Automotive Properties REIT Completes $7 Million Over-Allotment Option and Additional Subscription Option Exercises

Executive Summary

• Automotive Properties REIT completed the exercise of its over‑allotment option and an additional subscription option, raising approximately $7 million in new proceeds.
• The total gross proceeds from the combined public offering and private placement now total roughly $57 million.
• Net proceeds will be used primarily to repay indebtedness related to recent acquisitions, with any remaining amount allocated to general trust purposes.

Key Details

• Over‑Allotment Option: Sale of 428,200 units at $11.11 per unit to the underwriters for gross proceeds of ≈ $4.8 million.
• Additional Subscription Option: Sale of 201,247 units at $11.11 per unit to Dilawri (private placement) for gross proceeds of ≈ $2.2 million; subject to a statutory hold period of four months plus one day.
• Total Offering Proceeds: Increased to approximately $57 million after the option exercises.
• Use of Proceeds:
• Repayment of indebtedness under existing credit facilities, including debt incurred for the cash portion of the acquisition of three automotive dealership properties in Dorval, Québec.
• Any remaining balance will be applied to general trust purposes.
• Securities Status: Units are not and will not be registered under U.S. securities laws; they may not be offered or sold in the United States absent an exemption.

Notable Quotes

(No direct quotes were provided in the release.)