According to the terms of the disposition mandate, each of MUST’s existing properties — there are only seven left from a peak of 12 — may be sold at net consideration of no less than 90% of the latest independent valuation. Meanwhile, the terms of MUST’s acquisition mandate state that each property must be acquired at no more than 110% of the latest independent valuation, among other conditions.
Come Dec 16, unitholders of Manulife US REIT (MUST) will vote on whether to allow the REIT manager to sell up to three of its US office assets and invest in industrial, living and retail assets not just in the US, but also up north in Canada.
Announced on Dec 1, the manager hopes unitholders will approve a disposition mandate to sell up to three existing properties to raise not more than US$350 million ($453.91 million), and an acquisition mandate to buy one or more properties and investments outside the office sector not exceeding US$600 million.
