
OTTAWA, ON, January 22, 2025 – Minto Apartment Real Estate Investment Trust (the “REIT”) (TSX: MI.UN) announced an update on its capital allocation strategy following the sale of the Castleview property in Ottawa, Ontario. The sale generated gross proceeds of $69 million. After mortgage repayment and transaction costs, net proceeds of $33.8 million will partially repay the REIT’s variable-rate revolving credit facility.
The REIT actively participated in its Normal Course Issuer Bid (“NCIB”) program due to the unit price being below net asset value. From mid-November to December 31, 2024, the REIT purchased nearly the maximum allowable daily units under the NCIB, totaling approximately $4.7 million at a weighted average price of $14.03 per unit. An Automatic Securities Purchase Plan commenced at the end of December 2024, allocating an additional $10 million for further unit purchases under the NCIB in the first quarter of 2025.
Jonathan Li, President and Chief Executive Officer of the REIT, stated, “Our capital recycling program yielded nearly $200 million in gross proceeds from six non-core asset sales since early 2023. Net proceeds have been used for accretive capital allocation, including debt reduction and unit repurchases under the NCIB. This has improved cash flow per unit, strengthened our balance sheet, and increased financial flexibility.” Li also noted the recent Metro Vancouver market entry with the accretive acquisition of the Lonsdale Square property, which didn’t require equity financing and resulted in a $14 million receipt from the associated convertible development loan repayment.
About Minto Apartment Real Estate Investment Trust
Minto Apartment Real Estate Investment Trust is an unincorporated, open-ended real estate investment trust established under Ontario law to own Canadian income-producing multi-residential properties. The REIT’s portfolio comprises high-quality multi-residential rental properties mainly in urban centers across major Canadian markets including Toronto, Montreal, Ottawa, Calgary, and Vancouver. For more information, visit the REIT’s website at .
Forward-Looking Information
This release may contain forward-looking statements under applicable securities laws, reflecting the REIT’s current expectations. These statements often include terms like “expected,” “will,” and “may.” Forward-looking information is based on assumptions and is subject to risks and uncertainties, many beyond the REIT’s control, that could significantly affect actual results. These risks include, but aren’t limited to, factors discussed in the REIT’s Annual Information Form dated March 6, 2024, available on SEDAR+ (). The REIT has no obligation to update forward-looking information unless required by law. This information applies only as of the date of this release.
Non-IFRS Financial Measure
This release includes a non-IFRS financial measure, cash flow per unit, which may not be comparable to similar measures used by other real estate investment trusts or enterprises. While used by the REIT’s management and others in the industry, it’s not defined by IFRS and lacks a standardized IFRS meaning. See the REIT’s Management Discussion & Analysis dated November 12, 2024 for further details on this and other non-IFRS measures.
SOURCE Minto Apartment Real Estate Investment Trust