Transformational transaction combines two
European portfolios to focus on attractive European
multi-residential market backed by Canada's pre-eminent multi-residential
owner/manager
TORONTO, Dec. 11, 2018 /CNW/ - Canadian Apartment
Properties Real Estate Investment Trust (TSX:CAR.UN,
"CAPREIT") and European Commercial Real Estate Investment
Trust (TSX-V:ERE.UN, "ECREIT") today announced the entering
into of an agreement pursuant to which ECREIT will acquire a
portfolio of multi-residential properties located in the Netherlands (the "Properties") from
CAPREIT, comprising 2,091 suites in 41 properties (the
"Transaction"). The purchase price for the Properties of
$634 million (the "Purchase
Price") is based on an independent appraisal dated December 4, 2018 and will be satisfied as
follows: (i) $239 million through the
issuance of 59.6 million ECREIT units to CAPREIT at a price of
$4.00 per unit; (ii) $88 million through a cash payment, or to the
extent ECREIT is unable to satisfy the portion of the Purchase
Price in cash, through the issuance of additional ECREIT units at a
price of $4.00 per unit to CAPREIT;
and (iii) $307 million through the
assumption by ECREIT of CAPREIT's mortgages on the Properties,
subject to certain purchase price adjustments. In connection with
the closing of the Transaction (the "Closing"), ECREIT's
unitholders of record at a date to be determined prior to Closing
also will receive a one-time special distribution of $0.50 per unit at Closing, which will be funded
by an approximately $8 million cash
payment by CAPREIT to ECREIT. ECREIT intends to change its name,
subject to unitholder approval, prior to Closing ("ERES" for
purposes of this announcement). Upon Closing, CAPREIT will hold
approximately 58% of ERES' units in the event the $88 million portion of the Purchase Price is
satisfied through a cash payment (to be funded through a potential
public equity offering as described further below under "Increased
Liquidity") or approximately 83% of ERES' units in the event the
$88 million portion of the Purchase
Price is satisfied through the issuance of additional
ERES units to CAPREIT.
The Transaction will create Canada's first European-focused
multi-residential REIT. Multi-residential fundamentals in
Europe currently are very
attractive and significant acquisition opportunities are available
to drive growth. ERES will be majority owned and managed by
CAPREIT, Canada's largest
multi-residential property owner and manager. CAPREIT currently
owns nearly 50,000 Canadian and 3,348 European multi-residential
units and has an established European-based property management
platform. CAPREIT's proven multi-residential acquisition and
property management expertise will enable ERES to significantly
expand its European multi-residential business, with an initial
focus on the Netherlands.
The Transaction will mark a dynamic transformation for ECREIT,
providing immediate scale and shifting its strategic focus to
European multi-residential assets, while benefitting from CAPREIT's
industry-leading management platform and a well-established,
high-quality portfolio of multi-residential assets across
the Netherlands. ECREIT's assets
will increase from approximately $150
million to approximately $780
million in value, consisting of 2,091 multi-residential
suites in 41 properties and approximately 400,000 square feet of
gross leasable office area in three properties. Additionally, the
Transaction provides ECREIT with a well-capitalized,
institutional-quality majority unitholder that will support ERES'
growth initiatives and its access to capital in the future.
A management information circular describing the Transaction
(the "Circular") will be prepared and mailed to ECREIT's
unitholders as soon as possible. A special meeting of ECREIT
unitholders is expected to be held in early 2019, at which ECREIT
unitholders will be asked to approve the Transaction and certain
amendments to the ECREIT declaration of trust. Closing is expected
to occur in the first quarter of 2019. ECREIT established a special
committee of independent trustees (the "Independent
Committee") to review and negotiate the terms of the
Transaction. The Independent Committee unanimously determined that
the Transaction was in the best interests of ECREIT and recommended
its approval by ECREIT's board of trustees. In making its
recommendation, the Independent Committee relied, among other
factors, upon an opinion of its financial advisor, Scotiabank, that
the Transaction is fair from a financial point of view to
unitholders of ECREIT. Each of ECREIT's board of trustees (with
interested trustees abstaining) unanimously supports the
Transaction and recommends that its unitholders vote in favour of
the Transaction.
Transaction Highlights
- Attractive Asset Class with Strong Fundamentals:
European multi-residential assets continue to benefit from high
occupancy rates, increasing rents and strong cash flow growth.
