Ivanhoé looking to sell stakes in 10 shopping malls

Ivanhoé looking to sell stakes in 10 shopping malls

Ivanhoé Cambridge is attempting to sell stakes in 10 Canadian malls, according to sources. Ivanhoé, the real estate company of the Caisse de dépôt et placement du Québec, is selling a 50 per cent non-managing interest in highly profitable malls such as Vaughan Mills north of Toronto, Conestoga Mall in Waterloo and Guildford Town Centre in Surrey, B.C., according to sources.

Globe and Mail (Subscription required) – Property Biz Canada

Molson irked as Montreal claims first dibs on brewery site

Molson-Coors says it was surprised to learn the city had reserved the right to match any offers on sales of its historic property on Notre-Dame St. E. Recently, Montreal city council adopted a bylaw enshrining the right of pre-emption — meaning the first right of refusal — on land sales for future housing developments. When it announced the measure last month, it didn’t mention the Molson site.

Montreal Gazette

Economists warn recession on the way: TREF

Two highly respected economists offered different views of the severity of the next recession and its impact on real estate, but they were in lock-step on one point: the current cycle has run its course, and some sort of economic turmoil looms. “Don’t be that person playing by the old rules. Play by the new rules,” said David Rosenberg, chief economist and strategist for Gluskin Shelf and Associates (GS-T). 

Property Biz Canada

Broccolini, Alta to develop 17.8M sq. ft. in industrial park

Broccolini is teaming up with Alta Industrial to develop an additional 17.8 million square feet in the Alta Industrial Park in Coteau-du-Lac, about 60 kilometres southwest of Montreal. “This should be a game-changer,” said Roger Plamondon, president of real estate development and acquisitions of Montreal-based Broccolini. He said the partnership will lead to at least $500 million of new development for the Montreal area’s space-strapped industrial market.

Property Biz Canada

Massive Molson Coors plant taking shape in Chilliwack

You might expect hyperbole in a story about the Molson Coors Canada brewery under construction in Chilliwack. However, a 400,000-square-foot building requires no embellishment to be extraordinary. The $200-million Molson Coors brewery, on a 14.5-hectare parcel beside the Trans-Canada Highway, will be the company’s largest brewery in Western Canada.

Vancouver Sun

Runner-up ‘ready to roll’ on Ottawa mega-project

Devcore Canderel DLS, the runner-up consortium in the LeBreton Flats redevelopment competition, is ready to build the project if the National Capital Commission cuts its ties with RendezVous LeBreton Group. “We’re all still all united and ready to roll,” Jean-Pierre Poulin, president of Devcore Group, said Sunday. Poulin, the founding partner of the DCDLS consortium, said the group has contacted the NCC about taking over the development.

Ottawa Citizen – CBC – Ottawa Citizen

Risk and rewards of CRE investment in developing markets

Investing in real estate in developing markets can present different risk and reward opportunities than in more established countries, and some of these issues were discussed at the Global Property Market conference at the Metro Toronto Convention Centre on Nov. 27. Ivanhoe Cambridge has a mandate to invest in growing economies and markets, and has been involved with them for 12 years.

Property Biz Canada

Port CEO: Canada’s trade diversification relies on Vancouver

Trade uncertainty between partners on either side of the 49th parallel and national efforts to diversify Canadian trade have scaled up what was already a significant economic opportunity for Greater Vancouver, says Vancouver Fraser Port Authority (VFPA) president and CEO Robin Silvester. “Growing Canadian trade diversification really depends on Vancouver,” he told the Greater Vancouver Board of Trade (GVBOT) during his 10th annual address to its members.

Business In Vancouver

Is Neil Bruce Canada’s unluckiest CEO?

SNC-Lavalin’s (SNC-T) Bruce Neil saw his luck run out at precisely 9:46 a.m., Ottawa time, on Aug. 2, when Foreign Affairs Minister Chrystia Freeland published her now-famous tweet about Saudi Arabia. The tweet seemed innocent enough. Freeland “strongly” called for the release of detained Saudi dissidents Raif and Samar Badawi. However, the Saudi regime went ballistic at what it viewed as Canadian interference in its domestic affairs.

Globe and Mail (Subscription required) – Globe and Mail

Alberta unveils ‘historic’ deal to fund infrastructure

A “historic” fiscal agreement between Alberta’s big cities and the province means stable funding for municipalities for years to come — but will entail a “huge cut” in transfers in the medium term, Calgary’s mayor says. If passed, starting in 2022, Calgary and Edmonton would receive $500 million in funding — an amount that would increase in future years based on provincial revenues and fuel sales.

Calgary Herald – CBC

OMERS-led consortium buys stake in fibre business

OMERS Infrastructure has led consortium to buy a 49.99 per cent stake in the fibre business of telecoms group Altice France for $2.71 billion Cdn. The $13.6-billion infrastructure investment manager of the Canadian pension fund OMERS together with Allianz Capital Partners and AXA IM – Real Assets have agreed with Altice France to buy the minority stake in SFR FttH.

IPE Real Assets

Sleep Country buys Endy for $88.7M

Sleep Country Canada (ZZZ-T) has agreed to buy online mattress seller Endy for $89 million. The two companies announced a deal Thursday evening that will see the retail mattress chain buy the Canadian mattress maker for $63.7 million in cash now, plus up to another $25 million in three years if certain growth and profitability targets are achieved.

CBC – Financial Post – Canada Newswire

Urban grocery stores squeezing into tight spaces

It didn’t take long for customers to realize they weren’t walking into a conventional grocery store when the Organic Garage’s newest location opened in Toronto’s Liberty Village neighbourhood last month. With just 13,000 square feet of space situated in the basement of a 100-year-old brick-and-beam building, Organic Garage’s fourth store is very different to a national grocery chain outlet.

