01/17/2013 02:45 EST | Updated 03/19/2013 05:12 EDT

Partners REIT to buy 5 Montreal-area properties in deals totalling $78.5M

VICTORIA - Partners Real Estate Investment Trust (TSX:PAR.UN) has signed agreements to buy five retail properties in the Montreal region for $78.5 million.

The deals, which include four newly constructed properties, will see the Victoria-based REIT add a total of about 286,500 square feet of gross leasable space.

The tenant roster for the properties includes three grocery stores, two drug stores, two provincial liquor stores and three Tim Hortons locations, all on long-term leases.

Partners said it will finance the purchases through a combination of $48.4 million in new mortgages, cash from a recently completed financing and its credit facility.

"These combined transactions mark one of our larger aggregate acquisitions to date with the properties providing extremely strong tenancies and stable long-term cash flow," company president Patrick Miniutti said in a statement.

Partners currently owns directly or indirectly 33 retail properties in British Columbia, Alberta, Manitoba, Ontario and Quebec with an aggregate 2.3 million square feet of leasable space.

Partners units were halted on the Toronto Stock Exchange pending the announcement and were down five cents at $7.91 after trading resumed.