Morguard North American Residential REIT Completes Acquisition of six Multi-Unit Residential Assets in the U.S. for US$232 Million

MISSISSAUGA, May 23, 2013 /CNW/ - Morguard North American Residential Real Estate Investment Trust (TSX: MRG.UN) (the "REIT") is pleased to announce that it has completed the purchase of the remaining six multi-unit residential properties from an institutional fund sponsored by Pearlmark Real Estate Partners, L.L.C. ("Pearlmark") for US$232 million (excluding closing costs). This acquisition was previously announced by the REIT on January 9, 2013.

The six properties acquired are residential apartment and townhome complexes comprised of 1,959 suites located in Kennesaw, Georgia, Bradenton, Florida, Raleigh, North Carolina and Irving, Texas and Garland, Texas.  The properties are best-in-class low rise, enclave assets with structured and surface parking, modern leasing centers and amenity packages with a weighted average age from construction of 12 years.

In connection with the purchase of the six acquired properties the REIT assumed in-place mortgage financing of US$136.9 million (weighted average interest rate of 4.03% with a weighted average term to maturity of 3.8 years).

After closing the final portion of the Pearlmark acquisition the REIT will own interests in a total of 11,160 units in Canada and the U.S valued at approximately $1.4 billion.

About Morguard North American Residential Real Estate Investment Trust

Morguard North American Residential REIT is an unincorporated, open-ended real estate investment trust which owns, through a limited partnership, interests in a portfolio of 14 Canadian residential apartment buildings, located in Alberta and Ontario, and 24 U.S. walk-up garden communities consisting of 11,160 residential suites that are located in Colorado, Florida, Georgia, Louisiana, North Carolina and Texas.

SOURCE: Morguard North American Residential Real Estate Investment Trust

K. (Rai) Sahi
Chief Executive Officer
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Paul Miatello
Chief Financial Officer
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Beverley G. Flynn
General Counsel & Secretary
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