RioCan Real Estate Investment Trust
TSX : REI.UN

RioCan Real Estate Investment Trust

September 13, 2010 13:25 ET

RioCan Real Estate Investment Trust Announces Completion of Acquisition of Two Walmart Anchored Properties in Canada

TORONTO, ONTARIO--(Marketwire - Sept. 13, 2010) - RioCan Real Estate Investment Trust ("RioCan") (TSX:REI.UN) today announced that it has completed the acquisition of two new format retail properties in Hamilton, ON and Gatineau, QC totaling approximately 558,881 square feet, as previously announced on August 25, 2010. Both properties are anchored by Walmart, which represents approximately 53% of the occupied space by gross leasable area and generates 35% of the rental revenue. The average remaining lease term for both Walmart leases is approximately 17.1 years and the average lease term for both properties is approximately 15.5 years at a weighted average lease rate of approximately $13.80 per square foot. The purchase price for these two properties was approximately $100.7 million. 

"These two assets further strengthen RioCan's position in two strong urban markets" said Edward Sonshine, Q.C., President and CEO of RioCan. "The low near term rollover and the strong tenancy of Walmart as well as the other national tenants will provide a good source of long term stable cash flow."

About RioCan

RioCan is Canada's largest real estate investment trust with a total capitalization of approximately $8.6 billion as at June 30, 2010. It owns and manages Canada's largest portfolio of shopping centres with ownership interests in a portfolio of 269 retail properties, including 11 under development, containing an aggregate of over 60 million square feet. RioCan owns an 80% interest in nine grocery anchored shopping centres in the United States through its joint venture arrangement with Cedar. In addition, RioCan owns a 14% equity interest in Cedar Shopping Centers, Inc., a real estate investment trust focused on supermarket-anchored shopping centres and drug store-anchored convenience centres located predominantly in the Northeastern United States. For further information, please refer to RioCan's website at www.riocan.com.

Contact Information

  • RioCan Real Estate Investment Trust
    Rags Davloor
    Senior Vice President & CFO
    (416) 642-3554