/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE
SERVICES OR DISSEMINATION IN THE UNITED
STATES/
OTTAWA,
ON, Dec. 16, 2024 /CNW/ - Minto Apartment
Real Estate Investment Trust (the "REIT") (TSX: MI.UN) today
announced a cash distribution of $0.04333 per REIT unit for the month of
December 2024, representing
$0.52 per REIT unit on an annualized
basis. Payment will be made on January 15,
2025 to unitholders of record at the close of business on
December 31, 2024.
Special Distribution
The REIT also announced today that its trustees have also
declared a special non-cash distribution of $0.76 per REIT unit, payable on December 31, 2024 to unitholders of record at the
close of business on December 31,
2024 (the "Special Distribution"). The Special Distribution
represents a portion of the capital gains realized by the REIT for
the 2024 fiscal year. Accordingly, the Special Distribution will be
in the form of a capital gain for Canadian income tax purposes.
The Special Distribution is principally being made to distribute
to unitholders a portion of the capital gains realized by the REIT
upon the closing of its previously announced sale of the Tanglewood
and Chesterton/Bowhill properties located in Ottawa, Ontario, to Ottawa Community Housing
Corporation, on February 15, 2024 for
gross proceeds of $86
million.
Canadian resident unitholders will generally be required to
include their proportionate share of the REIT's income and net
taxable capital gain for the 2024 tax year as allocated and
designated by the REIT in computing their respective income for the
2024 tax year.
The Special Distribution will be paid at the close of business
on December 31, 2024 solely by the
issuance of additional REIT units that will have a fair market
value equal to the dollar amount of the Special Distribution and
which will be based on the weighted average trading price of a REIT
unit on the TSX during the period of 10 consecutive trading days
ending on December 30, 2024.
Immediately after the payment of the Special Distribution, the
issued and outstanding REIT units will be consolidated such that
the aggregate number of issued and outstanding REIT units will be
the same as immediately before the Special Distribution. The amount
of the Special Distribution will increase the adjusted cost base of
unitholders' consolidated REIT units. Unitholders not resident in
Canada for Canadian federal income
tax purposes may be subject to applicable withholding taxes in
connection with the payment of the Special Distribution.
The REIT cautions that the foregoing comments are not intended
to be, and should not be construed as, legal or tax advice to any
unitholder. The REIT recommends that unitholders consult their own
tax advisors regarding the income tax consequences to them of this
Special Distribution and related REIT unit consolidation.
About Minto Apartment Real Estate Investment Trust
Minto Apartment Real Estate Investment Trust is an
unincorporated, open-ended real estate investment trust established
pursuant to a declaration of trust under the laws of the Province
of Ontario to own income-producing
multi-residential properties located in urban markets in
Canada. The REIT owns a portfolio
of high-quality multi-residential rental properties located in
Toronto, Montreal, Ottawa and Calgary. For more information on Minto
Apartment REIT, please visit the REIT's website at:
www.mintoapartmentreit.com.
Forward-Looking Statements
This news release may contain forward-looking statements (within
the meaning of applicable securities laws) relating to the business
of the REIT. Forward-looking statements are identified by words
such as "believe", "anticipate", "project", "expect", "intend",
"plan", "will", "may", "estimate" and other similar expressions.
These statements are based on the REIT's expectations, estimates,
forecasts and projections and include, without limitation,
statements regarding the intended monthly cash distribution by the
REIT and the Special Distribution. The forward-looking statements
in this news release are based on certain assumptions. They are not
guarantees of future performance and involve risks and
uncertainties that are difficult to control or predict. A number of
factors could cause actual events to differ materially from those
discussed in the forward-looking statements, including, but not
limited to, the factors discussed and referenced under the heading
"Risks and Uncertainties" in the REIT's Q3 2024 management's
discussion and analysis dated November 12,
2024, which is available at www.sedarplus.ca. There can be
no assurance that forward-looking statements will prove to be
accurate as actual outcomes and results may differ materially from
those expressed in these forward-looking statements. Readers,
therefore, should not place undue reliance on any such
forward-looking statements. Further, these forward-looking
statements are made as of the date of this news release and, except
as expressly required by applicable law, the REIT assumes no
obligation to publicly update or revise any forward-looking
statement, whether as a result of new information, future events or
otherwise.
SOURCE Minto Apartment Real Estate Investment Trust