Cominar Real Estate Investment Trust said on Monday it would sell its non-core property assets to privately held Slate Acquisitions Inc for $1.14 billion (US$885.23 million) to reduce debt and focus on core assets.
Cominar said it intends to sell another $1 billion to $1.5 billion worth of properties.
The assets being sold to Slate include 97 properties located in the Greater Toronto Area, the Atlantic provinces, and in Western Canada, the company said.
Cominar said proceeds from the asset sale would be used to reduce debt by about $875 million. The company had $4.4 billion in debt as of September 30.
The deal is expected to close by the end of March 2018, Cominar said.
Update: Slate Acquisitions is a Canadian real estate investment platform.
(Reporting by John Benny and Anirban Paul in Bengaluru; Editing by Maju Samuel)
(This story has been edited by Kirk Falconer, editor of PE Hub Canada)
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