Marwest Apartment REIT Announces Filing of Preliminary Prospectus and Implementation of Cash Distributions

/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

WINNIPEG, MB, July 7, 2021 /CNW/ - Marwest Apartment Real Estate Investment Trust ("Marwest Apartment REIT" or the "REIT") (TSXV: MAR.UN) is pleased to announce today that it has filed, and obtained a receipt for, a preliminary short-form prospectus for the proposed public offering (the "Offering") of units of the REIT (the "Offered Units") with the securities regulatory authorities in each of the provinces and territories in Canada, other than the province of Quebec, for minimum gross proceeds of approximately $5.0 million and maximum gross proceeds of approximately $9.0 million.

Each Offered Unit is comprised of: (i) one (1) trust unit (a "Trust Unit") of the REIT; and (ii) one Trust Unit purchase warrant entitling the holder thereof to purchase one (1) additional Trust Unit at any time up to and including the date that is twelve (12) months from the closing date of the Offering.

The Offering is being managed by a syndicate of agents led by Canaccord Genuity Corp. and including CIBC World Markets Inc., National Bank Financial Inc., Desjardins Securities Inc., iA Private Wealth Inc., Raymond James Ltd., Richardson Wealth Limited and Wellington-Altus Private Wealth Inc.

The REIT has applied to have the Trust Units issued pursuant to the Offering on the Toronto Stock Venture Exchange (the "TSXV"). Listing is subject to the approval of the TSXV.

Additionally, the REIT intends to adopt a distribution policy pursuant to which it will make monthly cash distributions to Unitholders, initially in the amount equal to $0.015 per Trust Unit on an annualized basis ($0.00125 per Trust Unit on a monthly basis), representing a distribution of approximately 20% of the REIT's estimated run-rate AFFO.  Management of the REIT believes that the initial cash distribution policy of the REIT should allow the REIT to meet its internal funding needs, while being able to support stable growth in cash distributions. The first distribution is expected to have a record date of December 31, 2021 with payment being made on or about January 15, 2022.

About Marwest Apartment REIT

The REIT is an unincorporated open-ended trust governed by the laws of the Province of Manitoba. The REIT was formed to provide Unitholders with the opportunity to invest in the Canadian multi-family rental sector through the ownership of high-quality income-producing properties, with an initial focus on stable markets throughout Western Canada.

Forward-looking Statements 

The information in this news release includes certain information and statements about management's views of future events, expectations, plans and prospects that constitute forward– looking statements. These statements are based upon assumptions that are subject to significant risks and uncertainties.  Because of these risks and uncertainties and as a result of a variety of factors, the actual results, expectations, achievements or performance may differ materially from those anticipated and indicated by these forward–looking statements. Forward–looking statements in this news release include, but are not limited to, the implementation of a cash distribution policy.  A number of factors could cause actual results to differ materially from these forward–looking statements.  The payment of cash distributions will be dependent upon a number of factors, including but not limited to the financial performance, financial condition and financial requirements of the REIT.  Although management of the REIT believes that the expectations reflected in forward– looking statements are reasonable, it can give no assurances that the expectations of any forward– looking statements will prove to be correct. Except as required by law, the REIT disclaims any intention and assumes no obligation to update or revise any forward–looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward–looking statements or otherwise.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.

The Trust Units are not registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") and may not be offered or sold within the United States or to or for the account or benefit of U.S. persons, except in certain transactions exempt from the registration requirements of the U.S. Securities Act. This press release does not constitute an offer to sell, or the solicitation of an offer to buy, securities of the REIT in the United States or in any other jurisdiction.

SOURCE Marwest Apartment Real Estate Investment Trust

Mr. William Martens, Chief Executive Officer, Telephone: [phone].