(TSX : ALC)

ST. CATHARINES, ON, Sept. 19, 2016 /CNW/ - Algoma Central Corporation ("Algoma" – www.algonet.com) announced today that the Martindale Business Centre in St. Catharines and the three office buildings of 408, 410 and 412 Albert Street located within the "Waterloo Technology Campus" have sold for total proceeds of $36.8 million.

"We are very pleased to close on both the Martindale Business Centre in St. Catharines and the office buildings in Waterloo," said Ken Bloch Soerensen, President and CEO of the Corporation. "The sale of these properties brings us one step closer to fully focus on our fleet renewal program and new ventures in domestic and international shipping. We continue to work on selling the other properties in the portfolio and look forward to completing this successfully."

The Martindale Business Centre in St. Catharines is a 35,000 square foot service plaza that accommodates tenants requiring 1,000 to 10,000 square feet of space.  The Waterloo properties total approximately 155,000 square feet of office space with 408 Albert Street combining office, distribution, testing, production, assembly and warehousing. A gain resulting from the sale of the properties will be reported in the Company's third quarter results.

Algoma decided to sell its real estate holdings in order to target its capital on domestic shipping and new opportunities internationally. This strategic focus includes the completion of a fleet renewal program comprising seven vessels expected to be delivered in 2017 and 2018.

About Algoma Central Corporation

Algoma Central Corporation operates the largest Canadian flag fleet of dry and liquid bulk carriers on the Great Lakes - St. Lawrence Waterway, including self-unloading dry-bulk carriers, gearless dry bulk carriers and product tankers. The Company has announced contracts for seven new Equinox Class domestic dry-bulk vessels as part of its on-going fleet renewal program. Algoma also owns ocean dry-bulk vessels operating in international markets. Algoma provides ship management services for other ship owners and owns a diversified ship repair and steel fabricating facility active in the Great Lakes and St. Lawrence regions of Canada. In 2016, Algoma announced a new strategic initiative to grow into attractive global niche markets, beginning with a fifty percent interest in a pneumatic cement carrier business.

SOURCE Algoma Central Corporation

Copyright 2016 Canada NewsWire

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