SOURCE: Timbercreek Asset Management Inc.

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December 01, 2016 17:07 ET

Timbercreek U.S. Multi-Residential Opportunity Fund #1 Announces Sale of Lake Ellenor and Details for the Semi-Annual Investor Conference Call to be Held on December 8, 2016

TORONTO, ON--(Marketwired - December 01, 2016) - Timbercreek U.S. Multi-Residential Opportunity Fund #1 (the "Fund") is pleased to announce that it has completed the sale of Lake Ellenor, located in Orlando, Florida, for a total consideration of USD 26.2 million. Lake Ellenor was purchased for USD 18.7 million in November 2013.

Special Distribution Update
The Fund intends to distribute available net proceeds from the sale of the Lake Ellenor disposition in the form of a special distribution to be paid on January 5, 2017 to holders of Class A Units, Class B Units and Class C Units of record on November 30, 2016 (the "Special Distribution"). The Manager intends to provide an estimate on the post-distribution NAV the day after payment date.

Generally, for Canadian tax purposes, a member of a partnership is able to increase its adjusted cost base in a partnership by its share of the taxable income from that partnership. Canadian tax regulations provide that this increase in the adjusted cost base occurs at the beginning of the year following the distribution of such income. As each limited partner's tax adjusted cost base will have been reduced significantly from the Q3 2016 special distribution, in order to avoid a potential negative cost base issue (i.e. unintended additional capital gain), the proceeds from the Lake Ellenor disposition will be distributed on January 5, 2017.

Update on Disposition of Remaining Assets
The Fund has completed the repositioning and rehabilitation program across the remaining two assets in the portfolio and will seek to complete the disposition of these assets prior to the end of the first quarter of 2017. Further details on the disposition plans for these assets will be shared as they develop.

Details of Semi-Annual Investor Conference Call

The Fund will host a national conference call on Thursday, December 8, 2016 at 4:00 p.m. EST, to provide an update on the Fund's current operations.

Dial-in number:
Toll-free dial-in number: (855) 223-7310
International dial-in number: (647) 788-4930
Conference ID number: 19221702

Replay details:
Dial-in number: (855) 859-2056
Passcode: 19221702

This press release contains forward-looking statements. There can be no assurance that forward-looking statements will prove to be accurate, as actual results, performance and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.

About the Fund
The Fund was designed to provide investors with the opportunity to achieve attractive total returns from an asset class that has historically generated strong and stable long-term cash flows. The targeted 15% IRR is inclusive of a 4-5% pre-tax yield paid quarterly. The Fund focuses on an active, value-add investment strategy to acquire and improve mismanaged or undervalued multi-unit residential assets in the southeast United States. The Fund aims to generate significant gains for investors through the improvement and eventual sale of the portfolio's multi-residential assets.

For more information on the Fund and Timbercreek Asset Management, please visit our website at www.timbercreek.com.

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