PortsToronto selling HQ to Oxford, CPPIB

PortsToronto selling HQ to Oxford, CPPIB

PortsToronto announced it has sold its property at the corner of 30 Bay and 60 Harbour Streets to Oxford Properties Group and Canada Pension Plan Investment Board, who will each own a 50 per cent stake. The sale closed Monday and the transaction is valued at $96 million, a portion of which will be payable over the next three years.

Canada Newswire – Globe and Mail

Toronto Woodbine to become ‘city within a city’

Woodbine Entertainment Group hopes it has at last come up with the recipe for success at its vast northwest Toronto horse racing and gaming site. WEG used the recent Urban Land Institute Toronto Symposium to unveil its completed master plan for the 684-acre site. This latest development plan promises to turn the property into “a city within a city” while retaining the traditional horse racing operations on about 200 acres.

Property Biz Canada

Walton fate provides test of Alberta market

The financial woes of Calgary real estate firm Walton Group are likely to be a litmus test for Alberta’s ailing CRE market, with industry players closely watching the fate of the developer’s lucrative sites. Walton, an international real estate investment and development firm, filed for creditor protection earlier this week.

Globe and Mail

Nexus looks forward to major growth after merger

Edgefront REIT and Nobel REIT closed their merger to become Nexus REIT early last month, and both parties believe it will offer several benefits going forward. “We were two smaller entities that, when you put them together, were able to increase our size and scale,” said former Edgefront president and CEO Kelly Hanczyk, who now serves as Nexus’ co-CEO.

Property Biz Canada

Confidence shown in Calgary CRE: Barclay Street

Investor sentiment regarding the Calgary market showed continuing signs of renewed confidence through the first quarter of 2017. To March 31, total dollar volume invested reached $570 million; an increase of more than $178 million over Q1 2016. Early in the quarter, Slate Properties finalized its purchase of 12 office properties from Dream Office REIT for more than $200 million. 

Barclay Street Real Estate media release

Home Capital ‘not a systemic issue’: Brookfield CEO Says

The problems faced by embattled alternative mortgage lender Home Capital Group Inc (HCG-T) aren’t indicative of broader problems in the Canadian real estate market, the head of Brookfield Asset Management (BAM.A-T) says. Bruce Flatt, chief executive officer of Brookfield, Canada’s largest alternative asset manager, said he believes the Canadian banking and regulatory system remains strong.

Bloomberg – Reuters – Financial Post – Bloomberg

Slate Office REIT targets Toronto’s 427 corridor

Slate Office REIT believes in asset concentration in markets it likes, and the Highway 427 corridor in Etobicoke, Ont. is its latest focus. “Other examples of this strategy include Sheridan Park in Mississauga, Woodbine and Steeles in Markham, and obviously downtown St. John’s, Newfoundland,” said Slate Office REIT chief executive officer and Slate Asset Management chief operating officer Scott Antoniak.

Property Biz Canada

Minto Place deal big step in new direction

Just a few short years ago, Minto Capital Management’s move to bring in Investors Real Property Fund as a 50 per cent owner of its iconic Minto Place complex in downtown Ottawa would have raised many eyebrows. Today, however, it’s just business as normal for the company as it continues to recapitalize properties and seek new investment opportunities.

Property Biz Canada

Granite REIT soars as investor pushes for change

Activist investor FrontFour Capital Group and its partners have taken a stake in Granite REIT (GRT.UN-T) , pushing for board changes and other measures to boost shareholder value. The stock rose to a record high. FrontFour and private-equity firm Sandpiper Asset Management Inc. own 6.2 per cent of Toronto-based Granite, according to a regulatory filing Tuesday. 

Bloomberg

SFU expansion to key on CRE space

Over the next five years, the population at Simon Fraser University on Burnaby Mountain is expected to double to 10,000 residents, and campus stakeholders are aiming to tailor the area’s mix of commercial space to meet the needs of the emerging town centre. A deal is also nearing completion to build a 15,000-square-foot medical centre in the community.

Vancouver Province

Mattamy, Tridel take top GTA BILD awards

More than 1,200 home building and land development industry professionals gathered Friday night to honour the nominees at the 37^th Annual BILD Awards. Winners were announced in a total of 51 categories. A group of 17 expert judges from across North America chose the winners from more than 900 entries.

Property Biz Canada

Regina may offer incentives to entice developers

The City of Regina wants to say good-bye to its swaths of vacant land, and hello to new developments. Recently, the city issued a tender to hire a consultant to prepare a study of underutilized lands. Regina has several hundred acres of empty land, ranging from surface parking lots and vacant buildings, to brownfield sites and other demolished proprieties.

CBC

Ottawa to phase out rebates for vacant properties

A provincial program that forces municipalities to give property tax rebates to owners of vacant properties is one step closer to being cancelled after Ottawa city council’s finance and economic development committee agreed to phase out the scheme by 2018. The original staff report recommended cancelling the program by 2019.

CBC – CBC – CBC

HTA acquiring Duke Realty’s MOB portfolio

Healthcare Trust of America, Inc. (HTA-N) is buying all of the medical office buildings owned by Duke Realty Corp. (DRE-N) and its medical development pipeline for $2.75 billion US in cash. The price breaks down to roughly $450/square foot. The transaction includes $2.35 billion for 64 stabilized, operating medical office properties and $400 million for 14 properties under development or in the lease-up stage. 

CoStar Group – Marketwired

After uncertain winter, ‘normality’ returns to U.S. CRE

CRE investors who had looked with some trepidation on the new U.S. administration have seen some of their worst fears allayed. The failure to repeal the Affordable Care Act, for example, means the world of healthcare real estate won’t be roiled by sudden changes. Considerations like that are very important to real estate investors.