Growth in rental rates and valuation metrics have outpaced those of
commercial assets in Europe, and
there is currently an attractive yield spread between European
multi-residential capitalization rates and debt financing rates.
Additionally, the professional management of the European
multi-residential sector is early in its maturation and provides
opportunities for organic growth via asset management
initiatives.
- Significant Opportunity to Fuel Future Growth:
Significant external and organic growth opportunities are available
to be realized through further acquisitions and enhancement of
under-managed assets. ERES intends to pursue property acquisitions
directly, and will, at Closing, enter into a Pipeline Agreement
with CAPREIT to ensure access to capital to take advantage of
attractive, accretive acquisition opportunities.
- Alignment of Interest with Majority Unitholder:
CAPREIT's majority ownership of ERES ensures that its interests
will be aligned with ERES unitholders. CAPREIT is committed to the
success of ERES and intends to retain a significant ownership in
ERES over the long-term. As ERES increases its size and liquidity,
CAPREIT may subscribe for future issuances of units by ECREIT.
- Industry-Leading Platform: ERES will be managed by
CAPREIT pursuant to long-term asset and property management
agreements. CAPREIT has a 21-year proven record of growing cash
flows and enhancing value in multi-residential properties in
Canada and has an existing
property management platform in Europe. CAPREIT is Canada's largest multi-residential owner and
has a best-in-class management platform consisting of over 900
employees.
- Increased Liquidity: In connection with the Transaction,
ECREIT will consider raising net proceeds of approximately
$100 million, prior to Closing,
through a public equity offering, which, if completed, would
significantly increase ECREIT's existing public float and trading
liquidity. CAPREIT has committed to backstop all or a portion of
any such equity offering.
- Attractive Transaction for ECREIT Unitholders: ECREIT
unitholders of record will receive a $0.50 per unit special distribution from CAPREIT,
which represents approximately 13% of the closing price of the
ECREIT units on the TSX Venture Exchange (the "TSX-V") on
December 10, 2018 of $3.73 and is equivalent to approximately 6
quarterly distributions. Additionally, ECREIT will issue units at
$4.00 per unit as partial
consideration for the purchase of $634
million of assets based on a current independent
appraisal.
Phillip Burns, President and CEO
of ECREIT, commented, "ECREIT is very excited about this
transaction. Our strategy is to provide access to Europe and deliver reliable income and growth
to our unitholders. This acquisition simultaneously delivers a
step-change in our scale; refocuses our asset strategy to
multi-residential, which is exhibiting recurring, robust rental
growth driven by supply-demand imbalances; partners ECREIT with a
best-in-class multi-residential owner/manager with 20-year plus
track record in Canada and
Europe; positions us for growth in
an attractive market with a pipeline funding arrangement; and
increases our access to capital with a well-capitalized,
cornerstone investor."
Ira Gluskin, Director and
Chairman of ECREIT's Independent Committee, commented "We are
delighted to welcome CAPREIT and their sponsorship to our
REIT. We believe the Transaction represents an exciting
opportunity for ECREIT unitholders and we are fully supportive of
the Transaction."
Michael Stein, Chairman of
CAPREIT, commented, "CAPREIT has very successfully grown its
Canadian multi-residential business over the past 21 years. In
2014, we successfully launched I-RES, a publicly listed entity in
Ireland that currently owns over
2,600 multi-residential units. CAPREIT asset and property manages
and owns an 18% interest in I-RES. CAPREIT has also successfully
established a management platform to invest in multi-residential
properties in the Netherlands. We
always have indicated that CAPREIT ultimately would create a
separate entity for our European multi-residential business.
CAPREIT is very excited to now be joining with ECREIT to create a
public vehicle that will not only allow CAPREIT's and ECREIT's
existing unitholders, but also new unitholders, to invest in
European multi-residential real estate. For CAPREIT's unitholders,
CAPREIT's interest in ERES is expected to provide a larger, more
direct and more diverse means to realize European multi-residential
opportunities than could be possible within CAPREIT. The available
opportunities in European multi-residential real estate are very
significant. Multi-residential properties in many European
countries share a number of the same investment attributes that we
see in Canada, such as fragmented
ownership, low vacancy, high demand and strong rental growth, but
often to an even greater degree. Europe also currently offers a more favourable
spread between cap rates and debt financing rates than in
Canada, which improves investment
returns. Similar to CAPREIT's entrepreneurial entry into
Ireland's multi-residential
market, we believe that CAPREIT's robust management platform, with
its ability to improve margins and make income enhancing capital
improvements, will provide ERES with significant opportunities in
Europe."
