Charter Real Estate Investment Trust
TSX VENTURE : CRH.UN

Charter Real Estate Investment Trust

May 01, 2009 08:41 ET

Charter Real Estate Investment Trust (TSX VENTURE:CRH.UN) Announces First Quarter 2009 Financial Results

TORONTO, ONTARIO--(Marketwire - May 1, 2009) - Charter Real Estate Investment Trust ("Charter REIT") (TSX VENTURE:CRH.UN) is pleased to announce its financial results for the quarter ended March 31, 2009.

Highlights

During the first quarter of 2009, Charter REIT:

- received a commitment from a Canadian chartered bank for the early renewal and extension of its operating and acquisition facility for a two-year term for an amount, based on a loan-to-value ratio, but not to exceed $26,000,000;

- has a balance sheet that remains strong, with a debt-to-gross book value ratio of 63.3% and no mortgage debt maturities until December 2012;

- had an FFO payout ratio of 59.9% based on the current distribution level of $0.04 per quarter; and

- had an average occupancy rate for the portfolio of 95.8% - slightly lower than at the end of 2008 of 95.9%.

Financial highlights

- For the quarter ended March 31, 2009, Charter REIT recorded same-property net operating income of $2,211,503, a 3.8% increase from the $2,130,909 recorded for the quarter ended March 31, 2008.

- For the quarter ended March 31, 2009, Charter REIT recorded a 37.3% increase in net operating income compared to the quarter ended March 31, 2008, mainly relating to acquisitions that have taken place during and since the first quarter of 2008.

- For the quarter ended March 31, 2009, Charter REIT recorded net operating income and same-property net operating income from its properties of $2,794,806, compared to $2,905,800 recorded for the quarter ended December 31, 2008, with the decrease mainly relating to a decrease in percentage rents and other income driven by the seasonality of the business, as well as an increase in the allowance for doubtful accounts to reflect the current retail environment.

- For the quarter ended March 31, 2009, Charter REIT's funds from operations ("FFO") were $1,214,419 or $0.07 per unit basic and diluted, an increase of 3.8% from the quarter ended December 31, 2008 of $1,169,956 or $0.07 per unit basic and diluted and an increase of 71.0% from the quarter ended March 31, 2008 of $710,346 or $0.04 per unit basic and diluted.

- For the quarter ended March 31, 2009, Charter REIT had a net loss of $194,715 or $0.01 per unit basic and diluted (for the quarter ended December 31, 2008, net loss was $228,370 or $0.01 per unit basic and diluted and for the quarter ended March 31, 2008, net loss was $462,121 or $0.03 per unit basic and diluted).

2009 Q1 financial results

For the complete first quarter 2009 Management's Discussion and Analysis and Financial Statements, please visit www.sedar.com or www.charterreit.com.

Charter REIT

Charter Real Estate Investment Trust is an open-ended real estate investment trust established under the laws of the Province of Ontario. Charter REIT is focused on acquiring a portfolio of retail and mixed-use retail community and neighbourhood centres, generally in the mid-market deal size range of $10 to $40 million, comprised of stable cash flow and value-add properties from both primary and secondary markets throughout Canada. Charter REIT's principal goal is to generate a reliable and growing yield for investors. Charter REIT currently owns ten retail properties located in Ontario and Quebec.

This press release contains forward-looking statements. Such forward-looking statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Forward-looking statements are based on a number of assumptions which may prove to be incorrect. Important factors that could cause actual results to differ materially from expectations include, among other things, general economic and market factors, local real estate conditions, including the development of properties in close proximity to Charter REIT's properties, competition, changes in government regulation, dependence on tenants, financial conditions, interest rates, the availability of equity and debt financing, environmental and tax-related matters, reliance on the Manager, potential conflicts of interest and reliance on key personnel. The cautionary statements qualify all forward-looking statements attributable to Charter REIT and persons acting on its behalf. Unless otherwise stated, all forward-looking statements speak only as of the date of this press release and Charter REIT has no obligation to update such statements except as required by law.



Charter Real Estate Investment Trust
The Exchange Tower
130 King Street West
Suite 2810, P.O. Box 104
Toronto, Ontario M5X 1A4
Telephone: (416) 364-5705
Fax: (416) 861-8166


Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Charter Real Estate Investment Trust
    Floriana Cipollone
    Chief Financial Officer
    (416) 364-5705
    (416) 861-8166 (FAX)