CAPREIT announced it has acquired a manufactured housing community in Red Deer, Alberta, for a purchase price of $16.5 million. Developed in 2000, the community is currently 100 per cent occupied.

“With this acquisition, we now own and operate 77 manufactured housing communities, well-located in key markets across Canada totaling 12,375 MHC sites,” said Mark Kenney, President and CEO. “Looking ahead, we will continue to further diversify our residential portfolio, including a strong focus on the MHC sector due to its contribution to housing affordability, the strength and stability of its revenue streams, and the attractive return profile.”

According to Kenney, CAPREIT has invested close to $100 million in the repositioning of its MHC assets, largely to improve to common areas, amenities and infrastructure.  “These investments ensure we attract and retain families looking for quality living and, importantly, increase our commitment to providing an affordable alternative to the high cost of home ownership across Canada,” he said.

In addition, CAPREIT announced it has sold an 82-suite apartment property located at 88 Isabella Street in downtown Toronto, which was built in 1968. The buyer is acquiring the building as part of a land assembly transaction. CAPREIT will be paid $56.0 million for the property.

“These two transactions are indicative of the value we are generating for Unitholders through our active asset management,” Kenney staaid. “We are selling a property at a capitalization rate that is below 2 per cent, and deploying funds in a property at a capitalization rate that is above 5 per cent. Looking forward, we will continue to consider opportunities where we can strategically access attractive equity capital for redeployment into more accretive growth opportunities.”