Welsh Property Trust, LLC announces acquisition of units and change in effective interest in WPT Industrial Reit

TORONTO, April 7, 2014 /CNW/ - Welsh Property Trust, LLC ("Welsh") announced that it acquired ownership of 752,700 trust units (the "Units") of WPT Industrial Real Estate Investment Trust (the "REIT"). These Units were acquired as part of the REIT's previously-announced public offering (the "Offering") of 3,478,200 Units (including Units issued pursuant to the exercise in full of an over-allotment option granted to the underwriters) completed on April 4, 2014. Welsh purchased the Units pursuant to the partial exercise of its pre-emptive right (the "Pre-Emptive Right") under the agreement of limited partnership governing WPT Industrial, LP (the "Partnership"), the REIT's operating subsidiary.

After giving effect to this purchase and the Offering, Welsh now owns 752,700 Units (representing approximately 5.3% of the outstanding Units) and directly and indirectly owns 13,059,709 Class B partnership units ("Class B Units") of the Partnership (representing 100% of the outstanding Class B Units). Together, these Units and Class B Units represent an approximate 50.7% effective interest in the REIT (assuming all Class B Units are redeemed for Units, but otherwise on a non-diluted basis), provided that the 2,192,347 Class B Units issued to a subsidiary of Welsh in connection with the REIT's acquisition of a property located in Illinois on July 15, 2013 may not be redeemed for Units until Toronto Stock Exchange approval has been received by the REIT. This effective interest represents a decrease from 53.3% reported by Welsh in its previous announcement on July 15, 2013 related to its investment in the REIT.

Welsh acquired the 752,700 Units at a price of US$9.30 per Unit, which was the offering price under the Offering.  On April 4, 2014, the noon rate of exchange posted by the Bank of Canada for the conversion of U.S. dollars into Canadian dollars was US$1.00 equals Cdn$1.0978. Applying this noon rate, each Unit was valued at Cdn$10.21.

Welsh acquired the 752,700 Units pursuant to the exercise of the Pre-Emptive Right in connection with the Offering. Welsh's position may be increased (whether pursuant to property acquisition transactions or otherwise) or decreased in the future as considered appropriate in light of investment criteria, market conditions and other factors or circumstances and in accordance with the provisions of applicable securities legislation.

SOURCE: Welsh Property Trust, LLC

Further information (including a copy of the report to be filed with Canadian securities regulators in connection with this transaction) can be obtained by contacting: Scott Frederiksen, Chief Executive Officer, Welsh Property Trust, LLC, 4350 Baker Road, Suite 400, Minnetonka, Minnesota, United States 55343, [phone]