District REIT is only open to investment from qualified investors via our Offering Memorandum, the minimum investment for which is $10,000.
*Limitations regarding annual income or net worth apply. UNITS FOR PURCHASE ARE ONLY AVAILABLE THROUGH REGISTERED EXEMPT MARKET DEALERS (EMD), LICENSED TO DEAL IN SECURITIES IN ONTARIO AND BRITISH COLUMBIA. INTERESTED RESIDENTS OF ONTARIO OR BRITISH COLUMBIA WILL BE REFERRED TO A LICENSED EMD.
What is a REIT?
Investing in a REIT
Interested in a REIT, but aren’t sure what it is, or how to start? Browse through the panels below, and click ‘learn more’ for helpful pop-ups on each topic.
REITs have gained popularity due to their unique structure. Unlike many other “pooled” investment vehicles in Canada, investors in District REIT benefit from attractive, risk-adjusted returns in a tax-efficient manner.Key REIT Advantages
Why a REIT?
Why a Private REIT?
District REIT is “private”, meaning it does not trade on a stock market. The Net Asset Value is based directly upon the market value of the underlying real estate and not subject to the volatility of the stock market. The Unit price is expected to be stable and not fluctuate from one period to the next, while growing slowly over time. As a result, investments in private REITs are often considered long-term.More Information
Why District REIT?
Why District REIT?
At District REIT, we create maximum value and a favourable experience for all our investors through the efforts of our management team. Each member has a key role to play in the REIT and all are influential in its outcomes. Management works diligently to find and acquire the best investment opportunities and improve them in order to optimize the outcomes of the investors.Expert Management
How Do I Qualify?
How Do I Qualify?
This investment is classified as an Exempt Market Product by the securities regulators in Canada. This means that only certain individuals and entities can qualify to participate. Please click on the link for an explanation of how you can qualify.
Units for purchase are only available through a registered Exempt Market Dealer (EMD) licensed to deal in securities in Ontario and British Columbia. Interested residents of Ontario or British Columbia will be referred to a licensed EMD.
Why Choose Us?
Expert Management By Valour Capital
District REIT’s management team is closely affiliated with the Valour Group (“Valour”) and will derive substantial benefits from Valour’s existing business platform and fully integrated operations. The Management Team is committed to delivering predictable, tax-efficient cash flow by way of monthly distributions and value enhancement through its growth strategies. The real estate team has a proven track record in acquiring, developing, managing and creating value over the last 35+ years. District REIT benefits from Valour’s extensive industry relationships to source and finance qualified income properties. Highlights of the Valour Group include:
- Valour currently owns and/or manages over $350 million of real estate assets.
- Total assets under development by Valour have projected on-complete values in excess of $1 billion.
- At least six of the projects under development (with on-complete values in excess of $110 million) are potential acquisitions targets for District REIT.
- Over the past few years, the Valour Group has completed over 40 real estate acquisitions.
- The Management Team is comprised of seasoned and accredited professionals including Chartered Professional Accountants, Certified Property Managers and Real Estate and Mortgage Brokers.
- Management is incentivized to achieve superior investor returns for District REIT.
Principals and Board of Trustees
Ms. Campagnaro is founder and President of Pro Funds Mortgages and several other real estate companies. She has been active in the real estate industry for over 25 years with expertise in mortgage financing and real estate investment. Ms. Campagnaro has been investing in real estate since the age of 18 and has acquired various multi-residential and commercial investments over the years. Ms. Campagnaro provides mortgage finance and advisory services in the residential, multi-residential and commercial real estate sectors to borrowers, and to both private and institutional lenders. Over the last 20 years, Ms. Campagnaro has arranged and coordinated mortgage funding in excess of $1.5 billion, including commercial properties, multi-residential properties, land, developments, mezzanine financing and construction financing. Ms. Campagnaro’s success can be attributed to her constant drive to assist clients to achieve their financial goals.
Prior Professional Achievements / Experience:
- Licensed Mortgage Agent since 2000.
- Acquired various multi-residential and commercial real estate properties representing over 1,000 residential units and 500,000 sq. ft. of commercial space.
- Various re-development and re-positioning initiatives on properties owned.
- Established a large and active private mortgage investor pool.
- Speaker for various real estate investment training programs across Canada.
- Authored dozens of articles on real estate investment and financing.
- Frequent guest on the TV Show, “The Everyday Investor”.
