Guelph, Ontario, Canada, July 18, 2022 (GLOBE NEWSWIRE) -- As part of its portfolio repositioning program, Skyline Industrial REIT* has sold a mixed-use commercial building at 66 Hincks Street, New Hamburg, Ontario. The transaction closed on July 6, 2022, with a total sale price of $4.5M. The building totals 50,076 square feet of commercial space on three acres.
Skyline Industrial REIT has been evolving its strategy to focus on new, modern, state-of-the-art, warehousing, and logistic-focused assets, and to transition away from older, smaller multi-bay assets.
The increased need for these types of assets across the industry has presented an opportunity for the REIT to seek acquisition of these asset types as the REIT aims to increase its value and weighting in this sector.
The REIT has transacted multiple property dispositions over the past five months in addition to its recent New Hamburg sale. These include:
815 & 825 Weber Street East and 1170 King Street East, Kitchener, Ontario
- Closed March 14, 2022
- Multi-tenant retail plaza totaling 27,411 square feet on 1.58 acres
- Total sale price: $7.3M
17 Woodyatt Drive, Brantford, Ontario
- Closed June 13, 2022
- Multi-tenant service commercial property totaling 72,527 square feet on 3.46 acres
- Total sale price: $10.91M
"Skyline Industrial REIT has been focused on completing our disposition program and increasing our weighting in the warehousing, distribution, and logistics sector since the process began in 2021,” said Mike Bonneveld, President, Skyline Industrial REIT.
“These individual property sales bring us closer to our desired position in the sector using this strategy. The proceeds from these various sales will continue to be redeployed toward our development pipeline and anticipated acquisitions of larger modern warehousing and logistics facilities. Skyline Industrial REIT is committed to delivering opportunities that can surface further value for its investors through stable and growing distributions.”
As of the New Hamburg disposition, Skyline Industrial REIT comprises 53 properties in 32 communities in 5 provinces across Canada, with a total of 6,606,304 square feet of industrial space.
*Skyline Industrial REIT was previously Skyline Commercial REIT. As a result of the REIT's increasing focus on modern warehousing and logistics assets, the REIT updated its name to better reflect its portfolio composition and target sector, effective June 14, 2022).
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