Nothwest Healthcare Properties REIT Acquires Medical Office & Retail Project in Quebec

NorthWest Healthcare Properties Real Estate Investment Trust (REIT) announced that it has entered into an agreement to acquire Polyclinique Val-Belair, a 49,000 square foot new mixed-use medical office and retail project in Quebec City. The purchase is expected to close in the third quarter of 2011, subject to customary closing conditions and is expected to be immediately accretive.

Located in north-west Quebec City, within the suburb of Val-Belair, Polyclinique Val-Belair is a newer development that has become the dominant medical office property in a rapidly growing market. Polyclinique Val-Bélair is 97% leased on a long term basis and benefits from a quality roster of tenants including a large government affiliated medical clinic and other healthcare related tenants.  Retail tenancy at the property complements these medical uses, with a large Familiprix pharmacy (over 250 locations across Quebec and New Brunswick) and two large national tenants, Dollarama and National Bank.

The purchase price will be approximately $11 million, subject to adjustments. The property is to be acquired free and clear, providing an opportunity to secure longer term mortgage financing in due course. The equity portion of the REIT's investment will be funded from existing resources.

The investment will be REIT's fourth acquisition in Quebec City and its fourteenth asset in the Province of Quebec. The REIT believes that the acquisition of Polyclinique Val-Belair will further solidify its market leadership in healthcare real estate in Quebec City, in the Province of Quebec and in Canada

on June 23, 2011