MONTRÉAL, QUÉBEC--(Marketwired - Sept. 2, 2016) - (TSX VENTURE:GAZ.UN) Fronsac Real Estate Investment Trust ("Fronsac REIT" or "Fronsac") is pleased to announce the closing of a recently announced acquisition, located in Richelieu, Quebec. The property is located along Highway 10, at exit 29, and is operated as a service station under the Petro Canada banner as well as a Subway Restaurant. Total consideration paid for this property was $3,512,000 and was settled in cash. The property will generate approximately $240,000 in net operating income on an annual basis. The property was purchased from a third party with no previous ties to Fronsac. One of the tenants, a company that exploits the convenient store, is co-owned by a Trustee and a person related to a Trustee. The net operating income that will be generated from the related parties amounts to $110,000 on an annual basis.
About Fronsac - Fronsac Real Estate Investment Trust is an open-ended trust that acquires and owns high quality commercial real estate properties situated along highways or frequently travelled routes, rented to exclusively to tenants operating fast food chains, convenience stores and gas stations.
Forward-Looking Statements - This press release contains forward-looking statements and information as defined by applicable securities laws. Fronsac warns the reader that actual events may differ materially from current expectations due to known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from the results anticipated in such statements. Among these include the risks related to economic conditions, the risks associated with the local real estate market, the dependence to the financial condition of tenants, the uncertainties related to real estate activities, the changes in interest rates, the availability of financing in the form of debt or equity, the effects related to the adoption of new standards, as well as other risks and factors described from time to time in the documents filed by Fronsac with securities regulators, including the management report. Fronsac does not intend or undertake to update or modify its forward-looking statements even if future events occur or for any other reason, unless required by law or any regulatory authority.
Neither the TSX Venture Exchange Inc. nor its Regulation Services Provider (as that term is defined in the Policy of the TSX Venture Exchange) accepts any responsibility for the adequacy or accuracy of this release.
Contact Information:
Jason Parravano
(450) 536-5328