On November 13, 2008, InStorage Real Estate Investment Trust, through its subsidiary InStorage Limited Partnership, acquired all of the outstanding equity securities of InScotia Developments Limited Partnership for a purchase price of approximately $69.2 million. The consideration included $15,432,000 aggregate principal amount of 0 per cent convertible unsecured subordinated debentures of InStorage due October 31, 2011. The 3,086,400 underlying trust units of the REIT issuable upon conversion, redemption or maturity of the debentures were approved for listing on the Toronto Stock Exchange in connection with the closing of the acquisition. The remainder of the consideration for the acquisition consisted of the assumption of $33.6 million of first mortgage and construction loans, and the repayment of $20.2 million in mezzanine loans to InStorage.
McCarthy Tétrault LLP represented InStorage. The team included Roger Chouinard, Lara Nathans, and Leila Rafi (business law); Danny Grandilli and Alysha Valenti (real estate); Donald Houston, Oliver Borgers and Michele Siu (competition); and Jim Morand (tax).
Goodmans LLP represented InScotia and its limited partners with a team that included Bill Gorman and Ori Mandowsky (business law); Jarrett Freeman (tax); and Richard Annan (competition).