Battle over proposed Calgary-area mega mall continues

Battle over proposed Calgary-area mega mall continues

The Reeve of Rocky View hopes a $300-million mega mall proposed for his county has survived the City of Calgary’s objections with a provincial arbitrator. At just over 517 hectares — nearly twice the footprint of CrossIron Mills near Balzac — the plan proposed by the county and Genesis Land Development Corp. (GDC-T) also envisions at least 1.4 million square feet of retail and industrial space just outside city limits.

Calgary Herald

RioCan primed to cash in on cannabis ‘gold rush’

RioCan, one of Canada’s largest retail landlords, is aiming to benefit from what its top executive calls the marijuana “gold rush.” CEO Edward Sonshine Wednesday said RioCan Real Estate Investment Trust (REI-UN-T) is well-positioned ahead of the legalization of recreational cannabis on Oct. 17. RioCan already has about a dozen cannabis leases in Alberta and two with the Ontario government’s Ontario Cannabis Store.

Globe and Mail (Subscription required) – Property Biz Canada

Canada’s booming cannabis sector gobbles up CRE

Nailing down just how much cultivation and production space Canada’s cannabis industry is going to need is like trying to hit a moving target. At the latest check, there were 113 licenses for marijuana cultivation operations in the country, according to Health Canada. Sixty-one of those licenses are in Ontario, 24 in B.C. and the rest are spread throughout the other provinces.

Property Biz Canada

Winnipeg industrial real estate market remains tight

As serviced industrial land becomes more available in Winnipeg after years of being hard to find, the market is heating up. “There are developers that are developing,” said Tom Derrett, Colliers Winnipeg’s vice-president of industrial brokerage services. “There are tenants that want new inventory.

Property Biz Canada

Winnipeg urban reserve to include office building

A retail cannabis shop, restaurant and pain management clinic are some of the planned retail tenants for a 14,000-square-foot urban reserve on Portage Avenue, Peguis First Nation officials announced at a groundbreaking ceremony on Wednesday. A six-storey office building is planned for the second phase of the development and the third phase will include the creation of two apartment complexes, with about 48 suites per building.

CBC – Winnipeg Sun

Redeveloped Toronto retail spot seeks record rate

It might be the most expensive real estate ever leased in Canadian retail history, with the only remaining question whether anybody will pay the record $400 per square foot net asking rent at a key corner in downtown Toronto’s iconic intersection. Cushman & Wakefield has been marketing the property at 2 Bloor West, and, according to brokers, the company is seeking rents that would eclipse anything leased on the “Mink Mile.” 

CoStar Group

Halifax office vacancies remain high, though dropping

Halifax’s office vacancy rate is still high, despite creeping down from a year ago, and net rental rates have also dropped, according to the latest rental surveys by Turner Drake & Partners Ltd. “Demand will catch up eventually or supply and demand will come back into balance in one form or another,” said Alexandra Baird Allen, senior manager of economic intelligence for the Halifax-based firm.

Property Biz Canada

‘Doing the right thing’: Morguard earns more LEAP awards

Two recent awards for Morguard Investments Ltd. properties in Calgary and Vancouver illustrate the company’s commitment and focus on sustainability practices – a road it embarked upon about eight years ago. The company was recognized by Healthcare of Ontario Pension Plan with two Leadership in Environmental Advancement Program Awards (the HOOPP LEAP Awards). Morguard had earned 14 of the awards across nine categories since the program’s initiation in 2012.

Sustainable Biz Canada

Restaurants, service centres to complement Amazon warehouse

Construction of Amazon’s (AMZN-Q) new Ottawa distribution centre has yet to officially begin, but the developer behind the project is already fielding inquiries from businesses interested in setting up shop near the massive facility. Broccolini, which will construct the one-million-square-foot facility and lease it to Amazon, says there are signs new coffee shops, restaurants and truck service centres will be built.

Ottawa Business Journal

Parkbridge acquires Kingston-area community

Parkbridge Lifestyle Communities Wednesday announced its acquisition of Worthington Park Community, located 10 minutes from downtown Kingston. This community adds to the Parkbridge portfolio – the largest land lease portfolio in Canada, with more than 115 residential communities and resorts. “We’re excited to grow and enhance land lease communities as attainable housing options for Canadians,” says Katherine Gyles, SVP, Organizational Effectiveness and Corporate Communications. A purchase price was not disclosed.

