PROREIT has completed its agreements to acquire 17 industrial properties in Québec City and Winnipeg for a combined purchase price of $136.8 million as the real estate investment trust looks to expand its industrial footprint and increase scale across key Canadian markets.

The acquisitions include a 13-property industrial portfolio in Québec City comprising approximately 613,000 square feet and a four-property Winnipeg portfolio totalling about 160,000 sf Combined, the transactions will add roughly 773,000 square feet of gross leasable area to PROREIT’s portfolio.

The Québec acquisition, valued at $112.8 million, will significantly expand the REIT’s presence in the province and is concentrated around key industrial nodes and transportation corridors. The portfolio is approximately 91 per cent occupied with a weighted average lease term of 2.8 years.

The Winnipeg acquisition, valued at $24 million, includes a long-term leased single-tenant building and a three-building multi-tenant portfolio. The assets are approximately 97 per cent occupied and carry a weighted average lease term of 5.2 years.

PROREIT’s portfolio has grown to 122 income-producing properties representing approximately 7.2 million square feet and $1.2 billion in total assets, with industrial exposure rising to 93 per cent of gross leasable area.

To fund the acquisitions, PROREIT launched a bought-deal public offering of approximately $72.5 million through the issuance of 11.15 million trust units priced at $6.50 each, alongside a concurrent private placement expected to generate an additional $21.7 million.

The acquisitions closed on schedule after PROREIT met customary closing conditions and obtained regulatory approvals.

In addition to the 17 acquisitions, PROREIT has entered into a binding agreement to acquire four industrial properties spanning 165,000 sf of gross leasable area for a total purchase price of $21.7 million, excluding closing costs. The previously announced agreement was conditional.

PROREIT expects to fund the purchase price through a new eight-year fixed-rate mortgage financing and cash on hand, including proceeds from a $107.3 equity financing completed in June.

Pictured: Winnipeg.

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