MISSISSAUGA, Ont. – Chartwell Retirement Residences (TSX:CSH.UN) is selling what it calls a non-core portfolio of 14 retirement residences in Ontario for $65.9 million.
The sale price of the residences, comprised of 945 suites, includes the assumption of mortgages with an outstanding balance of some $19.5 million by the purchaser, who was not identified.
Chartwell will provide vendor take-back mortgages against certain properties in the amount of $6 million, the company .
Closing of the transaction is expected in the second quarter of 2014.
“The sale of this Portfolio is in line with our strategy to divest assets that we consider non-core,” Chartwell president and CEO Brent Binions said in announcing the deal Tuesday, adding that his company would work with the purchaser “to minimize the impact of the transition on residents and staff.”
Following is the list of properties being sold: Atrium Retirement Residence, Orillia; Atrium Villa Retirement Residence, Hamilton; Cobourg Retirement Residence, Cobourg; Devonshire Retirement Residence, Windsor; Gravenhurst Retirement Residence, Gravenhurst; Maple Court Retirement Residence, Walkerton; Mayfield Retirement Residence, Prescott; Oxford Manor Retirement Residence, Ingersoll; Park Place Retirement Residence Woodstock; Peterborough Retirement Residence, Peterborough; Tillsonburg Retirement Residence, Tillsonburg; Willoughby Manor Retirement Residence, Niagara Falls, and the Millwood Retirement Residence and the Teddington Park Retirement Residence, both in Toronto.