WPT INDUSTRIAL REIT COMPLETES US$114.3M IPO

WPT Industrial Real Estate Investment Trust (the “REIT”) (TSX: WIR.U) completed an initial public offering of 10,000,000 trust units (the “Units”) of the REIT at a price of US$10 per Unit for gross proceeds of US$100 million (the “Offering”).

The Units were sold to a syndicate of underwriters co-led by CIBC and RBC Capital Markets and included BMO Nesbitt Burns Inc., Scotia Capital Inc., TD Securities Inc., Canaccord Genuity Corp., National Bank Financial Inc. and Raymond James Ltd. On May 16, 2013, the underwriters exercised their over-allotment option, in part, to purchase an additional 1,430,000 Units at US$10, increasing the total gross proceeds of the Offering to US$114.3 million.

The net proceeds of the Offering were used by the REIT, through WPT Industrial, LP (the REIT's operating subsidiary), to indirectly acquire from Welsh Property Trust, LLC a portfolio of properties consisting of approximately 8.6 million square feet of gross leasable area, which is comprised of 35 industrial properties and two office properties located in 12 states in the United States; and to discharge debt, including mortgages encumbering certain of the properties being acquired. The REIT contributed the net proceeds of the over-allotment option to WPT Industrial, LP to reduce debt, acquire additional industrial properties and/or for general trust purposes. Following closing of the Offering, Welsh Property Trust, LLC is the external asset manager and property manager of the REIT.

The REIT was formed to own and operate an institutional-quality portfolio of primarily industrial properties located in the United States, with a particular focus on warehouse and distribution industrial real estate.

The REIT was represented in-house by Matthew Cimino, general counsel and secretary; and externally in Canada by Goodmans LLP with a team led by Stephen Pincus that included Kirk Rauliuk, Leah Boyd, Victoria Petherbridge and Lyndsay Hatlelid (corporate/securities); Jon Northup and Kenneth Saddington (tax) and Ronna Weatherly (finance); and in the United States by Briggs and Morgan, P.A. with a team that included Steve Ryan, Julie Drewes and David Rubin (real estate/finance) and Alec Sherod, Tami Schwerin and Marcus Laman (corporate). Laurence Crouch and Eileen O'Pray of Shearman & Sterling LLP represented the REIT in respect of certain US tax matters.

Davies, Ward, Phillips & Vineberg LLP represented the syndicate of underwriters in Canada and the US with a team led by Jim Reid that included Jennifer Prieto (Canadian corporate/securities), John Ulmer and Raj Juneja (Canadian tax); Scott Tayne (US corporate/securities); and Abe Leitner and Megan Grandinetti (US tax) and Harry Heching (US real estate).