PROREIT to acquire 17 industrial assets for $136.8 million

PRO Real Estate Investment Trust (TSX: PRV.UN) announced it has entered into binding agreements to acquire 17 industrial properties for an aggregate purchase price of $136.8 million, according to a press release statement.

The acquisitions comprise two portfolios: 13 properties totaling 613,000 square feet in Quebec City for $112.8 million, and four properties totaling 160,000 square feet in Winnipeg, Manitoba for $24.0 million. The combined properties represent approximately 773,000 square feet of gross leasable area.

The Quebec portfolio is currently 91% occupied with a weighted average lease term of 2.8 years, while the Winnipeg portfolio is 97% occupied with a weighted average lease term of 5.2 years. Upon completion, PROREIT's portfolio will comprise 122 income-producing commercial properties representing approximately 7.2 million square feet of gross leasable area.

To finance the acquisitions, PROREIT announced a bought deal public offering of 11.15 million trust units at $6.50 per unit, generating gross proceeds of approximately $72.5 million. The company also entered into concurrent private placements with Collingwood Investments Incorporated for $16.7 million and Parkit Enterprise Inc. for $5.0 million.

The purchase price will be satisfied through approximately $47.5 million in cash from the offering and private placements, and $89.4 million from new mortgage financings. The acquisitions are subject to customary closing conditions and are expected to close in the third quarter of 2026.

The offering is being underwritten by a syndicate led by TD Securities Inc. and Scotiabank. The underwriters have been granted an over-allotment option to purchase up to an additional 1.67 million units.

You May Also Be Interested In

• Rithm Property Trust launches public stock offering
• Haoxi Health closes $4M direct offering via Univest Securities
• Tavia and Vita Inclinata sign LOI for $450M SPAC merger