Vancouver block doubles in price in two years

Vancouver block doubles in price in two years

Two adjacent properties taking up a prime, full city block on Alberni between Nicola and Broughton streets in Vancouver’s West End have been sold for almost twice what they went for less than two years ago. Alberni Street Nominee Ltd., which paid $83.4 million for the buildings  is under contract to sell them said local developer Bruno Wall.

Vancouver Sun

Old Port of Montreal to get face lift

Montreal is seeking to refurbish the Old Port ahead of the city’s 375th anniversary next year, and is turning to the public for ideas.  Several hundred people gathered at the Montreal Science Centre on Thursday night in the first in a series of public consultations.   Mayor Denis Coderre wants a master plan finalized by 2017.

CBC.ca – Montreal Gazette

Automotive Properties REIT closes three acquisitions

Automotive Properties REIT (APR.UN-T) has closed three acquisitions worth $41.3 million in the last month as part of what president and chief executive officer Milton Lamb calls a “thoughtful approach” to growth. The REIT held its initial public offering in July with 26 income-producing commercial properties.

Property Biz Canada

Port Lands form centrepiece of potential Expo bid

Toronto’s Port Lands could be set for a dramatic transformation. With representatives of the Bureau International des Expositions (BIE) in town to build support for the city’s prospective bid for the 2025 World Expo, the Port Lands have been at the forefront of prospective plans for the event.

Urban Toronto

Toronto developer defends move to not use designer

A Toronto developer facing a $6.5 million lawsuit is defending its decision not to use a prominent interior designer, even though brochures about the property used the designer’s name.  Freed Developments Ltd. said in a marketing brochure and on its website that the Six50King building would incorporate a Munge Leung Design Associates design.

CBC.ca

GTA office market ends year on positive note: AY

There was continued strength in the Greater Toronto Area (GTA) office market in the final quarter of 2015 and, while there are reasons for optimism in 2016, there could also be some hiccups in store caused by external economic forces. “There are opportunities as well as risks in the marketplace heading into 2016 . . .,” said Avison Young‘s Bill Argeropoulos.

Property Biz Canada

Wal-Mart came and conquered. Now It’s leaving

The Town’n Country grocery in Oriental, N.C., a local fixture for 44 years, closed its doors in October after a Wal-Mart (WMT-N) store opened for business. Now, three months later – and less than two years after Wal-Mart arrived – the retail giant is pulling up stakes, leaving the community with no grocery store and no pharmacy.

Bloomberg – Bloomberg – Bloomberg – Bloomberg

Mount Stephen Club’s a wake-up call about heritage designations

I’ve spent much of my career in the heritage movement fighting the misconception that heritage designation is a pesky barrier to development. Ironically, for the former Mount Stephen Club at 1400 Drummond St., provincial heritage designation of the highest order plus recognition as a National Historic Site of Canada seemingly posed no barrier at all to undermining its very foundations.

Montreal Gazette

Group Germain Hotels expands to Saskatchewan

Group Germain Hotels is adding a new Alt Hotel to the dynamic River Landing area of Saskatoon in 2018. The stylish property will be a key feature of the city’s extensive River Landing development project, a new extension currently under construction in the south downtown business district.

Canada Newswire – Saskatoon StarPhoenix

Hilton debuts new chain to win over millennials

Hilton Worldwide (HLT-N) has unveiled Tru by Hilton, a new chain of hotels to court younger travellers by touting mobile features and lounge spaces in a bid to compete with a space upended by home-sharing purveyor Airbnb. The brand marks the 13th hotel concept by Hilton, which Monday said it signed leases for 102 Tru hotels.

Fortune

Ambassatours new home taking shape

Halifax’s Ambassatours is trading its bus depot home for a new, greener building being put up near Fairview Cove to house its head office and entire fleet of vehicles.  The 32,000-square-foot building, a $4.5-million investment for the company is using carbon-infused walls manufactured by CarbonCure.

The Chronicle Herald

Big brokers race to bulk up retail offerings

With retail real estate inching closer to finally hitting the sweet spot in its cycle, large CRE services companies have been steadily expanding their retail brokerage, property management and advisory capabilities.  CBRE, JLL, Colliers International and Newmark Grubb Knight Frank have all recently made moves to bulk up their retail offerings.

CoStar Group

Breaking down U.S. commercial real estate

Video: Marcus & Millichap Senior Vice President Hessam Nadji discusses the state of U.S. commercial real estate. 

