Summit to buy 11 Montreal, GTA, Ottawa industrial properties

Summit to buy 11 Montreal, GTA, Ottawa industrial properties

Summit Industrial Income REIT (SMU-UN-T) will spend $233.5 million to purchase 11 light industrial properties in Montreal, the Greater Toronto Area and Ottawa, the trust announced Thursday afternoon. The portfolio comprises just under 2.1 million square feet of gross leasable area and is 98 per cent occupied. Summit also announced a $110-million bought-deal share offering, which will be underwritten by a syndicate led by BMO Capital Markets.

Property Biz Canada

Montreal mega-mall project to include up to 6,000 housing units

Carbonleo, the developer behind a project to build a mega mall on Royalmount Ave. says it’s adding up to 6,000 units of housing to its plan to build millions of square feet of stores, restaurants, hotels, office towers, theatres, a cinema, a waterpark and other activities at the intersection of the Décarie Expressway and Metropolitan Autoroute. A recent traffic impact study for the project will need to be redone.

Montreal Gazette – Property Biz Canada

Intermodal facilities vital for GTA industrial growth

Industrial real estate is in high demand in the Greater Toronto Area (GTA), and properties close to intermodal facilities are particularly desirable for retailers, manufacturers and distributors. “Intermodal facilities serve as critical links not only for the Greater Toronto Area’s logistic supply-chain network, but for Canada’s supply-chain network overall,” said Bill Argeropoulos, Avison Young principal and practice leader for Canadian research.

Property Biz Canada

WeWork ‘poster child for excesses’, but its backers love it

WeWork has become the largest private occupier of office space in Manhattan, London and Washington, D.C., with approximately 300 locations in 23 countries.  While WeWork’s number of locations, memberships, revenues and valuation have all shown dramatic growth since the co-working platform launched eight years ago, the company’s losses have also mounted. This has led to diverse opinions on the company’s business model and future viability.

Property Biz Canada

Meet Michael Medline, Sobeys’ saviour

Michael Medline assumed the helm of a grocery chain in crisis in January 2017. Four years earlier, Stellarton, N.S.-based Sobeys Inc., had paid $5.8 billion to push into Western Canada by buying almost 200 supermarkets from Safeway Canada. Products went missing from shelves, lettuces wilted and customers abandoned Safeway in droves. By 2016, Sobeys’ parent, Empire Co. Ltd. (EMP-A-T), was forced to write down more than half the Safeway purchase price.

Globe and Mail (Subscription required)

Who’s right in Ottawa mega-project squabble?

It’s the big question at the heart of the $700-million lawsuit launched Nov. 23 by Ottawa Senators owner Eugene Melnyk. Why would Trinity Development founder John Ruddy deliberately undercut his part of the massive project to remake LeBreton Flats as alleged by Melnyk? Ruddy and his team say there is enough housing demand in downtown Ottawa to support his two largest projects.

Ottawa Citizen – Ottawa Citizen – Ottawa Business Journal

Kabam! Vancouver Centre II office tower gets first tenant

An expanding Vancouver-based video game maker has been announced as the first tenant at the new Vancouver Centre II office tower.  Mobile game developer Kabam will occupy the bottom seven floors of the 33-storey tower being constructed at 753 Seymour St. GWL Realty Advisors (GWLRA) is developing the project on behalf of owners Healthcare of Ontario Pension Plan (HOOPP), GWL Real Estate Fund and the London Life Real Estate Fund.

Property Biz Canada

Vancouver hotel market surpasses expectations

Vancouver is a bright point among Western Canada’s hotel markets, one that continues to surprise Carrie Russell, managing director of HVS Canada. Downtown hotel occupancy is averaging 79.4 per cent this year, and downtown hotels are posting some of the strongest revenue growth of any in the country. Revenue per available room (RevPAR) is up 11.6% this year, and average daily rates are up 10%.

Business In Vancouver

St. Regis Hotels and Resorts marks Canadian debut

St. Regis Hotels and Resorts Wednesday announced the opening of The St. Regis Toronto, marking the iconic luxury brand’s debut in Canada. Owned by Innvest Hotels, the landmark hotel is set to elevate Toronto’s luxury hospitality landscape with its world-renowned bespoke service, signature rituals and exquisite culinary offerings. The hotel will unveil two unique culinary venues to the city, including LOUIX LOUIS, grand bar and restaurant and Astor Lounge.

Canada Newswire

Automotive Properties acquires GTA Toyota dealership property

Automotive Properties REIT (APR.UN-T) Thursday announced it has entered into an agreement to purchase the Brimell Toyota automotive dealership property in Scarborough from a third party for a purchase price of approximately $26.0 million. Concurrent with the REIT’s acquisition of the Property, Drive Autogroup will acquire the Brimell Toyota dealership operating business and will become a tenant of the REIT.

Canada Newswire – Property Biz Canada

Sidewalk Labs reveals Toronto neighbourhood site plan

Google affiliate Sidewalk Labs unveiled more details around its ambitious plan for a high-tech Toronto community on Thursday, but it’s unclear as to who will own what in the company’s futuristic neighbourhood, and who will pay for it. Sidewalk revealed it is proposing the Quayside community on Toronto’s eastern waterfront be centred around a dozen timber buildings, each a mix of commercial, retail and residential spaces.

Ottawa Citizen – Urban Toronto – Globe and Mail (Subscription required)

Investors in two Fortress housing projects strike deals

Investors who helped finance two Fortress Real Developments Inc. housing projects will get most of their loans repaid under new settlement offers, providing positive news for some Fortress investors while others still face the prospect of large losses as senior lenders seize control of numerous projects. The latest deals involve the second phase of the Braestone housing development near Orillia, and The Harlowe condominium project in downtown Toronto.

