MISSISSAUGA, Ont. - Harvest Facility Holdings LP has called off its purchase of six U.S. properties from Chartwell Seniors Housing (TSX:CSH.UN), a Toronto-area real estate trust that's aiming to narrow its focus to certain key areas.
Chartwell, which had agreed in June to sell the properties for about US$165.5 million, announced the cancellation on Wednesday.
The properties are in five states — Michigan, Tennessee, Oklahoma, Alabama and Ohio — and will remain managed by Brookdale Senior Living.
"We are disappointed that this transaction will not proceed to closing, but remain focused on the operation of these properties until we are able to execute our strategic plan to narrow our footprint in the U.S. to concentrate on our key markets of Colorado, Texas and Florida," Chartwell CEO Brent Binions said.
Chartwell's announcement didn't say why Harvest had pulled out of the deal.
Shares in Chartwell were down 23 cents, or 2.15 per cent, to $10.46 in afternoon trading on the Toronto Stock Exchange.