Automotive Properties Real Estate Investment Trust (REIT) has entered into an agreement to acquire the Straightline Kia Property in Calgary, Alta., for approximately $8.4 million.
“We remain well-positioned to continue expanding our portfolio with high-quality property acquisitions in strategic metropolitan markets, while increasing AFFO per unit in support of unit-holder distributions,” said REIT in a news release.
REIT’s portfolio currently includes 61 income-producing commercial properties in markets across British Columbia, Alberta, Saskatchewan, Manitoba, Ontario and Québec, according to the company. The Kia property would be the latest one.
That would make the Straightline Motor Group, an affiliate of JV Driver, the tenant of the Straightline Kia Property. Once the transaction concludes, the group will enter into a “15-year, triple-net lease with the REIT” with two five-year renewal options at market rates, said REIT.
The Straightline Kia Property is a 21,808 square-foot full-service dealership located in the Calgary Auto Mall. It underwent major renovations in 2018-2019.
REIT expects the transaction to be completed this quarter.