GlobeSt.com – National Real Estate Investor – MultiHousing News

Real Estate Companies

Starlight fund files preliminary prospectus

Starlight U.S. Multi-Family (No. 1) Value-Add Fund announced today it has filed with the securities commissions of all provinces in Canada, and obtained a receipt for, a preliminary prospectus for an initial public offering of limited partnership units. The preliminary prospectus qualifies the distribution of a minimum of US$56 million and a maximum of US$112 million of units.

Canada Newswire

Cineplex profit, revenue climb

Canada’s biggest theatre chain Cineplex Inc. (CGX-T) reported declining box-office revenue on Tuesday, but shifting attendance trends, with premium-experience offerings comprising 45 per cent of that– bringing in “record” first-quarter per-patron revenue of $9.97. Total revenue was $394.2 million, with earnings before interest, tax, depreciation and amortization, adjusted for items including change in fair value of financial instrument items, of $59.4 million. 

Globe and Mail – Toronto Star

REOC Financial Reports

Latest financial reports:

* Brookfield Renewable Partners L.P, (BEP.UN-T), Marketwired  

* Firm Capital Mortgage Investment Corporation, (FC-T), Canada Newswire 

* Genworth MI Canada Inc,, (MIC-T), Canada Newswire, Canada Newswire 

 * Le Château Inc., (CTU-T), Marketwired 

REIT Financial Reports

Latest financial results:

* Morguard North American Residential REIT, (MRG.UN-T),  Canada Newswire 

Real Estate Investment Trusts

U.S. tax plan could bruise REITs

One of the investment vehicles that could be significantly impacted by the White House’s tax reform is the REIT, which do not pay corporate tax and in exchange are required to pay out 90 per cent of their returns to stockholders. Because of that tax-exempt status, REITs offer yields that are higher than the average S&P 500 corporate stock.

The Real Deal

Killam Apartment best defensive REIT

Killam Apartment REIT  (KMP.UN-T) provides the best mix of income and safety in a world filled with other securities overexposed to markets that may be riskier than initially thought. While many Canadian REITs focus on large urban centres, new developments in the alternative lending space have indicated the excess risk may put downward pressure on REITs.

Motley Fool – Motley Fool – Property Biz Canada

Retail

Loblaw profit surge beats expectations

Loblaw Cos Ltd (L-T) reported higher than expected first-quarter profit, but tepid sales growth in a period of food price deflation. The country’s biggest grocery and drug retailer reported net earnings of $230 million, or 57 cents per share, compared with earnings of $193 million (47 cents) in the first quarter of 2016.

Financial Post – Reuters – Canada Newswire

Target slashes CEO pay package after bleak year

Target Corp‘s (TGT-N) chief executive Brian Cornell took a sharp cut in compensation after the company failed to meet financial goals in a year marred by declines in sales and share price. Cornell’s cash-and-stock compensation fell by nearly a third to $11.3 million US, according to a document filed with regulators.

Reuters

Restaurants and Eateries

Yum’s profit beats expectations

Yum! Brands (YUM-N) reported a better-than-expected profit for the first quarter as Taco Bell’s sales jumped. The Louisville, Ky., company said sales rose eight per cent at established locations for its Taco Bell division, which has stores mostly in North America. The KFC unit saw U.S. sales climb two per cent, while Pizza Hut’s struggles continued with a seven per cent decline.

Montreal Gazette

Can Tim Hortons thrive without its Canadian crutch?

It takes a squad of Tim Hortons (QSR-T) employees in aprons and visors, bustling about the Canadian High Commission in London serving day-old Timbits to slightly baffled Brits, to make one realize just how weirdly and deeply the Tim Hortons brand has fused itself to Canada. Even the trained, media-friendly employees can’t explain it. 

Maclean’s

Infrastructure

K-W launches RFQ for transit hub

The Region of Waterloo has launched phase 1 of its bidding process – the request for qualifications (RFQ) – to select the private developer who will build the large mixed-use transit hub on Victoria and King Street in Kitchener.  The transit hub will feature seamless access to multiple modes of transportation and integrated residential, office and retail space.

Canada Newswire

Winnipeg college’s P3 may be shape of things to come

A student residence at the University of Manitoba could be Manitoba’s sixth public-private partnership and the first connected to education infrastructure. So far the only public-private partnerships in the province have been roads, water treatment and the second phase of Winnipeg’s rapid transit line. 

CBC – CBC – Winnipeg Free Press – Winnipeg Free Press

Technology

Self-driving cars will profoundly change RE

Menlo Ventures managing director Venky Ganesan says urban spaces will change dramatically once self-driving cars become widespread. His prediction is driverless cars could become a reality in five years, and will profoundly affect real estate within nine years. “When the first driverless car is on the road, I think people will start thinking about zoning changes,” said Ganesan.

CNBC

Shopify shares rise on positive results

Shopify Inc (SHOP-T) shares surged in early morning trading as investors absorbed news of the Ottawa firm’s stellar first quarter, which ended March 31. The stock hit a record $115.64 out of the gate, up nine per cent from the previous day’s close, giving Shopify a market value in excess of $10 billion for the first time.

Ottawa Citizen – Reuters

How Amazon is disrupting grocery

Of all Amazon’s retail ambitions — an online juggernaut that began with books and has expanded to everything under the sun — its grocery effort remains somewhat undercooked, despite a decade in the space. There’s no real mystery to why Amazon would be so assertive in grocery: Total 2015 U.S. supermarket sales were $649 billion, according to the Food Marketing Institute.

Retail Dive – Business Insider – GlobeSt.com

Other

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