Pool view at The Boulevard at Deer Park
Vancouver, BC – June 24, 2013: Pure Multi-Family REIT LP (“Pure Multi”) (TSXV: RUF.U) announced today the successful closing of The Boulevard at Deer Park (“The Boulevard”) a multi-family apartment community comprising 216 residential units located in Deer Park, a suburb of greater Houston, Texas, for a purchase price of US$23,000,000.
The Boulevard consists of 216 residential units located in 10 buildings on a 12.2 acre site. The property has close access to the Sam Houston Tollway/Beltway 8, Houston’s outer loop road providing connections to major highways in the city.
The Class A property was developed in 2000 by its previous owner and has been very well maintained. It is one of only three Class A communities in its submarket and has averaged a high occupancy level since its initial lease-up. In the past year, the apartment units have been upgraded with laminate granite countertops, wood plank flooring (first floor units), faux wood blinds, nickel hardware and upgraded lighting. The property is located within five miles of three of the largest employers in the Port of Houston.
Pure Multi funded the acquisition of The Boulevard with equity from the bought deal offering that closed on May 8, 2013 and first mortgage financing in the amount of US$16,480,000, which bears an interest rate of 4.21% per annum for a term of 10 years. The Boulevard was acquired at a going-in capitalization rate of 6.07%.
Stephen Evans, CEO, said “We are pleased to be adding The Boulevard to our portfolio. The property is of a very high quality, with recent upgrades, which will allow us to attract premium rentals. Pure Multi’s acquisition strategy is to acquire newer, higher quality multi-family properties in the major markets of the U.S., with a focus on the U.S. Sunbelt. Our goal is to acquire properties in clusters, which will ensure regional economies of scale and geographic diversification within our portfolio. Having built an eight-property portfolio consisting of 2,624 apartments in Dallas-Fort Worth Metroplex, we are now expanding into the Houston market with our ninth acquisition. Houston is a major economic centre featuring strong population and employment growth and demand for multi-family real estate.”
About Pure Multi-Family REIT LP
Pure Multi is a Canadian based, publically traded vehicle which offers investors exclusive exposure to U.S. multi-family real estate assets. Pure Multi’s Units are USD denominated and allow Canadian investors the opportunity to buy into under-valued American hard assets while the Canadian dollar trades near 40 year highs. Additional information about Pure Multi is available at www.puremultifamily.com or www.sedar.com.
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