The offering resulted in gross proceeds of $125.06 million and began trading on the Toronto Stock Exchange in U.S. dollars today under the symbol "DRR.U."
The REIT indirectly acquired an initial portfolio of 16 garden-style multi-residential properties, consisting of 3,432 units primarily located in three markets across the Sunbelt and Midwest regions of the U.S.
The REIT used the net proceeds to fund the cash component of the acquisition and for general trust purposes.
The REIT granted the underwriters an over-allotment option to buy up to an additional ~1.44 million units for additional gross proceeds of $18.76 million, if exercised in full.
Dream Residential REIT intends to make its first distribution of $0.0294 per unit on June 15, 2022, from the closing of the offering to May 31, 2022, to unitholders of record on May 31, 2022.
It intends to make subsequent monthly distributions in the estimated amount of $0.035 per unit commencing on or about July 15, 2022.
Price Action: DRR.U shares are trading lower by 9.23% at $11.80 on TSX on the last check Friday.