Globe and Mail (Subscription required)

Colliers believes cannabis industry worth the risk

As one of Canada’s top commercial real estate services firms, Colliers (CIGI-T) took a risk by entering the cannabis industry. “If they’ve got a business plan that’s ready to go, that’s usually a key indicator that they’ve actually planned for success and not just, ‘Hey, I heard weed is becoming legal and I’m going to try and become a millionaire here’,” says Colliers associate Bianca Gilbert.

BC Business – BC Business

CRE investment slowing in global centres: Industry group

Investment in commercial property declined in Canada and major markets such as Britain and China, with buyers refusing to overpay and landlords hanging on to their properties. The decline in sales activity so far this year is occurring after a near decade-long boom in commercial real estate, suggesting the market is starting to plateau. Today, it is trickier to find real estate bargains.

Globe and Mail (Subscription required) – Globe Newswire

Canada Goose pushing ahead on Chinese expansion

Canada Goose Holdings Inc. (GOOS-T) is pushing ahead with its China expansion, betting its strategy of selling premium coats directly to customers will help overcome a proliferation of knockoffs and the nation’s consumption slowdown. The Toronto-based company has dealt with counterfeits soon after it started selling globally two decades ago, CEO Dani Reiss said Friday. “We’re used to it,” he said.

Bloomberg – Bloomberg

Market Trends and Research

Okanagan developers reviving urban centres

Kelowna remains a haven for investment and one of the best places for real estate development, according to a new study of the local commercial real estate market. The authors of the newly released 2018 HM Commercial Report see the positive impact of the Amazon effect, which is driving innovation in land-use and urban planning throughout the Okanagan Valley.

Okanagan Life Magazine

Real Estate Companies

Delta Hotels Calgary Downtown unveils transformation

Delta Hotels by Marriott Calgary Downtown proudly unveils a new look following its recent renovation and redesign. Upon completion, the renovation provides a best-in-class experience for Delta Hotels, including redesigned guestrooms, all-new function space, redesigned lobby and entry, and the opening of Shoe & Canoe Public House and the Elite Pantry at the renovated Downtown Calgary hotel.

Globe Newswire

REOC Financial Reports

Latest financial results:

* Lakeview Hotel Investment Corp., (LHR-X), Canada Newswire

REIT Financial Reports

Latest financial results:

*  Pine Trail REIT, (PT-X), SEDAR

Real Estate Investment Trusts

Allied announces filing of final base shelf prospectus

Allied Properties REIT (AP-UN-T) announced it has filed and obtained receipts for a final base shelf prospectus. The final base shelf prospectus dated Nov. 27, 2018 was filed with the securities regulatory authorities in each province. The final base shelf prospectus is valid for a 25-month period, during which time Allied may offer and issue units and debt securities having an aggregate offering price of up to $1.5 billion.

Globe Newswire – Property Biz Canada

Three solid REITs yielding more than six per cent

H&R REIT (HR-UN-T) has more than $13 billion of assets that include office, retail, industrial and multi-family properties. In February, Choice Properties (CHP-UN-T) – the real estate arm of Loblaw Cos. Ltd. – acquired Canadian Real Estate Investment Trust (CREIT), creating Canada’s largest REIT and enhancing Choice’s future opportunities. Even in the face of Amazon, Plaza Retail REIT (PLZ-UN-T) has demonstrated malls can succeed with the right mix of tenants.

Globe and Mail (Subscription required)

Top-tier U.S. mall REITs post solid Q3 results

While the U.S. retail sector continues to face challenges, REITs that own top-tier malls are posting solid performance numbers and respectable earnings. Regional mall REITs can be a solid investment, with returns of 2.14 per cent in 2018 compared with 0.53 for the S&P 500, Barron’s reported. Several big mall REITs, including Simon Property Group (SPG-N), Macerich (MAC-N) and Taubman Centers (TCO-N), reported increased store sales and occupancies in Q3.

National Real Estate Investor

Retail

RYU opens flagship U.S. store in New York

RYU Apparel Inc. (RYU-X), creators of urban athletic apparel, has officially opened the doors of its flagship store in Williamsburg, N.Y., as it continues its expansion into the U.S. RYU is an award-winning Vancouver-based urban athletics and accessories brand headed by industry visionary, Marcello Leone. It currently boasts five retail stores throughout Canada, with a sixth to follow before the end of the year.

Canada Newswire

Has Dollarama become too cheap to ignore?

Dollarama (DOL-T) shares just keep stubbornly going down. After years of seemingly being unable to do anything wrong, the company is still feeling the fallout from poor earnings numbers posted in September. Although the company posted nice growth metrics, investors headed for the exits when management disclosed slower same-store sales growth was to be expected going forward.

Motley Fool – Globe and Mail (Subscription required)

IKEA moving into city centres to adapt to consumer changes

An airport worker drops by Warsaw’s newest Ikea store during her lunch break to finish up plans for a home refurbishment. Around her, people drift in and out of the shop. The store is not one of Ikea’s out-of-the-way, maze-like warehouses that require a car to visit, but a shop like any other in a city centre shopping mall.

Globe and Mail

Cannabis industry news

U.S. CRE brokers high on cannabis real estate deals

On the heels of voters approving the legalization of marijuana in three more U.S. states, a survey of brokers by commercial real estate software company Apto found 85% would do another cannabis real estate transaction, despite the difficulty of negotiating deals. Now, 33 states and the District of Columbia have some form of legal marijuana sales.

Bisnow.com

Other

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