MISSISSAUGA, ON, Jan. 19, 2024 /CNW/ - Morguard Corporation ("Morguard") (TSX: MRC) announced today the successful completion of its previously announced sale of a portfolio of 14 high-quality hotels for gross proceeds of $410.0 million. This strategic transaction signifies Morguard's progress in optimizing its real estate portfolio and sharpening its focus on core real estate investments.

"The successful conclusion of this deal is a testament to the appeal of our hotel portfolio and the strength of Morguard's management over the years," said K. Rai Sahi, Chairman and Chief Executive Officer. "We are pleased to have capitalized on the current market demand for high-quality hotels. This positions us well for future growth."

The portfolio, comprising 14 renowned hotels including Marriott, Hilton, IHG and independent hotels across Canada, specifically in the Greater Toronto Area (Toronto, Mississauga, Markham, Vaughan), Ottawa, Halifax, and Sudbury, was sold to an institutional purchaser. Further information about the properties being sold can be found in the appended section of this news release. Morguard will retain ownership of two hotels: the dual-brand Hilton Garden Inn and Homewood Suites in Ottawa, Ontario and Inn at the Quay in New Westminster, British Columbia.

Upon closing the transaction, Morguard repaid first mortgage debt totaling $48.7 million, resulting in net proceeds of $361.3 million, before closing costs and customary adjustments. The liquidity provided by this transaction demonstrates Morguard's commitment to reduce indebtedness and pursue its core business objective of owning and managing a diversified real estate portfolio of office, industrial, retail, and multi-suite residential properties.

About Morguard Corporation

Morguard Corporation is a major North American real estate and property management company. Morguard has extensive retail, office, industrial and residential holdings owned directly and through its investment in Morguard Real Estate Investment Trust and Morguard North American Residential REIT. Morguard also provides real estate management services to institutional and other investors. Morguard's owned and managed portfolio of assets is valued at $18.3 billion. Please visit www.morguard.com or follow us on LinkedIn.



Property City Province Total
Rooms Courtyard Marriott Markham Markham ON 144 Residence Inn Marriott - Markham Markham ON 100 Courtyard Marriott Mississauga Mississauga ON 144 Hilton Garden Inn Toronto Airport West Mississauga ON 152 Cambridge Suites Mississauga Mississauga ON 100 Holiday Inn Express Ottawa ON 115 Towne Place Suites by Marriott Sudbury ON 105 Courtyard by Marriott Toronto Airport Toronto ON 168 Hotel Carlingview Toronto Airport Toronto ON 112 Residence Inn by Marriott Toronto Airport Toronto ON 137 Toronto Airport Marriott Toronto ON 424 Courtyard Marriott Vaughan Vaughan ON 144 Cambridge Suites Hotel Halifax Halifax NS 200 The Prince George Hotel Halifax NS 203 TOTAL HOTEL 2,248

SOURCE Morguard Corporation Cision

View original content: http://www.newswire.ca/en/releases/archive/January2024/19/c1070.html