing communities from 54 to 55 and the number of manufactured housing lots from 8,793 to 8,960. The table below provides a summary of the Acquisition as of
Acquisition Portfolio | ||
# of Lots | (#) | 167 |
Lot Occupancy | (%) | 76.6% |
Lot AMR | (US$) | |
Forecast NOI – Year 1 | (US$ mm) |
About
Non-IFRS Financial Measures
The REIT uses certain non-IFRS financial measures, including certain real estate industry metrics such as FFO, FFO Per Unit, AFFO, AFFO Per Unit and
FFO is defined as IFRS consolidated net income adjusted for items such as distributions on redeemable or exchangeable units recorded as finance cost under IFRS (including distributions on the Class
AFFO is defined as FFO adjusted for items such as maintenance capital expenditures, and certain non-cash items such as amortization of intangible assets, premiums and discounts on debt and investments. The REIT's method of calculating AFFO is substantially in accordance with REALPAC's recommendations. The REIT uses a capital expenditure reserve of
NOI is defined as total revenue from properties (i.e., rental revenue and other property income) less direct property operating expenses in accordance with IFRS.
Please refer to the REIT's Management Discussion and Analysis for the period ended
Forward-Looking Statements
This press release contains statements that include forward-looking information within the meaning of Canadian securities laws. These forward-looking statements reflect the current expectations of the REIT regarding future events, including statements concerning the intended monthly distributions of the REIT. In some cases, forward-looking statements can be identified by terms such as "may", "will", "could", "occur", "expect", "anticipate", "believe", "intend", "estimate", "target", "project", "predict", "forecast", "continue", or the negative thereof or other similar expressions concerning matters that are not historical facts. Material factors and assumptions used by management of the REIT to develop the forward-looking information include, but are not limited to, the REIT having sufficient cash to pay its distributions. While management considers these assumptions to be reasonable based on currently available information, they may prove to be incorrect.
Although management believes the expectations reflected in such forward-looking statements are reasonable and represent the REIT's internal expectations and beliefs at this time, such statements involve known and unknown risks and uncertainties and may not prove to be accurate and certain objectives and strategic goals may not be achieved. A variety of factors, many of which are beyond the REIT's control, could cause actual results in future periods to differ materially from current expectations of events or results expressed or implied by such forward-looking statements, such as the risks identified in the REIT's final prospectus available under the REIT's profile at www.sedar.com, including under the heading "Risk Factors" therein. Readers are cautioned against placing undue reliance on forward-looking statements. Except as required by applicable Canadian securities laws, the REIT undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made.
SOURCE
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