Properties to be Acquired
CAPREIT has agreed to sell to ECREIT a portfolio consisting of
2,091 multi-residential suites across 41 properties in well-located
urban areas in the Netherlands.
The Properties represented approximately 6% of CAPREIT's assets as
of September 30, 2018. The purchase
price of $634 million, which is based
on an independent appraisal from December 4,
2018, implies a forward capitalization rate of approximately
4.0%, attesting to the high quality and strong growth profile of
the Properties. CAPREIT has acquired the Properties over the past
two years through portfolio acquisitions from various European
vendors and has strategically invested in value-enhancing capital
expenditures since their acquisition, resulting in solid lease
renewal rates. The weighted average monthly rent on the
multi-residential properties that CAPREIT acquired in the Netherlands have increased by 11% from
€687, at the time of acquisition in December
2016, to €764 currently. By leveraging CAPREIT's large and
proven platform, CAPREIT has also generated significant cost
savings resulting in a net operating income margin of 76% for
the Properties.
CAPREIT and ECREIT see strong opportunity for growth in
multi-residential markets in the
Netherlands, where the country is grounded by a strong
economy and solid macroeconomic fundamentals. According to the
OECD, the Netherlands has enjoyed
GDP growth ranging from 2.0% to 3.0% for the four years from 2015
to 2018F. It is a country that is known for open trade, high levels
of infrastructure and a population that enjoys a high level of
equality and education. The Netherlands is characterized by a
shortage of available rental housing in many urban areas, which is
exacerbated by a sustained increase in property prices. There
continues to be constrained residential supply with limited
residential development, high replacement costs and declining
vacancy, which provides attractive investment opportunities on
which CAPREIT and ERES expect to capitalize. With CAPREIT's proven
management platform, acquired properties are expected to be quickly
repositioned to take advantage of the market conditions and
opportunities in deregulation.
ECREIT's existing portfolio consists of three office properties,
two of which are located in Germany and one of which is located in
Belgium. The fair value of these
properties based on ECREIT's September 30,
2018 financial statements is $136
million, which implies a forward capitalization rate of
approximately 7.2%. ECREIT's existing portfolio is nearly
fully-occupied at over 99%, leased to large, well-known tenants,
with a weighted average lease term of approximately 6.3 years, is
indexed to inflation, and generally requires low levels of capital
expenditures. ERES' intentions will be to focus on acquiring
additional European multi-residential properties with high quality
cash flows and strong growth profiles, which may result in the sale
of some or all of these office buildings in the future.
Management Agreements
Upon Closing, ECREIT's existing management agreement with Maple
Knoll Capital Ltd. will either be terminated at no cost to ERES or
assumed by CAPREIT. ERES will enter into a new asset management
agreement and a new property management agreement with CAPREIT (the
"Management Agreements"). ECREIT's CEO, Phillip Burns, will become an employee of
CAPREIT and will become CEO of ERES. Under the CAPREIT asset
management agreement, CAPREIT will grant ERES a right of first
opportunity on investment opportunities in multi-residential
properties in Europe that are
identified by CAPREIT that fit within ERES' investment policy,
subject to certain exclusions. Maple Knoll Capital Ltd. will be
subcontracted by CAPREIT to continue managing ERES' commercial
portfolio for three years following Closing.
As it continues to focus on delivering strong growth, ERES will
benefit from full access to Canada's largest established multi-residential
platform. CAPREIT's large size and economies of scale will allow it
to provide enhanced management services to ERES, at a lower overall
cost structure than ECREIT's current external management structure.
Details of the Management Agreements will be disclosed in the
Circular.
Unit Consideration
As partial consideration for the Transaction, ERES will issue
approximately 59.6 million ERES units to CAPREIT, at a price of
$4.00 per unit, totaling $239 million. ERES may also satisfy up to an
additional $88 million of the
Purchase Price through the issuance of ERES units at a price of
$4.00 per unit to the extent ERES is
unable to satisfy the $88 million
cash portion of the purchase price prior to Closing. In addition,
if ERES is unable to fund the land transfer tax incurred as a
result of the Transaction, CAPREIT will subscribe for up to
approximately an additional $12
million in ERES units at a price of $4.00 per unit.
