InvestPlus Reit Portfolio Expansion. InvestPlus Doubles its Assets Under Management in 15 Months with the Addition of Another 94,000 sq. ft. to Their Portfolio. Pushing InvestPlus Commercial Portfolio to More Than 250,000 sq. ft. Under Management!
InvestPlus Real Estate Investment Trust (IP REIT, or InvestPlus REIT)is excited to announce the addition of a 94,000 sq. ft. commercial building (called “Nisku606”) to its portfolio for $14M at an existing cap rate. Nisku606 is located in the industrial park of Nisku, Alberta.
The acquisition closed on April 5, 2021 and marks another milestone within the InvestPlus portfolio. Thus bringing the overall commercial space under management to more than 250,000 sq. ft., and doubling the Assets Under Management (AUM) to $65M from $32M. We continue to further our footprint in the industrial space and add assets with strong tenant covenants.
Nisku606 is currently tenanted with a Fortune 500 company focused on providing mechanical equipment to the agricultural and mining industries. This building will serve as their main distribution warehouse to supply 19 branches across BC, Alberta, and parts of Saskatchewan. A great tenant with a strong covenant and business…
We have also been successful in having one of the chartered banks. National Bank provides us financing for this great building. We have secured financing with National Bank for a five-year term at a rate of 2.99%.
These rates and terms from a chartered bank, allows InvestPlus REIT to provide their unitholders with the security of having a long-term fixed mortgage. Providing predictable revenue to the trust. Furthermore, having National Bank as our lender confirms that the steps we are taking, to grow and acquire accretive properties like Nisku606 as a trust is a step in the right direction.
We are excited to work with National Bank. We are looking forward to furthering our relationship with them in the future.
The Nisku606 building is in the heart of the industrial park in Nisku, Alberta. The building is projected to be accretive by an average of more than $450,000/year after unit-holder distribution for the term of the lease. This assertiveness will help sustain our distributions and help push our unit value up.
The acquisition of this building also pushes our overall assets under management to $65M. Thus bringing our growth for 2021 up by 28% since December 2020.
We will continue to target strong-tenanted buildings in western Canada that will not only provide us the performance and returns we are looking to achieve for our unit-holders. But also assets and tenants that can and are weathering the storm in these tumultuous times. Please look forward to our next acquisition announcement coming to you soon.
InvestPlus REIT is a private real estate investment fund based in Calgary, Alberta. IP REIT is a growth-oriented real estate investment trust focused on increasing unitholder value through the acquisition, ownership, and management of commercial and residential properties in primary and secondary markets in western Canada.
Management has transacted more than $150M in buildings comprising of 23 locations in the provinces of BC, Alberta, and Saskatchewan. The current portfolio which is appraised at more than $65M and comprised of 101 rental units and more than 250,000 sq. ft. of rentable area.
Click HERE to find out more about InvestPlus REIT’s Current Offering Memorandum.
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