TORONTO, ONTARIO--(Marketwire - July 21, 2011) - Canadian Apartment Properties Real Estate Investment Trust ("CAPREIT") (TSX:CAR.UN) announced today that it has agreed to acquire a three-building luxury apartment complex located in Laval, Québec. Domaine Belle-Rive consists of two 24-storey and one 17-storey towers totaling 811 suites and includes approximately 6,500 square feet of ground floor commercial space currently leased to a bank, convenience store, dry cleaner, hair salon, restaurant and pharmacy. The property is situated on the shore of the rivière Des Prairies, with amenities including a library, fitness centre, indoor swimming pool, media centre and laundry. The buildings are situated on 13.1 acres of land, which includes 5.3 acres of surplus land zoned for multi-family development. The purchase price will be $70.0 million, of which $1.5 million will be held in escrow. The escrow will provide CAPREIT with monthly income protection until such time as the occupancy improves to 97% or higher for three consecutive months and existing tenant incentives are realized, at which time any remaining funds will be released to the vendor. On closing, CAPREIT will assume the existing CMHC-insured mortgages of approximately $47.0 million bearing a weighted average interest rate of 4.80% and a weighted average term to maturity of 12.5 years, with the balance of the purchase price being funded in cash from CAPREIT's Acquisition and Operating Facility. The acquisition is anticipated to close before July 31, 2011.

CAPREIT also announced today that it had completed the purchase of an eighth apartment property as part of the GTA portfolio acquisition previously announced on May 31, 2011. The property, located at 12 – 24 Leith Hill Road in Toronto, Ontario is comprised of a 16-storey luxury high rise building including 218 apartment suites as well as six two-storey townhomes, each with three bedrooms. Amenities include an outdoor swimming pool, laundry and enhanced security system. The property has been well maintained and is situated close to other CAPREIT properties, ensuring it will be easily integrated into CAPREIT's existing property management structure. Average monthly rents at the property are well below market, providing the opportunity to significantly enhance net operating income over time. The purchase price of approximately $31.1 million, excluding closing and transaction costs, was financed with a new ten-year CMHC-insured mortgage of approximately $18.6 million at an interest rate of 3.67%, maturing on July 1, 2021, with the balance in cash from CAPREIT's Acquisition and Operating Facility. This transaction closed on June 30, 2011.

In addition, CAPREIT announced that it has agreed to acquire a 15-storey affordable apartment building containing 229 suites located at 225 Markham Road in Scarborough, Ontario. Amenities include an outdoor swimming pool, daycare centre and convenience store. The property is located adjacent to an existing CAPREIT building and will be easily integrated into its onsite property management operating infrastructure. The purchase price of approximately $16.8 million, excluding closing and transaction costs, will be funded by new CMHC-insured ten-year mortgage financing of approximately $12.9 million, with the balance in cash from CAPREIT's Acquisition and Operating Facility. The acquisition is expected to close on August 10, 2011.

"A key element of our value-enhancing strategies is to cluster properties together in order to fully capitalize on our existing onsite management structure," commented Thomas Schwartz, President and Chief Executive Officer. "Cash flows from these new properties will also benefit from our innovative sales and marketing initiatives, as well as our proven supply and services procurement programs."

"These acquisitions also enhance the quality and geographic diversification of our property portfolio, and will make an immediate, accretive and growing contribution to our Funds From Operations," Mr. Schwartz concluded. "With the completion of the above acquisitions, our strategic growth initiatives will have added a total of 2,467 suites to our portfolio so far this year and we continue to evaluate potential acquisitions to further increase value for our Unitholders."

As one of Canada's largest residential landlords, CAPREIT (TSX:CAR.UN) is a growth-oriented investment trust owning interests in 30,821 residential units (including Belle-Rive and Scarborough), comprised of 29,496 apartment and townhome suites located in and near major urban centres from coast to coast and two manufactured home communities comprising 1,325 land lease sites located in Ontario. For more information about CAPREIT, its business and its investment highlights, please refer to our website at

Contact Information:

Mr. Thomas Schwartz
President & CEO
(416) 861-9404