Calloway Real Estate Investment Trust

Calloway Real Estate Investment Trust

June 17, 2009 10:39 ET

Calloway Real Estate Investment Trust Announces $75 Million Series D Senior Unsecured Debenture Issue

TORONTO, ONTARIO--(Marketwire - June 17, 2009) -


Calloway Real Estate Investment Trust ("Calloway") (TSX:CWT.UN), Canada's largest owner of large format unenclosed retail properties, announced today that it has agreed to issue $75 million principal amount of Series D senior unsecured debentures on an agency deal basis. These debentures will carry a coupon rate of 7.95% and will mature on June 30, 2014. The Series D senior unsecured debenture offering is being offering by a syndicate co-led by RBC Capital Markets and CIBC World Markets. The offering is expected to close on or about June 30, 2009. Calloway intends to use the net proceeds from the offering to pay down amounts outstanding under its current credit facilities. Dominion Bond Rating Service has provided Calloway with a provisional credit rating of BBB with a stable trend relating to the debentures.

Simon Nyilassy, President and CEO of Calloway said, "With the completion of this financing, we have raised over $275 million in financing so far this year. We are pleased that the availability of capital for high quality real estate continues to be robust."

This offering is being made by way of a Prospectus Supplement to Calloway's existing $2 billion base shelf short form prospectus filed with Canadian securities regulatory authorities. The terms of the offering will be described in a prospectus supplement to be filed with Canadian securities regulators.

This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities in any jurisdiction. The debentures being offered have not been and will not be registered under the U.S. Securities Act of 1933 and state securities laws. Accordingly, the debentures may not be offered or sold to U.S. persons except pursuant to applicable exemptions from registration requirements.

About Calloway

Calloway Real Estate Investment Trust is an unincorporated open-end real estate investment trust focused on the ownership and development of high quality retail properties. Calloway's purpose is to deliver to its unitholders a stable, reliable and growing distribution. Calloway is Canada's largest owner of large format unenclosed retail properties with total assets of approximately $4.2 billion. It has ownership interests in a portfolio of 124 shopping centres and two industrial buildings across Canada containing an aggregate of approximately 21.9 million square feet. For further information, please refer to Calloway's website at

Contact Information

  • Calloway Real Estate Investment Trust
    Bart Munn
    Chief Financial Officer
    (905) 326-6400 (ext. 7631)