Smart Real Estate Investment Trust closes $150M debentures offering

Toronto (pcJ News Briefs) – Smart Real Estate Investment Trust (TSX: SRU.UN) has closed its previously announced $150 million aggregate principal amount issue of Series Q senior unsecured debentures that carry an annual coupon rate of 2.876% and will mature on March 21, 2022. DBRS Limited has provided SmartREIT with a credit rating of BBB, with a stable trend, relating to the debentures.

The offering was made by a syndicate of dealers co-led and book-run by Scotia Capital Inc., BMO Capital Markets, CIBC, RBC Capital Markets and TD Securities Inc.

SmartREIT intends to use the net proceeds from the offering to redeem its $150 million 3.385% Series J senior unsecured debentures due December 1, 2017.

SmartREIT is one of Canada’s largest real estate investment trusts with total assets in excess of $8.7 billion. It owns and manages 32 million square feet in value-oriented, principally Walmart-anchored retail centres, having the strongest national and regional retailers as well as strong neighbourhood merchants. In addition, SmartREIT is a joint-venture partner in the Toronto and Montreal Premium Outlets with Simon Property Group. SmartREIT is now expanding the breadth of its portfolio to include residential (condominium and rental), office, and self-storage, either on its large urban properties such as the Vaughan Metropolitan Centre or as an adjunct to its existing shopping centres.

photo credit: SmartREIT