Quick Facts
FONT-SIZE Plus   Neg
Share SHARE

Huntingdon Capital To Sell Portage Place, Peterborough, Ontario

Huntingdon Capital Corp. (HNT.TO: Quote) announced that it has entered into a binding agreement to sell Portage Place, Peterborough, Ontario. The company noted that the previously announced agreement in February 2012 to sell 4 Ontario retail properties has been amended to include Portage Place. The revised terms of the agreement include the sale of 5 Ontario retail properties for gross sale proceeds of $80.0 million.

Based on 2012 budgeted net operating income, this transaction represents a 6.3% capitalization rate.

The revised agreement also includes a $5.0 million interest only vendor take-back mortgage bearing interest at a rate of 5.5% per annum and maturing two years after the closing date. The vendor take-back mortgage is secured by a second charge on Portage Place. The sale will result in net cash, excluding the vendor take-back mortgage, of approximately $59.4 million after expenses, closing adjustments and the repayment of $14.2 million of mortgage debt.

Portage Place is a 226,714 square foot enclosed shopping centre located in Peterborough, Ontario with occupancy of 87.8% as at December 31, 2011.

The company noted that the proceeds from the sale will be used for the repayment of mortgage debt, the return of capital to shareholders and potential acquisitions. The transaction is expected to close in May 2012.

Register
To receive FREE breaking news email alerts for Huntingdon Capital Corp and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Stocks moved sharply lower over the course of the trading day on Wednesday, adding to the modest weakness seen in the two previous sessions. With the losses on the day, the major averages fell to their lowest closing levels in over a month. Democrats have climbed into the lead on a generic ballot, according to the results of a new CNN/ORC International poll, although the results may not be as positive for the party as they first appear. With spending on private and public construction both showing notable decreases, the Commerce Department released a report on Wednesday showing an unexpected drop in U.S. construction spending in the month of August.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.