Canada Newswire

CAPREIT acquires new B.C. luxury apartment property

CAPREIT (CAR-UN-T) announced it has completed the acquisition of a brand new luxury apartment property in Langley, B.C. The purchase price is $33.0 million for the property, including the assumption of a $21.1 million CMHC-insured mortgage with an annual interest rate of 2.56% maturing on June 1, 2027. The Meridian is a fully occupied five-storey 90-suite property completed in 2017.

Globe Newswire – Property Biz Canada

Montreal developers should put pedestrians before transit

Until recently, transit-oriented development was a term familiar only to those who enjoy geeking out on urban planning concepts. However, Montreal’s Plan métropolitain d’aménagement et de développement, which sets a course for how Montreal will grow and evolve as a city in the near future, has identified 155 TOD zones in the Greater Montreal area. So it’s definitely an idea worth paying attention to.

Montreal Gazette

Replay Destinations to open Caribbean resort in 2021

Appointed by acclaimed resort development company Replay Destinations, Rosewood Hotels & Resorts will manage one of the most highly anticipated projects in the Caribbean – Half Moon Bay Antigua, a spectacular 132-acre oceanfront resort set to open in 2021. Rosewood Half Moon Bay will accommodate guests in 47 pavilion-style suites which include an ultra-luxurious three-bedroom presidential suite. 

PR Newswire

N.A. investors’ sell-off of U.K. property hits 10-year high

North American investors continued to offload UK commercial property in Q2 2018 even as overall investment in U.K. commercial property picked up during the quarter, largely driven by Asian investor spending on City of London offices, according to CoStar’s latest UK investment report. As a group, North American investors shed $5.27  billion Cdn of U.K. property investment over the second quarter. 

CoStar Group

Trump’s D.C. hotel may be a five-star conflict of interest

The Trump International Hotel, five blocks from the White House, is a welcoming place for Trump administration officials and their supporters — and an ongoing legal headache for the president. The Trump Organization spent $200 million transforming the Old Post Office into a five-star hotel that harkens back to the Gilded Age. It opened right before President Donald Trump’s upset victory in the 2016 election.

NBC

Market Trends and Research

Adaptive reuse poised to be CRE’s next major product category

CCIM Institute chief economist K.C. Conway, in partnership with the Alabama Center for Real Estate, released a special report entitled “Adaptive Reuse: Turning Blight into Bright,” which represents the first step to redefine and quantify the adaptation of obsolete commercial properties for new uses as an institutional-grade product category.  The special report examines the new era of adaptive reuse.

Globe Newswire

Are cap rates relevant in today’s market?

“Cap rates to establish value are subjective”, says Nathan Bierbrier, president and CEO of Shelborne CAPITAL, “and somewhat irrelevant when deciding on an opportunity. I do analyze the cap rate as part of my due diligence. . . . It is worthwhile to consider this information for financing purposes; however, I truly believe the cap rate should NOT be the deciding factor.”

My Business Magazine

Moderating growth on the horizon for Canadian economy

Following an impressive 2017, economic growth in Canada is easing to a more sustainable pace. Macro conditions are generally healthy but some facets are underperforming relative to long-term trends. Real GDP growth peaked at four per cent year-over-year, signalling a convergence towards long-term trend. The goods-producing sector has been a main driver of economic activity but could be negatively impacted by any unfavourable outcome involving NAFTA. 

Bentall Kennedy report

Real Estate Companies

Cineplex profit sets Q2 record

Cineplex Inc. (CGX-T) had $24.4 million in net income in the second quarter, beating analyst profit estimates, as total revenue increased by 12.4 per cent from last year and the company made progress on its cost-reduction efforts. The Toronto-based cinema and entertainment company says revenue for the three-months ended June 30 was $409 million, a record high for the second quarter.

Globe and Mail – Canada Newswire

CBRE Global moving HQ to Brookfield’s L.A. tower

CBRE Global Investors will be relocating its headquarters within downtown Los Angeles, moving from City National Plaza at 515 South Flower Street to Figueroa at Wilshire at 601 South Figueroa Street. CBRE Global, the real estate investment arm of commercial brokerage CBRE, signed a 10-year lease for 32,000 square feet spanning the 49th and 50th floors of Brookfield Property Partners’ (BPY.UN-T)  52-storey office tower and are expected to relocate by January 2019.

