Primaris REIT Announces $565 Million Acquisition of Promenades St-Bruno; Raises Guidance; and Launches REIT Unit Offering

Core Insights - Primaris Real Estate Investment Trust has agreed to acquire a 100% interest in Promenades St-Bruno for $565 million, enhancing its portfolio of shopping centers in Canada [1][3][29] Acquisition Details - The acquisition will be financed through a combination of $320 million in cash, $160 million in series A units at an issue price of $21.40, and $85 million in exchangeable preferred units [6][24] - The acquisition is expected to close on October 10, 2025, subject to customary conditions [12][22] Financial Impact - The acquisition is projected to be approximately $0.04 accretive to annualized fully diluted FFO per unit [5][18] - Proforma same store sales productivity is expected to increase from $784 to $791 per square foot [5][9] - 2025 guidance for FFO per unit has been raised from $1.74 to a range of $1.78 to $1.82, and Same Property Cash NOI growth guidance has been increased from 3.0% to 4.0% to a range of 4.0% to 5.0% [5][18] Portfolio Enhancement - Upon closing, Promenades St-Bruno will become Primaris' third-largest shopping center by total store sales volume, contributing to a proforma portfolio valued at approximately $5.4 billion [8][29] - The acquisition aligns with Primaris' strategy of acquiring high-quality properties with significant NOI growth potential [3][11] Market Position - Primaris has completed over $1.5 billion in acquisitions in 2025 and $3.3 billion since 2021, demonstrating a strong growth trajectory [3][29] - The acquisition is expected to enhance the trading liquidity of Primaris' units, benefiting all unitholders [5][3]