Parkit Completes Acquisition of Industrial Asset in Quebec
Rhea-AI Summary
Parkit Enterprise (TSXV: PKT) has completed the acquisition of an industrial property in Boisbriand, Quebec for $10,250,000. The acquired asset, located at 1650 Boulevard Lionel-Bertrand, features approximately 62,680 square feet of gross leasable area on 2.5 acres of land. The property currently has two tenants with a Weighted Average Lease Term (WALT) of 9.3 years.
The purchase was financed through a combination of a first mortgage on the property and existing funds. The acquisition strengthens Parkit's presence in Quebec, being situated near their existing assets, and is expected to provide strong in-place cash flows and rental growth potential.
Positive
- Property acquired has 62,680 sq ft of gross leasable area on 2.5 acres
- Strong tenant stability with 9.3 years WALT from two in-place tenants
- Strategic location near existing Parkit assets in Quebec
- Purchase partially funded through existing cash, demonstrating financial liquidity
Negative
- Acquisition from non-arms length vendor may raise conflict of interest concerns
- Significant capital deployment of $10.25M may impact cash reserves
News Market Reaction – PKTEF
In the trading session that priced this news, PKTEF declined 2.12%, reflecting a moderate negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Toronto, Ontario--(Newsfile Corp. - February 6, 2025) - Parkit Enterprise Inc. (TSXV: PKT) ("Parkit"), is pleased to announce it has completed the acquisition of one industrial asset from a non-arms length vendor (the "Vendor"), for an aggregate purchase price of
1650 Blvd Lionel Bertrand, Boisbriand, Quebec
The Acquisition consists of an industrial building at 1650 Boulevard Lionel-Bertrand, Boisbriand, Quebec (the "Property"). The Property has approximately 62,680 square feet of gross leasable area on 2.5 acres of land. The building has two in-place tenants with a WALT of 9.3 years and is located in close proximity to Parkit's existing assets.
The Purchase Price was satisfied with a first mortgage on the Property and funds on hand.
Iqbal Khan, CEO of Parkit, states, "The Acquisition provides strong in-place cash flows, rental growth and adds scale to our existing Quebec portfolio with excellent upside."
About Parkit Enterprise Inc.
Parkit Enterprise is an industrial real estate platform focused on the acquisition, growth and management of strategically located industrial properties across key urban markets in Canada. In addition, Parkit has parking assets across various markets in the United States of America. Parkit's Common Shares are listed on the TSX-V (Symbol: PKT).
For more information, please contact Mr. Carey Chow, Mr. Iqbal Khan or Mr. Steven Scott:
Investor Relations
Contact Number: 1-888-627-9881
Email: ir@parkitenterprise.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Information: This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein is forward-looking information. In particular, this news release contains forward-looking information in relation to: statements regarding the potential effect on Parkit of the Acquisition including its effect on cash flows, rental growth and the adding scale to Parkit's Quebec portfolio; and Parkit's business strategy and focus regarding the acquisition, growth and management of strategically located industrial properties across key urban markets in Canada. This forward-looking information reflects Parkit's current beliefs and is based on information currently available to Parkit and on assumptions Parkit believes are reasonable. These assumptions include, but are not limited to: the receipt of all required final approvals for the Acquisition; market acceptance of the Acquisition; the level of activity in the industrial real estate business and the economy generally; competition and Parkit's competitive advantages; trends in the industrial real estate industry; the availability of attractive and financially competitive acquisitions in the future; and continued consumer interest in Parkit's services and products. Forward-looking information is subject to known and unknown risks and uncertainties that may cause the actual results, performance or developments to differ materially from those contained in or implied by such forward-looking information. These risks, uncertainties, and factors may include, but are not limited to: general business, economic, competitive, political and social uncertainties; general capital market conditions and market prices for securities; delay or failure to receive board of directors, third party or regulatory approvals; the actual results of Parkit's future operations; competition; changes in legislation, including environmental legislation, affecting Parkit; the timing and availability of external financing on acceptable terms; conclusions of economic evaluations and appraisals; and the lack of qualified, skilled labour or loss of key individuals. A description of additional risk factors that may cause actual results to differ materially from forward-looking information can be found in Parkit's disclosure documents on the SEDAR+ website at www.sedarplus.ca. Although Parkit has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Readers are cautioned that the foregoing list of risks, uncertainties and factors is not exhaustive. Accordingly, readers should not place undue reliance on forward-looking information. Readers are further cautioned not to place undue reliance on forward-looking information as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking information contained in this news release is expressly qualified by this cautionary statement. The forward-looking information contained in this news release represents the expectations of Parkit as of the date of this news release and, accordingly, is subject to change after such date. However, Parkit expressly disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities law.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/239949