VANCOUVER, BC--(Marketwired - January 25, 2017) - Pure Multi-Family REIT LP ("Pure Multi-Family") (TSX VENTURE: RUF.U) (TSX VENTURE: RUF.UN) (TSX VENTURE: RUF.DB.U) (OTCQX: PMULF) announces the successful closing of the previously announced 276 unit Class "AA" luxury apartment community ("Creekside") located in Austin ,Texas, for a purchase price of US$40.0 million.
Creekside was constructed in 2016 and consists of 276 luxury residential units averaging 828 square feet. Creekside is ideally located less than 10 miles from the largest employment hub in Austin (Downtown Austin), and is conveniently located minutes from Southpark Meadows, one of the largest retail and entertainment centers in Austin. Creekside is situated on over 13 acres of land with best-in-class resort-style amenities for discerning residents.
Pure Multi-Family funded the purchase of Creekside with proceeds from the previously announced sale of Livingston Apartments, which closed on November 4, 2016, and new first mortgage financing in the amount of US$20 million.
The first mortgage financing bears a fixed interest rate of 3.98% per annum for a term of 10 years. The purchase price represents a stabilized going-in capitalization rate of 5.58%.
Steve Evans, CEO, said, "We are very excited to enter the vibrant and growing market of Austin, Texas with the acquisition of Creekside -- a brand new, high quality apartment complex with state-of-the-art amenities."
Subsequent to the acquisition of Creekside, Pure Multi-Family's portfolio consists of 16 multi-family properties comprising an aggregate of 5,505 residential units, situated on 291 acres of land.
The previously announced US$40 million acquisition (the "Allen Property") in Allen, Texas, is expected to close on or about January 27, 2017. Pure Multi-Family will use cash on hand as of the date hereof and mortgage financing to complete the acquisition of the Allen Property.
About Pure Multi-Family REIT LP
Pure Multi-Family is a Canadian based, publically traded vehicle which offers investors exclusive exposure to attractive, institutional quality U.S. multi-family real estate assets.
Additional information about Pure Multi-Family is available at www.puremultifamily.com or www.sedar.com.
Certain statements contained in this news release may constitute forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "plan", "expect", "may", "will", "intend", "should", and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Forward looking statements in this news release include: (i) the previously announced acquisition (the "Allen Property") in Allen, Texas, is expected to close on or about January 27, 2017. The forward-looking statements contained in this news release are based on certain key expectations and assumptions made by Pure Multi-Family. Although Pure Multi-Family believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because Pure Multi-Family can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the failure to identify, negotiate the purchase of and acquire quality Class A assets, competitive factors in the industries in which Pure Multi-Family operates, prevailing economic conditions, and other factors, many of which are beyond the control of Pure Multi-Family.
The forward-looking statements contained in this news release represent Pure Multi-Family's expectations as of the date hereof, and are subject to change after such date. Pure Multi-Family disclaims any intention or obligation to update or revise any forward-looking statements whether as a result.
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 THE ACCURACY OF THIS RELEASE.
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