Adventus Signs Agreement to Purchase Property in Suburban Atlanta

June 08, 2018
Adventus Opportunity Fund (“AOF”) is pleased to announce it has signed a Purchase and Sale Agreement (“PSA”) to acquire its first property, a campus-style office development featuring four, 4-story, Class A buildings (“TownPark Commons”, or the “Property”) in the Kennesaw Town Center submarket of Atlanta, Georgia for consideration of US$73.4 million, subject to customary due diligence. Closing is expected by July 18, 2018.
 
TownPark Commons is located in the high-growth Kennesaw submarket of northwest Atlanta. The Property is conveniently positioned near Kennesaw State University, and is situated between two interstate highways providing easy access from all points of the Atlanta metro area. TownPark Commons is currently 98% occupied, and has a stable and dedicated tenant base. Over the last 20 years the Property has averaged 92% occupancy and existing tenants have an average tenure of 15.2 years. Adventus Realty Trust (“ART”) acquired its Barrett Lakes property in Kennesaw in 2016.
 
Funding the Acquisition
 
The purchase of TownPark Commons is expected to be funded with a combination of bank debt (approximately 65%) and equity from the sale of AOF units. As previously disclosed, AOF is undertaking a rights offering of up to US$50 million, alongside a concurrent private placement, priced at US$10 per unit. Unitholders of ART have the first opportunity to invest in AOF. Fort Capital Securities Ltd. of Vancouver, BC has been engaged by AOF to lead the concurrent private placement.
 
About Adventus Realty Trust and Adventus Opportunity Fund
 
ART and AOF are both Canadian based private Real Estate Investment Trusts (REITs) and are focused on US income producing commercial real estate in select suburban office markets. For more information on the Adventus entities, including our team and corporate strategy, we invite you to visit our website at www.adventusrealty.com.
 
Cautionary Statements Regarding Forward-Looking Statements
 
This press release may contain forward-looking statements with respect to AOF and its operations, strategy, financial performance and financial condition, as well as with respect to future acquisitions of properties. These statements generally can be identified by the use of forward-looking terminology such as “anticipate”, “believe”, “plan”, “forecast”, “expect”, “intend”, “would”, “could”, “if”, “may” and similar expressions. The actual results and performance of AOF and the acquisition discussed herein could differ materially from those expressed or implied by such statements. Accordingly, readers should not place undue reliance on forward-looking statements. These cautionary statements qualify all forward-looking statements attributable to AOF and persons acting on its behalf. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Some important factors that could cause actual results to differ materially from expectations include, among other things, general economic and market factors, changes in interest rates, competition and changes in securities or other laws or regulations or the application thereof. The cautionary statements qualify all forward-looking statements attributable to AOF and persons acting on its behalf.
 
Unless otherwise stated, all forward-looking statements speak only as of the date of this press release. Except as required by applicable law, AOF specifically disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future developments or otherwise.
 
ADVENTUS OPPORTUNITY FUND
By its Trustee: ADVENTUS OPPORTUNITY SERVICES INC.
 
Per: Rodney B. Johnston, FCPA, FCA
President and Chief Executive Officer
Investors News Releases Adventus Signs Agreement to Purchase Property in Suburban Atlanta