H&R REIT has raised $250 million through an unsecured debenture offering.

Toronto-based H&R had previously agreed with an agent syndicate co-led and bookrun by CIBC World Markets, Scotia Capital and National Bank Financial to sell the Series T debentures on a private placement “best efforts” agency basis. 

The syndicate included BMO Capital Markets, RBC Dominion Securities and TD Securities.

The debentures were issued for $100 per principal amount, carry a coupon rate of 5.457% and will mature on February 28, 2029. 

“The net proceeds of the offering will be used for the repayment of outstanding indebtedness and for general trust purposes,” said H&R in a news release.

H&R ranks among Canada’s largest REITs with $10.8 billion in assets. The REIT’s portfolio holds North American residential, industrial, office and retail properties spanning approximately 26.9 million square feet. 

H&R plans to sell its office and retail properties and become a leading owner, operator and developer of residential and industrial properties within Toronto, Montreal, Vancouver and high-growth U.S. sunbelt and gateway cities.

In December, H&R sold a downtown Toronto waterfront office building to George Brown College for $232.5 million.

Pictured: Former H&R office building in downtown Toronto