MONTREAL, QUEBEC--(Marketwired - Feb. 9, 2015) - Fronsac Real Estate Investment Trust ("Fronsac REIT" or "Fronsac") (TSX VENTURE:GAZ.UN) announced today that it has acquired a property at 1319 Brookdale Avenue, in Cornwall, Ontario. This acquisition is Fronsac's first in Ontario. The seller is an independent third party with no previous ties to Fronsac. This property is currently operated as a Burker King restaurant under a triple-net lease of $60,000 per year expiring in 2017 (plus a percentage of sales made by the store) and has been acquired for the price of $815,000. A Canadian chartered bank has extended a first mortgage of $500,000 for the transaction.
Michel Lassonde, President and CEO of Fronsac explains: " We are pleased to announce this acquisition as it continues to diversify our portfolio while being accretive to our AFFO on a per unit basis."
About Fronsac - Fronsac Real Estate Investment Trust is an open-ended trust that acquires and owns high quality commercial real estate properties, rented to strong tenants under long term, management free and net leases.
Forward-Looking Statements - This press release contains forward-looking statements and information as defined by applicable securities laws, including statements relating to Fronsac and expectations of the management regarding a proposed transaction and the expected benefits thereof. There is no assurance that the proposed transaction will be carried out and that the anticipated benefits will materialize. The proposed transaction is subject to approval and consent of stakeholders and there is no certainty that these will be achieved. Fronsac warns the reader that actual events may differ materially from current expectations due to known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from the results anticipated in such statements. Among these include the risks related to economic conditions, the risks associated with the local real estate market, the dependence to the financial condition of tenants, the uncertainties related to real estate activities, the changes in interest rates, the availability of financing in the form of debt or equity, the effects related to the adoption of new standards, as well as other risks and factors described from time to time in the documents filed by Fronsac with securities regulators, including the management report. Fronsac does not update or modify its forward-looking statements even if future events occur or for any other reason, unless required by law or any regulatory authority.
Neither the TSX Venture Exchange Inc., nor its Regulatory Services Provider (as that term is defined in the Policy of the TSX Venture Exchange) accept any responsibility for the adequacy or accuracy of this release.
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