Assumption of Debt
ERES will assume CAPREIT's European mortgages currently
associated with the Properties. As at September 30, 2018, the mortgages had an
outstanding balance of approximately $307
million, a weighted average term to maturity of 5.4 years,
and a weighted average interest rate of 1.9%. CAPREIT has indicated
that it is currently able to source 5-year debt at interest rates
ranging from 1.50% to 1.75%, providing a low cost of debt capital
and facilitating attractive levered equity returns.
As at September 30, 2018, ECREIT's
existing mortgage debt had an outstanding balance of approximately
$74 million, a weighted average term
to maturity of 5.7 years, and a weighted average interest rate of
1.8%.
The following table sets out the consolidated capitalization of
ECREIT as at the date of the latest interim financial statements
and after giving effect to the Transaction:
|
ECREIT
As at September
30, 2018
|
Effect of the
Transaction
|
ERES
Pro Forma, After
Giving
Effect to the
Transaction
|
Investment
Properties
|
$136
million
|
$634 million
1
|
$769
million
|
Debt (Principal
Value)
|
$74
million
|
$307
million
|
$381
million
|
Trust Units and Class
B LP
Units
Outstanding
|
16.9
million
|
86.1 million
2
|
103.0
million
|
1.
|
Represents the value
at which ECREIT is acquiring the Properties, which is equal to the
December 2018 independently appraised value of €421,830,000 and a
1.502 exchange rate.
|
2.
|
Based on 59.6 million
units of ERES being issued to CAPREIT at a $4.00/unit price, and
assumes an additional 26.4 million units are to be issued to the
public to raise net proceeds of $100 million.
|
Distribution Policy
ECREIT will provide details on ERES' intended distribution
policy in the Circular. ERES expects to migrate over time to
monthly distributions denominated in Euros with a target AFFO
payout ratio in the range of 80% to 90%. With the relative
valuation differential between commercial and multi-residential
asset classes, the Transaction is expected to result in an initial
material decline in AFFO and annualized cash distributions per unit
for ERES, but ERES is expected to be compensated over time by
multi-residential assets' attractive characteristics, including
higher rental growth rates.
Pipeline Agreement
Upon Closing, ERES and CAPREIT will enter into a pipeline
agreement (the "Pipeline Agreement") to
facilitate ERES' acquisition of European multi-residential
properties that fit within its investment guidelines in
circumstances in which ERES does not have sufficient funds to
acquire such properties, as well as to enable the acquisition by
ERES of other properties that fit within its investment guidelines,
which CAPREIT may own, from time to time. CAPREIT will make up to
$250 million available, on a
revolving basis, pursuant to the terms of this Pipeline Agreement.
The Pipeline Agreement provides that the price payable by ERES for
any property acquired by CAPREIT would be the price paid (including
all acquisition costs, plus a 1% underwriting fee), provided that
ERES acquires such property within 6 months of it being acquired by
CAPREIT. Thereafter, the price would be the greater of the price
paid (including all acquisition costs) and the fair market value
(as defined by IFRS and determined by a qualified independent
appraiser reasonably satisfactory to the parties), plus a 1%
underwriting fee. Properties owned by CAPREIT on the Closing, if
sold to ERES, will not be subject to the 1% underwriting fee.
Board of Trustees
Following Closing, it is expected that existing ECREIT trustees
Ira Gluskin, Arjan Breure and Phillip
Burns will continue as trustees of ERES. As part of the
Transaction, CAPREIT will be entitled to nominate three trustees of
ERES. In the future, CAPREIT will be entitled to nominate three
trustees subject to its ownership remaining above 20%, two trustees
subject to ownership being between 10% and 20%, and one trustee
subject to ownership being between 5% and 10%. Subject to TSX-V
approval, it is proposed that Harold
Burke, Gina Cody and
Michael Stein (being nominees of
CAPREIT), will be appointed as trustees of ERES. Another
independent trustee, to be selected by ERES' board of trustees, is
expected to be appointed in the months following
Closing.