- Producer and host of the TV Show, “30 Minutes to Wealth”, a program focused on achieving success in real estate, which has now completed two seasons.
Mr. Hall is President of the Valour Group. The Valour Group consists of various integrated real estate service companies, including development, construction, asset management, property management and financial services. Mr. Hall has over 25 years of experience as an asset manager, project manager, development manager, construction manager and real estate advisor. Mr. Hall has managed various commercial and multi-residential projects and portfolios and has been responsible for a portfolio in excess of 8 million sq. ft. with asset value in excess of $1 billion. His expertise includes asset management planning, acquisitions, due diligence reviews, real estate work-outs, property repositioning, valuations, development, financing, property dispositions, leasing and project marketing. Mr. Hall holds a Bachelor’s Degree from York University and is a licensed commercial real estate Broker, and is a Certified Property Manager with REIC/IREM. He is also a licensed mortgage broker acting as the Principal Broker (under FSCO) for Pro Funds Mortgages. One of the core objectives of the Valour Group is to effectively manage risk in its projects.
Prior Professional Achievements/Experience:
- Cumulative real estate management portfolio in excess of 20 million sq. ft. including 10,000 residential units.
- Extensive experience in managing/administering construction activities including ongoing life-cycle capital repairs, building renovation, complete building rehabilitation and tenant leasehold improvements.
- Commercial real estate sales and leasing.
- Numerous acquisitions and dispositions of office, industrial and multi-residential properties.
- Numerous commercial lease negotiations of office, industrial and retail space.
- New home construction and ONHWP (Tarion) registration.
- Sub-division development and conversion projects.
- Due diligence reviews for acquisitions.
- Opinions of values and market studies.
- Consultant on real estate investment and finance.
- Arranged numerous commercial mortgages.
- Arranged numerous real estate development projects.
As of the date hereof, District REIT has acquired the following properties:
Located in a desirable and rapidly expanding residential community, this property is a 56-unit, two-bedroom townhouse development. This property is located within a short distance to the downtown core, which features restaurants such as Tim Horton’s and KFC, recreational amenities such as parks and the YMCA, as well as banks, grocery stores (Food Basics and Zehrs), pharmacies (Rexall and Shopper’s Drug Mart), as well as other retailers such as Dollarama and Giant Tiger. The GLA is 49,868 sq. ft and the property is currently near fully occupied.
Forty-seven three-bedroom and four-bedroom executive rented townhouses located in a desirable residential community in London, Ontario. 32 units are complete with the balance to be completed to Occupancy Permit by the end of January 2018.
Victoria Westmount Center (Vicmount)
The Victoria Westmount Center (“Vicmount”) is a commercial medical oce/retail plaza comprised of three freestanding buildings, namely one two-storey medical oce building with a finished and leasable basement oce area, one in-line commercial retail plaza and one freestanding restaurant pad. The property is comprised of approximately 49,542 sq. ft. of GLA on a 2.55 acre site and is currently 97% leased.
3410 South Service Road
Situated in the sought-after office corridor of Burlington, 3410 South Service Road is in a prime location runs parallel with the QEW on the south side. The building faces the QEW and presents excellent signage for its tenants. The 50,000+ sq. ft., three level office building sits on a 2.48 acre site and is home to The Valour Group. This building is fully occupied with 14 tenants and has undergone significant refurbishments, with additional work scheduled in 2019.
3430 South Service Road
3430 South Service Road is adjacent to the 3410 building in the desirable Burlington office corridor just south of the QEW and west of Walkers Line. This two-storey office building sits on 1.64 acres of land with parking for 111 cars. The office floor space exceeds 35,000 sq. ft. This property has also undergone re-tenanting and refurbishments, with additional capital improvements scheduled for 2019.
The property is Phase II of a three-phase development in a desirable location in Milton, Ontario. This is a four-story building containing 14,000 sq. ft. of commercial space permitting a variety of retail and office uses on the ground floor, and three stories of residential above containing 75 one-bedroom and 18 two-bedroom apartments. Occupancy is scheduled for September of 2018. The project has already seen strong interest in its commercial space as well as residential units despite a rental program commencement date that is still a year away.
The project is Phase III of a three-phase development in a desirable location in Milton. This property is a 3 storey residential apartment building that will consist of 40 units with an overall Gross Floor Area of 32,829 sq. ft. Construction for this project is expected to commence spring 2018 and will occupancy is scheduled for spring/summer of 2019.
