Single-tenant real estate investment trust Fronsac REIT plans to raise C$10.0 million from a private placement of units and nonsecured convertible debentures.

The units will be offered at 54 cents apiece. The 6% convertible debentures have a five-year term and will be convertible into Fronsac units at a conversion price of 73 cents per unit.

The net proceeds will be used for purchases, working capital and general business purposes.