Conditions of Completion
The completion of the Transaction is subject to a number of
terms and conditions, including, without limitation: (i) required
ECREIT disinterested unitholder approval; (ii) certain regulatory
approvals, including the approval of the TSX-V; (iii) lender
consents; (iv) the entering into of certain Transaction documents
on Closing in substantially the form attached to the purchase
agreement; and (v) certain termination rights available to the
parties under the purchase agreement. These approvals may not be
obtained, the other conditions to the Transaction may not be
satisfied in accordance with their terms, and/or the parties to the
purchase agreement may exercise their termination rights, in which
case the proposed Transaction could be modified or terminated, as
applicable. Important risks and uncertainties include global,
economic, market and business conditions, the failure to obtain
regulatory and other approvals in connection with the Transaction
or to do so in a timely manner and the failure of any of the
parties to satisfy the other conditions to closing of the
Transaction.
Board Recommendations
ECREIT's board of trustees, based on the recommendation of the
Independent Committee, has unanimously determined that the
Transaction is in the best interests of ECREIT and its unitholders
and is unanimously recommending that ECREIT unitholders vote in
favour of the Transaction. The Independent Committee has received
an opinion from its financial advisor, Scotiabank, that, as of the
date thereof and subject to the assumptions, limitations and
qualifications set forth therein, the Transaction is fair, from a
financial point of view, to unitholders of ECREIT.
Certain trustees and officers of ECREIT, who collectively hold
approximately 12.8% (of which approximately 5.4% will be excluded
from the disinterested vote) of the outstanding units of ECREIT,
are expected to enter into voting and support agreements with
CAPREIT pursuant to which they will agree to vote their
ECREIT units in favour of the Transaction, subject to the right to
terminate such voting and support agreements in certain
circumstances, including the termination of the Transaction.
Certain trustees and officers of CAPREIT collectively own an
aggregate of 260,105 ECREIT units (with an approximate value of
$1 million), including David Ehrlich, currently a trustee of both
CAPREIT and ECREIT, who owns 196,800 deferred units of ECREIT.
These CAPREIT trustees and officers own an aggregate of 923,221
CAPREIT units and deferred units (with an approximate value of
$44 million).
Trading Halt
The ECREIT units are currently halted on the TSX-V in accordance
with TSX-V Policy 5.2 Changes of Business and Reverse Takeovers.
ECREIT anticipates that such units will remain halted from trading
for a brief period pending the submission of certain additional
documentation to the TSX-V for review and clearance.
Advisors
RBC Capital Markets is acting as financial advisor and Stikeman
Elliott LLP is acting as legal counsel to CAPREIT. Scotiabank is
acting as financial advisor and Miller Thomson LLP is acting as
legal counsel to ECREIT.
About CAPREIT
As one of Canada's largest
residential landlords, CAPREIT is a growth-oriented investment
trust owning interests in 51,743 residential units, comprising
45,151 residential suites and 32 manufactured home communities
comprising 6,592 land lease sites located in and near major urban
centres across Canada and
the Netherlands. Since its Initial
Public Offering in May 1997, CAPREIT
has grown monthly cash distributions per Unit by 86%. For more
information about CAPREIT, its business and its investment
highlights, please refer to our website at www.caprent.com or
www.capreit.net and our public disclosure, which can be found under
our profile at www.sedar.com.
About ECREIT
ECREIT is an unincorporated, open-ended real estate investment
trust focused on aggregating a bespoke portfolio of high-quality,
non-prime commercial real estate assets in key European markets
with strong fundamentals. ECREIT's strategy is designed to deliver
long-term, secure income with additional potential for capital
appreciation. ECREIT intends to grow by acquiring additional assets
consistent with its strategy and which are expected to be
accretive, on a per unit basis, to its earnings. ECREIT's units are
listed on the TSX-V under the symbol ERE.UN. For more information
please visit our web site at www.ECREIT.com.