Globe and Mail

Developers incorporate public art in new projects

Because developers typically have to commit either a dollar amount per square foot (as in Vancouver) or a percentage of the construction budget (as in Toronto) to beautifying the public realm, Canada’s streets are forever changed. Further proof of Toronto’s recent boom: 64 per cent of its public art from the past half-century is less than 15 years old, according to advocacy group, The Artful City.

Globe and Mail (Subscription required)

From skeptics of Frank Lloyd Wright to believers

The adoration lavished on Frank Lloyd Wright can sometimes seem a little much. Already substantial in his lifetime, the master architect’s fame has grown and grown since his death in 1959 at the age of 91. In the year-long celebration of his 150th birthday that just wrapped up, admirers flocked to museum exhibitions, lectures and house tours celebrating his prowess. One hat maker created a limited-edition replica of his porkpie hat.

Globe and Mail (Subscription required)

Real Estate Companies

FKLE acquires Saint John’s former Woolworth’s building

Developers appear to be playing a game of hot potato with the old Woolworth’s building in Saint John’s uptown. The former department store at 91 King St. was purchased by Vancouver developers Roo Chang and Siobhan Riley of Integrity Real Estate Investments early this year. However, ownership of the 44,050-square-foot structure was recently transferred to FKLE Investments Inc. 

CBC – CBC

Allianz buys 20% of Ocean Financial Centre for $392M

European insurer Allianz Friday announced it has agreed to buy a 20 per cent stake in the Ocean Financial Centre office tower in Singapore from Keppel REIT for $392.1 million US. Allianz’ investment in the class-A office tower in the city’s Raffles Place financial district marks the Munich-based company’s first office investment in the Southeast Asian financial hub.

Mingtiandi – Asia Asset Management – IPE Real Assets

Real Estate Investment Trusts

AHIP discloses unit purchases by company insiders

American Hotel Income Properties (AHIP) REIT (HOT.UN-T) discloses John O’Neill, CEO, purchased 75,000 additional units in the past two weeks, through open market purchases. Five other insiders have purchased AHIP units on the open market in the past three weeks: four board directors, Rob O’Neill, Steve Evans, Beth Walters and Michael Murphy, collectively purchased 186,350 units and $84,200 worth of debentures; and Ian McAuley, president, purchased 1,400 units.

Canada Newswire – Property Biz Canada

Buy beaten-down Artis REIT’s 5.5 per cent yield

Artis Real Estate Investment Trust (AX.UN-T) is one troubled REIT trading near its 52-week lows after recently announcing a 50 per cent distribution cut effective November 2018 to realign its pay-out to internal economic fundamentals. However, its new strategic plan and improving business conditions could soon eliminate the deep discount on its equity units, offering investors significant capital gains potential.

fMotley Fool – Property Biz Canada

Retail

Abercrombie & Fitch back from the dead

Abercrombie & Fitch (ANF-N) is back. The clothing retailer, which also owns Hollister and Abercrombie Kids, saw its shares soar as much as 25 per cent early Thursday morning after reporting its fifth consecutive quarter of positive same-store sales growth. Same-store sales were up three per cent overall at the company, with one- and four-per-cent increases at the Abercrombie and Hollister brands, respectively.

Business Insider

Sears Canada pensioners reach settlement for $48 million

Sears Canada Inc. pensioners have dropped their bid to recoup all of the money available to remaining creditors in the retailer’s insolvency proceedings, instead agreeing to collect an estimated $48-million. The Sears retirees had asked the court to give them priority for what value would be left in the insolvent retailer – about $182-million as of Dec. 1. However, the court-appointed monitor had opposed giving the pensioners first dibs.

Globe and Mail (Subscription required) – Toronto Star

Inside the hedge fund war at Sears

Edward Lampert isn’t done with Sears Holdings yet. Neither are Sears’ enemies on Wall Street. Six weeks after the storied department store chain filed for bankruptcy, Lampert is maneuvering to salvage what he can from the worst investment of his life. Having presided over Sears’ collapse, the hedge-fund titan is now preparing a takeover bid for the chain with another private investment firm, Cyrus Capital Partners, sources said.

Bloomberg – Reuters

New Development

Coquitlam’s Hard Rock Casino plan approved

After a two-year delay a development permit has been approved for the long-planned hotel at the Hard Rock Casino, but determining when it will be built remains an unplayed card. The first word of a hotel for the Coquitlam property came in 2011. In 2016, Great Canadian Gaming Corporation (GCGC), applied for a zoning amendment to build a plaza and for a development permit for the hotel.

Tri-City News

Sports Venues

North America’s largest eSports stadium opens in Texas

Competitive gaming (also known as eSports), the fastest growing spectator sport in the country, now has its largest, most robust venue in North America for fans to enjoy the action. Esports Stadium Arlington is a purpose-built eSports venue that will offer an immersive spectator experience in the live eSports event market. The $10 million stadium is a renovation project that used 100,000 square feet of the city’s old convention centre.

Building Design & Construction

Technology

Marriott’s Starwood database hacked; 500M may be affected

Marriott International Inc. (MAR-Q) said Friday hackers accessed about 500 million records in its Starwood Hotels reservation system in an attack that began four years ago, exposing personal data of customers including some payment card numbers. Shares fell five per cent after disclosure of the hack, one of the largest in history, which prompted British and U.S. regulators to announce plans to look into the attack.

Reuters – CBC

Other

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