The real estate investment trust has acquired the real estate assets of Pure Casino Edmonton in Edmonton, Pure Casino Yellowhead, also in Edmonton, Pure Casino Calgary in Calgary, and Pure Casino Lethbridge in Lethbridge. All four properties are in the province of Alberta.
Pure Casino Edmonton has 27 table games and 16 poker tables, while Pure Casino Yellowhead has 24 and 15 respectively. Edmonton has 852 slots and 28 VLTs, with Yellowhead boasting tallies of 753 and 26 respectively.
Pure Casino Calgary, meanwhile, has 27 table games and 12 poker tables, with 11 and 13 respectively at Pure Casino Lethbridge. The former has 832 slots and 22 VLTs, compared to the latter’s 427 and 28 respectively.
VICI financed the transaction with a combination of cash on hand and from drawing down funds under its existing revolving credit facility in Canadian dollars. The deal represents the group’s first international investment, with the acquisition to be immediately accretive.
Alongside the acquisition, VICI has entered into a triple-net master lease agreement with Pure covering the Pure Portfolio. The lease has an initial total annual rent of approximately C$21.8m, and an initial term of 25 years, with four 5-year tenant renewal options.
“Over the last five and a half years, VICI has built a portfolio of market-leading experiential real estate,” said VICI Properties President and COO John Payne. “Today’s announcement marks another momentous first for VICI as we expand our footprint internationally into Canada with the acquisition of the Pure Portfolio.
“This transaction highlights our ability to source, structure, and fund cross-border transactions, widening our opportunity set as we continue along our growth trajectory. We are pleased to add Pure as our eleventh tenant and look forward to a mutually beneficial partnership.”