FREDERICTON, NB, Jan. 19, 2022 /CNW/ - Plaza Retail REIT ("Plaza"
or the "Trust") (TSX: PLZ.UN) is pleased to announce that it has
acquired interests in three new properties in Quebec and Ontario and to provide an update on ongoing
development and redevelopment projects.
Acquisitions
Plaza has acquired interests in the following properties for
development or redevelopment:
- St-Joseph Boulevard, Drummondville,
Quebec: this site is anchored by a newly-opened Maxi (Loblaw) grocery store. Plaza intends to
redevelop 34,000 square feet of vacant space and add additional
retail space. This site will have a gross leasable area of 81,000
square feet upon completion. Plaza owns a 50% interest in this
property.
- Corner of Royaume Boulevard West and Talbot Boulevard,
Chicoutimi (Saguenay) Quebec: land was purchased for a new 90,000
square foot retail development, for which significant pre-leasing
is already in place. Plaza owns a 37.5% interest in this
property.
- Mapleview Drive West, Barrie,
Ontario: located on a key thoroughfare in southern
Barrie, this land is intended for
a 60,000 square foot grocery-anchored development, the majority of
which has been pre-leased. Plaza owns a 50% interest in this
property.
"These purchases demonstrate our commitment to build on our
already robust development pipeline" said Michael Zakuta, Plaza's President and CEO.
"We are pleased to be able to continue to grow our portfolio by
acquiring and developing high quality assets that provide Plaza
with both immediate and long-term opportunities to build value for
unitholders."
Development Update
Plaza also continues to execute on existing development and
redevelopment projects, including:
- Tri-City Plaza, Cambridge,
Ontario: Phase I of this redevelopment is expected to be
completed this spring, and Phase II will be starting in February.
The majority of this redevelopment has been pre-leased.
- Northern Avenue Plaza, Sault Ste.
Marie, Ontario: the lease buyout of a non-operating large
box tenant at this grocery-anchored site allowed Plaza to redevelop
and fill the large box space with multiple tenants. Phase I of the
redevelopment is anchored by Princess Auto and is currently under
construction. Subsequent phases of the redevelopment are expected
to start in late 2022.
- Taunton Road, Oshawa, Ontario:
construction for this 46,000 square foot grocery-anchored
development has recently commenced and is expected to be completed
in mid-2023.
- Plaza des Laurentides, Saint-Jérôme (greater Montréal),
Quebec – Phase III: Plaza has
completed leases on 54,000 square feet of additional space and
anticipates starting construction shortly. This development is
expected to be completed in the first quarter of 2023.
"We are happy with how these projects are progressing and with
our ability to enhance our portfolio, not only through new property
acquisitions, but also through ongoing development and
redevelopment projects such as these," said Mr. Zakuta. "Upon
completion, these projects will increase our FFO and cash flows and
contribute even further to unitholder value."
"Our proven ability to develop new ground-up projects, as well
as redevelop newly acquired and existing assets, sets us
apart. We look forward to more opportunities that will allow
us to draw on our expertise for the benefit of our
unitholders."
About Plaza
Plaza is an open-ended real estate
investment trust and is a leading retail property owner and
developer, focused on Ontario,
Quebec and Atlantic Canada. Plaza's portfolio at
September 30, 2021 includes interests
in 255 properties totaling approximately 8.6 million square feet
across Canada and additional lands
held for development. Plaza's portfolio largely consists of
open-air centres and stand-alone small box retail outlets and is
predominantly occupied by national tenants. For more
information, please visit www.plaza.ca.
Cautionary Statements Regarding Forward-Looking
Information
This press release contains forward-looking
statements with respect to Plaza and its operations, which can
generally be identified by the use of forward-looking words such as
"will", "expect", "anticipate", "intend", "continue" and variations
of such words and similar expressions or phrases that do not relate
to historical facts. Forward looking statements in this press
release include, but are not limited to, those which relate to the
expected commencement of construction and completion of development
and redevelopment projects within the timeframes identified and
that the projects will increase FFO and cash flows upon
completion. Forward-looking statements involve known and
unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements of Plaza to be
materially different from any future results, performance or
achievements expressed or implied by the forward-looking statements
contained in this press release including, but not limited to, the
duration of the COVID-19 pandemic and its impact on the business,
operations and financial condition of the Trust, its tenants and
the economy in general; changes in economic, retail, capital
market, or debt market conditions; Plaza's ability to lease or
re-lease space at current or anticipated rents; and those described
in Plaza's Annual Information Form for the year ended December 31, 2020 and Management's Discussion and
Analysis for the three months ended September 30, 2021, which can both be obtained on
SEDAR at www.sedar.com. Although the forward-looking
statements contained in this press release are based upon
information currently available to management and what management
believes are reasonable expectations and assumptions, there can be
no assurances that forward-looking statements will prove to be
accurate. Therefore, readers should not place undue reliance on
forward-looking statements. All forward-looking statements speak
only as of the date of this press release and Plaza undertakes no
obligation to update such statements, except as required by law.
These cautionary statements qualify all forward-looking statements
contained in this press release.
SOURCE Plaza Retail REIT