Bloomberg

U.S. secondary market heated up in 2015: Report

There were $8.2 billion in global real estate transactions on the secondary market in 2015, up 71 per cent from $4.8 billion the year before, said a report by Landmark Partners. The growth is mostly from sales of real estate limited partnership interests by U.S. public pension funds, which accounted for 63 per cent of the transactions in 2015.

Pensions & Investments

HSBC curbs mortgage offering to Chinese buyers in U.S.

Europe’s biggest lender, HSBC Holdings PLC will no longer provide mortgages to some Chinese nationals who buy real estate in the United States, a policy change that comes as Beijing is battling to stem a swelling crowd of citizens trying to get money out of China.

Globe and Mail

Featured Column

Understanding cap rates in the apartment sector

Capitalization rates, or cap rates, are a way of estimating the general rate of return of an apartment building by buyers or sellers. The cap rate for an apartment transaction is calculated by dividing a building’s net operating income or NOI into the total value of the transaction or sale (Value = NOI/Cap Rate).

Read more

Quitting the corporate grind and working from home

Over the past decade, I built a very successful real estate development company, which at one point employed more than 30 people and had two offices in Vancouver. But after 10 years, I started looking for new challenges.

Read more

Market Trends and Research

Edmonton hotels fail to make online list of country’s best

Albertans who want to stay in one of the country’s top hotels are going to have to travel out of province.  That’s according to a list compiled for the first ever trivago Canada Top Hotel Awards. The awards were based on what the online travel comparison site is calling the trivago Rating Index (tRI).

Edmonton Journal

Weak start to 2016 B.C. land sales

Natural gas-prone B.C. got off to a slow start as it held its first monthly land sale of 2016 this week by attracting $200,053 in bonus bids, which generated a low average price of $76.53. Eight parcels were up for auction, and six were acquired by industry, for a total of 2,614 hectares.

Business In Vancouver

Medical office very healthy: Colliers

Economic and office leasing conditions are expected to bolster the medical office space segment throughout 2016, according to a new report. Colliers International Group says this year will bring continued strong demand for medical office space and strengthened investor appetite driven by higher yields, low interest rates and stable tenants.

Globest.com

Private equity real estate fund trends for 2016

Consulting firm Ernst & Young recently published its Global Market Outlook 2016 report, which highlights key trends in private equity real estate. NREI talked with Mark Grinis, global real estate fund services leader at Ernst & Young, to get more insight into the top 10 issues to watch in the coming year.

National Real Estate Investor

Real Estate Companies

MHPM changes name to Colliers International

MHPM Project Managers announced today that it will be changing its name to Colliers International, effective March 31, 2016. Mr. Holtforster says MHPM clients will continue to benefit from MHPM’s proven capital-project-consulting expertise and project leadership, and have access to a comprehensive, integrated suite of commercial real estate services.

Canada Newswire

Eastern Townships’ Mont Sutton ski resort to be sold

A tentative deal has been concluded for the sale of the Mont Sutton ski resort in the Eastern Townships. The transaction, which requires acceptance by a majority of minority shareholders at a meeting in March, would see ownership of Ski Sutton Inc. pass to a group of partners that includes the ski hill’s general manager, Jean Michel Ryan. 

Montreal Gazette

Yahoo to shut Argentina and Mexico offices

Yahoo Inc. (YHOO-Q) plans to close its offices in Argentina and Mexico, a company spokeswoman said on Thursday.The company will maintain its Latin American operations through its teams in Brazil and Coral Gables, Fla.Yahoo declined to specify how many jobs were affected, but said the offices were “small sales-focused.”

Reuters

Microsoft seeks to buy, expand campus

Microsoft (MSFT-Q) has submitted plans for a major upgrade and expansion of the campus it has occupied for more than 15 years in Mountain View, Calif., disclosing plans to buy the 32-acre campus it has occupied since 1981. The Redmond, Wash.-based computing giant occupies about 515,700 square feet of leased space in the five buildings comprising the Microsoft Technology Center.

CoStar Group

REOC Financial Reports

Real Estate Investment Trusts

Milestone Apartments REIT closes Landmark acquisition

Milestone Apartments REIT (TSX: MST.UN) has completed the acquisition of a 15-property portfolio from Landmark Apartment Trust, Inc.  The Acquisition announced October 22, 2015, was part of the acquisition, by way of merger, of Landmark and its property portfolio of 78 properties by the REIT and Starwood Capital Group. 