District REIT is “private”, meaning it does not trade on a stock market. The Net Asset Value is based directly upon the market value of the underlying real estate and not subject to the volatility of the stock market. The Unit price is expected to be stable and not fluctuate from one period to the next, while growing slowly over time. As a result, investments in private REITs are often considered long-term.
District REIT’s distributions are tax-deferred to the extent possible, and are primarily classified as Return of Capital (as opposed to interest, dividends, etc.). This means that an investor can defer any tax until the time they redeem their Units. It’s possible distributions could reflect something other than Return of Capital. For example, if the REIT sells an existing property and realizes a capital gain on the sale, this gain could flow through to unitholders. As a result, a portion of the unitholders’ distributions in that year could be classified as Capital Gains. Return of Capital distributions reduce the unitholder’s cost base. This should be tracked and monitored by the unitholder. District REIT provides annual T3 slips by the end of March that outline the tax breakdown of distributions. It is recommended that unitholders seek independent tax advice prior to making an investment in Units of District REIT.
To recieve a copy of the Offering Memorandum:
Do I Qualify?
Interested investors will be referred to a licensed a licensed Exempt Market Dealer to obtain a copy of the Confidential Offering Memorandum and for other details regarding how to qualify and subscribe for REIT Units.
Units are being sold to investors resident in Ontario and British Columbia pursuant to available exemptions from the prospectus requirements under Nl 45-106 (as such term is defined in Nl 45-106). Purchasers will be required to make certain representations in the Subscription Agreement and the General Partner will rely on such representations to establish the availability of the exemptions from prospectus requirements described above.
No subscription will be accepted unless the General Partner is satisfied that the subscription is in compliance with applicable securities laws.
An Exempt Market Dealer “EMD” is registered under provincial securities legislation in one or more jurisdictions in Canada to deal in Exempt Market Products (EMPs).
EMPs, also known as Exempt Market Securities, are investment products that are distributed under prospectus exemptions set out in NI 45-106. See Question #5 below for more details.
Please refer to District REIT’s Confidential Offering memorandum, which describes its business and Units. The amount that an investor is permitted to invest may be limited by law depending on the investor’s financial situation.
Interested investors will be referred to an Exempt Market Dealer to obtain a copy of the Confidential Offering Memorandum and for other details regarding how to qualify and subscribe for REIT Units.
The Unit price/value is determined from time to time by management of District REIT. A simplified explanation of the valuation process can be described in three steps, beginning with an evaluation of the REIT’s portfolio of assets, which is typically accomplished through independent, third party appraisals. Next, the value of the outstanding debt (including mortgages) is subtracted to arrive at total equity of District REIT. Lastly, total equity is divided by the number of outstanding Units (currently held by Unitholders) to determine the Unit price/value.
Distributions are funded from net rental income that is generated from the properties within District REIT’s portfolio.
District REIT pays monthly distributions, which are deposited directly into the investor’s bank account, unless he or she is enrolled in the DRIP program (see FAQ #10 for an explanation of DRIP).
The “DRIP”, or Distribution Reinvestment Plan, allows an investor to automatically re-invest his or her monthly distribution to purchase additional Units. As an alternative to the DRIP, the investor may receive monthly distributions directly into his or her bank account via EFT (electronic funds transfer).
Yes, the units of District REIT are eligible for registered investment accounts, including RRSPs, RRIFs, RESPs and TFSAs. Registered accounts are administered by Community Trust Company and Olympia Trust Company.
12. What is the process to sell or redeem REIT Units? Are there any minimum hold periods or penalties/fees to redeem?
The Units are redeemable on demand subject to an early withdrawal penalty. The Trustees have the ability to suspend redemptions if redemption requests totaling more than $50,000 per calendar month are received. District REIT’s intention is to accommodate redemption requests in the ordinary course.
The Units of District REIT are not listed on any stock market. As a result, investors do not buy and sell Units from one another.
No. There are no fees charged directly to the investor to set up or manage a cash investment account. Investors who choose to invest through a registered account may be charged administration fees by the registered account provider.
Investors can expect to receive a Confidential Offering Memorandum prior to making their investment, and to receive quarterly unaudited reports, as well as an audited Annual Report distributed prior to District REIT’s Annual General Meeting.