Commercial Observer

REOC Financial Reports

Latest financial results:

* Brookfield Asset Management Inc, (BAM-A-T), Globe Newswire

* Brookfield Real Estate Services, (BRE-T), Canada Newswire

* Chartwell Retirement Residences, (CSH-UN-T), Canada Newswire

* Dream Hard Asset Alternatives Trust, (DRA-UN-T), Globe Newswire

* Holloway Lodging Corp., (HLC-T), Canada Newswire

* Morguard Corp., (MRC-T), Canada Newswire

* Sienna Senior Living, (SIA-T), MarketWatch

* Tricon Capital Group, (TCN-T), Canada Newswire

REIT Financial Reports

Latest financial results:

* Cominar REIT, (CUF-UN-T), Canada Newswire

* Crombie REIT, (CRR-UN-T), Canada Newswire

* Dream Office REIT, (D-UN-T), Globe Newswire

* H&R REIT, (HR-UN-T), Canada Newswire

* Inovalis REIT, (INO-UN-T), Canada Newswire

* Killam Apartment REIT, (KMP-UN-T), Globe Newswire

* NorthWest Healthcare Properties REIT, (NWH-UN-T), Canada Newswire

* Partners REIT, (PAR-UN-T), Globe Newswire

* Plaza Retail REIT, (PLZ-UN-T), Canada Newswire

* Pure Multi-Family REIT, (RUF-U-X), Canada Newswire

Real Estate Investment Trusts

Did PIRET create value for shareholders?

Pure Industrial Real Estate Trust (AAR.UN-T) delivered an ROE of 12.66% over the past 12 months, an impressive feat relative to its industry average of 8.60% during the same period. But what is more interesting is whether it can sustain this above-average ratio. This can be measured by looking at the company’s financial leverage. With more debt, AAR.UN can invest even more and earn more money, thus pushing up its returns.

Simply Wall St – Property Biz Canada

Retail

Canadian Tire profit falls 20 per cent

Canadian Tire Corp Ltd.  (CTC-T) reported quarterly profit below analysts’ estimates on Thursday as investments to improve stores and its online business in a fiercely competitive retail market took a toll, sending its shares down about eight per cent. Like many other retailers in the country, the company has been trying to win back market share from bigger rivals such as Amazon.com Inc (AMZN-Q) and Walmart (WMT-N).

Reuters – Canada Newswire

Cannabis industry news

Pot shops headed for major Calgary malls

Heading to two of Calgary’s largest indoor shopping malls could soon mean picking up bud and bongs before hitting the food court. City officials have conditionally approved the location of a cannabis store in Chinook Centre and another in Southcentre Mall, two of at least 83 applications so far given the green light. Another 61 of the retail proposals have been rejected ahead of the Oct. 17 date for legal recreational marijuana.

Calgary Herald

New Development

North Vancouver advances three-storey Shipyards project

City of North Vancouver council has approved the construction of three-storey commercial building at 1 Lonsdale Avenue and Carrie Cates Court. The project is designed to house two floors of office space overtop a ground floor restaurant. Because the site is 25 feet wide, the “greatest challenge” lies in incorporating parking spots and orchestrating a design that allows cars to manoeuvre within the site’s close quarters, according to city staff.

Western Investor

Infrastructure

Flash floods reignite debate over Toronto’s sewer system

Toronto is recovering in the aftermath of heavy rains and flash floods that wreaked havoc across the region Tuesday night, showing the city’s aging sewer system’s vulnerability to sudden, extreme weather conditions. Some parts of the city saw 100 millimetres of rainfall in less than two hours during Tuesday’s storm, according to Jennifer Drake, an assistant professor in the department of civil and mineral engineering at the University of Toronto.

Globe and Mail – Toronto Star

Other

	RENX has surpassed 10,495 Twitter followers
	Recent follower Morguard Apartments owns and manages more than 19,000 rental apartment suites across North America.
	Follow RENXca, the most comprehensive news feed on Twitter for Canadian real estate professionals.