On December 8, 2015, Killam shareholders approved the proposed reorganization of Killam into a real estate investment trust to be named Killam Apartment Real Estate Investment Trust (Killam Apartment REIT). Approval was received at a special meeting of shareholders held in Halifax. Approximately 99.5% of the votes cast were voted in favour of the plan of arrangment. The REIT conversion was completed on January 1, 2016. The units of the REIT began trading on the Toronto Stock Exchange on January 7, 2016 under the symbol KMP.UN.
Fair Market Value of Common Shares at the Time of the REIT Conversion
Killam has determined, based on the facts and circumstances of the Arrangement, that it is appropriate for Canadian federal and provincial tax purposes to value the disposition of the Common Shares using the 5-day volume weighted average price (VWAP) for the period immediately prior to the Effective Date of the Arrangement. The 5-day VWAP prior to January 1, 2016 was $10.60.
Declaration of Trust