Non-IFRS Measures
CAPREIT prepares and releases unaudited consolidated interim
financial statements and audited consolidated annual financial
statements prepared in accordance with IFRS. In this and other
earnings releases and investor conference calls, as a complement to
results provided in accordance with IFRS, CAPREIT also discloses
and discusses certain financial measures not recognized under IFRS
and that do not have standard meanings prescribed by IFRS. These
include stabilized net rental income ("Stabilized NOI"), Net
Rental Revenue Run-Rate, Funds From Operations ("FFO"),
Normalized Funds From Operations ("NFFO"), and Adjusted Cash
Flow from Operations ("ACFO"), and applicable per Unit
amounts and payout ratios (collectively, the "Non-IFRS
Measures"). These Non-IFRS Measures are further defined and
discussed in the MD&A released on November 6, 2018, which should be read in
conjunction with this press release. Since Stabilized NOI, Net
Rental Revenue Run-Rate, FFO, NFFO, and ACFO are not measures
recognized under IFRS, they may not be comparable to similarly
titled measures reported by other issuers. CAPREIT has presented
the Non-IFRS measures because Management believes these Non-IFRS
measures are relevant measures of the ability of CAPREIT to earn
revenue and to evaluate CAPREIT's performance and cash flows. A
reconciliation of Net Income and these Non-IFRS measures is
included in this press release below. The Non-IFRS measures should
not be construed as alternatives to net income (loss) or cash flows
from operating activities determined in accordance with IFRS as
indicators of CAPREIT's performance or sustainability of our
distributions.
Adjusted funds from operations ("AFFO") is not a measure
recognized under IFRS and does not have a standardized meaning
prescribed by IFRS. AFFO is a supplemental measure of performance
for real estate businesses. ECREIT believes that AFFO is an
important measure of economic performance and is indicative of
ECREIT's ability to pay distributions. The IFRS measurement most
directly comparable to AFFO is net income.
"AFFO" is defined by ECREIT as FFO subject to the following
adjustments: (i) amortization of fair value mark-to-market
adjustments on mortgages acquired: (ii) amortization of deferred
financing fees; (iii) differences resulting from recognizing
property revenues on a straight-line basis; (iv) deferred unit
compensation expense and (v) a reserve for normalized maintenance
capital expenditures and leasing costs, as determined by ECREIT.
Other adjustments may be made to AFFO as determined by the trustees
of ECREIT in their discretion.
Cautions Regarding Future Plans and Forward Looking
Information
Certain statements contained in this press release constitute
forward-looking statements within the meaning of applicable
Canadian securities laws which reflect CAPREIT's and ECREIT's
current expectations and projections about future results.
Forward-looking statements generally can be identified by the use
of forward-looking terminology such as "outlook", "objective",
"may", "will", "expect", "intent", "estimate", "anticipate",
"believe", "consider", "should", "plans", "predict", "estimate",
"potential", "could", "likely", "approximately", "scheduled",
"forecast", "variation" or "continue", or similar expressions
suggesting future outcomes or events. The forward-looking
statements made in this press release relate only to events or
information as of the date on which the statements are made in this
press release. Actual results and developments are likely to
differ, and may differ materially, from those expressed or implied
by the forward-looking statements contained in this press release.
Such forward-looking statements are based on a number of
assumptions that may prove to be incorrect.
Except as specifically required by applicable Canadian
securities law, neither CAPREIT nor ECREIT undertakes any
obligation to update or revise publicly any forward-looking
statements, whether as a result of new information, future events
or otherwise, after the date on which the statements are made or to
reflect the occurrence of unanticipated events. These
forward-looking statements should not be relied upon as
representing CAPREIT's or ECREIT's views as of any date subsequent
to the date of this press release. There can be no assurance that
forward-looking statements will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not
place undue reliance on forward-looking statements.
Completion of the Transaction is subject to a number of
conditions, including but not limited to, acceptance by TSX Venture
Exchange Inc. and, if applicable, disinterested unitholder
approval. Where applicable, the Transaction cannot close until the
required unitholder approval is obtained. There can be no assurance
that the Transaction will be completed as proposed or at all.
Investors are cautioned that, except as disclosed in the
Circular, any information released or received with respect to the
Transaction may not be accurate or complete and should not be
relied upon. Trading in the securities of ECREIT should be
considered highly speculative.
Neither the TSX-V nor its Regulation Services Provider (as that
term is defined in the policies of the TSX-V) have in no way passed
upon the merits of the proposed Transaction and have neither
approved nor disapproved the contents of this news release.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy any securities of ECREIT.
SOURCE Canadian Apartment Properties Real Estate Investment
Trust (CAPREIT)