Canada Newswire

Chartwell REIT provides low-risk security: Pape

Finding low-risk places to invest is not easy in these turbulent times. One area worth considering is businesses that specialize in residences for the growing seniors population. I suggest a good choice is Chartwell Retirement Residences REIT (CSH.UN-T), the largest owner and operator of seniors’ residences in Canada.

Globe and Mail (Subscription Required)

Barclays predicts ‘turbulence’ for U.S. office, retail REITs

Barclays has predicted “turbulence ahead” for U.S. REITs in 2016, downgrading the likes of Vornado Realty Trust, General Growth Properties and Rouse Properties and citing headwinds like “rising interest rates” and “geopolitical uncertainty.” The London-based banking giant downgraded Vornado to “equal weight” from a previous rating of “overweight.”

The Real Deal

Retail

Major Gap at Winnipeg’s St. Vital Centre

A number of high-profile retail brands are closing their St. Vital Centre stores, but the Winnipeg mall’s manager says there are others waiting in the wings to fill the space. No fewer than six national brand stores have closed or are in the process of closing in the post-Christmas season. The biggest name among the closures is the Gap.

Winnipeg Free Press

Whole Foods opens fifth B.C. store

Whole Foods Market (WFM-Q) opened the doors of its first Burnaby store on Thursday. The 41,000-square-foot store, located in the Solo District, represents the fifth store location in B.C. Whole Foods Market, founded in 1980 in Austin, Texas, currently has more than 434 stores in the U.S., Canada and the United Kingdom.

Canada Newswire

Charney’s bid to buy American Apparel nixed by judge

Dov Charney has struck out. Delaware bankruptcy Judge Brendan Shannon on Monday approved a reorganization plan for American Apparel that shuts out the company’s founder — setting aside his last-ditch effort to return to the helm of the company he founded 26 years ago. Shannon also approved the $200 plan of reorganization backed by the company.

New Development

New plans, partnerships and attitude for improved Northlands

At long last it’s a new and improved day for Northlands, one where Edmonton’s oldest booster group actually works for the city’s interest, as opposed to its own interest. Northlands is now negotiating with old enemies and rivals to better run Edmonton’s convention business and to convert Hall D at Edmonton Expo Centre into a new 5,000 seat arena/concert hall.

Edmonton Journal

Historic Kamloops property up for sale again

Developers had planned to transform the Kamloops, B.C. site into a residential community called Tranquille on the Lake. The current owners of the property worked to promote the project with plans like tours of the buildings’ tunnels and launching a program to mentor young farmers. It’s listed at 15.9 million dollars for the 470 acre property.

CBC

Environment minister to revisit Experimental Farm land transfer

Catherine McKenna, Canada’s minister of environment and climate change, told reporters she has “concerns” about the impending transfer of 24 hectares of land from the Central Experimental Farm to The Ottawa Hospital, and said it’s not too late to revisit the decision.

CBC.ca

How the Federal Building ‘Skypalace’ looks today

Nearly two years ago, CBC News revealed former premier Alison Redford had secretly ordered a private penthouse suite – at public expense – for herself and her daughter on the 11th floor of the provincial Edmonton Federal Building. Today, the space has been repurposed into meeting rooms but as reporter Charles Rusnell discovered on a recent tour, the vestiges of Redford’s grand penthouse remain.

CBC

Sports Venues

Canadian Tire Centre’s future in question

The future of suburban Ottawa’s Canadian Tire Centre is up in the air as the two competing bids to redevelop LeBreton Flats include an NHL-calibre arena that doubles as a major events centre. Former Ottawa Senators owner Bruce Firestone is suggesting transforming the 18,000-seat Kanata arena into a shopping mecca.

CBC News

Infrastructure

Hydro One to buy Great Lakes Transmission

Hydro One Ltd, Ontario’s largest electric utility said it will buy an electricity transmission business from Brookfield Infrastructure for $222-million.  Upon deal completion, Hydro One will operate about 98 per cent of Ontario’s transmission capacity. The Great Lakes Transmission business has a rate base of about $219-million and consists of 15 transmission stations.

Globe and Mail

Durham Region gives incinerator green light

Toronto Star

International

Prologis CEO not afraid of China

Prologis (PLD-N), the largest warehouse REIT in the U.S, reported strong fourth-quarter funds from operations on Tuesday. Revenue of $643.2 million was up 43 per cent from one year ago. “The dynamics of the business are very positive,” said Prologis CEO Hamid Moghadam. “Rental growth is by far the biggest driver . . .”

CNBC

Other