Choice Properties REIT completes C$500 million private placement
On May 21, 2020, Choice Properties Real Estate Investment Trust ("Choice Properties" or "the Trust") completed its previously announced issuance, on a private placement, of C$500 million aggregate principal amount of series P senior unsecured debentures of the Trust bearing interest at a rate of 2.848% per annum and maturing on May 21, 2027.
The debentures were sold on an agency basis by a syndicate of agents co-led by TD Securities, RBC Capital Markets, CIBC Capital Markets, BMO Capital Markets and Scotiabank.
Choice Properties intends to use the net proceeds of the offering to (a) repay existing indebtedness, including the previously announced redemption in full of (i) the C$100 million aggregate principal amount of its 4.323% series B senior unsecured debentures due January 15, 2021 and (ii) the C$250 million aggregate principal amount of its 3.498% series C senior unsecured debentures due February 8, 2021, as well as to repay all or a portion of the balance drawn on the Trust's credit facility and (b) for general business purposes.
Choice Properties is the owner, manager and developer of a high-quality portfolio comprised of retail properties predominantly leased to necessity-based tenants; industrial, office and residential assets concentrated in attractive markets; and offers an impressive and substantial development pipeline. Choice Properties' strategic alliance with its principal tenant, Loblaw Companies Limited, the country's leading retailer, is a key competitive advantage providing long-term growth opportunities.
Further information can be found on Canada Newswire's website.