During the first quarter of 2013 the REIT acquired two retail and mixed-use properties in Quebec aggregating approximately 93,500 square feet of gross leasable area ("GLA") for a total purchase price of approximately $26.1 million. The property purchases were funded by cash raised in recent public offerings of equity and debt.
Leases representing approximately 159,000 square feet are scheduled to expire in 2013. As of May 13, 2013 the REIT has secured lease renewals and new leases on approximately 10,000 square feet of this space.
As at March 31, 2013 the REIT's ratio of debt to gross book value was 44.1% (60.9% including convertible debentures) compared to 49.3% (62.4% including convertible debentures) at December 31, 2012. Interest coverage and debt service coverage ratios were 2.49 times and 1.63 times, respectively, as at March 31, 2013 compared to 2.30 times and 1.55 times as at December 31, 2012. During the first quarter of 2013 total debt increased by $14.0 million due to a $23.0 million convertible debenture issue which closed on March 5, 2013, partially offset by $7.5 million in repayments on the REIT's Credit Facility and monthly mortgage principle repayments.
The REIT's mortgage portfolio incurred a weighted average effective interest rate of 4.48% at quarter end, consistent with the rate at December 31, 2012, with a weighted average term to maturity of approximately four years. Over the next two years, the REIT has approximately $30.3 million of debt maturing which carries an average effective interest rate of 4.91%.
Subsequent to March 31, 2013 the Centuria Urban Village property with a carrying value of $10.2 million was added as security to the REIT's Credit Facility, increasing the formula-based amount available under the facility to $34.3 million. The property was simultaneously removed from the REIT's Acquisition Facility which was subsequently closed.
On April 10, 2013 the REIT completed the financing of properties acquired during the quarter ended March 31, 2013. New seven-year mortgages with contractual interest rates of 3.7% were placed on the Sorel Shopping Centre and the Saint Remi Shopping Centre for $4.2 million and $11.5 million, respectively.
On April 15, 2013 the REIT completed the acquisition of the Mariner Square Shopping Centre, a six-building 101,000 square foot open-air retail centre. Anchored by necessity-based tenants, the centre is situated in downtown Campbell River on the east coast of Vancouver Island about 260 kilometers north of Victoria. The REIT paid approximately $25.8 million for the property, satisfied by the assumption of a $14.7 million current mortgage maturing in November 2017 bearing a mark-to-market interest rate of 3.5%, with the balance paid in cash, utilizing funds from the REIT's Credit Facility.
On May 6, 2013 the REIT completed the acquisition of Marcel-Laurin, a 120,566 newly-constructed, necessity based, open-air retail centre in Saint Laurent, Quebec. The REIT paid approximately $35.8 million for the property, satisfied by a new $22.0 million ten-year mortgage on the property with a contractual interest rate of 3.85%, with the balance paid in cash, utilizing proceeds of the Sorel and Saint Remi Shopping Centre financings.
On May 6, 2013 the REIT completed the acquisition of the Repentigny Shopping Centre, a stabilized, 49,366 square - foot open-air centre in Repentigny, Quebec. The REIT paid approximately $10.0 million for the property, satisfied by a new $5.7 million five-year mortgage on the property with a contractual interest rate of 3.34%, with the balance paid in cash, utilizing proceeds of the Sorel and Saint Remi Shopping Centre financings.
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