- What Pure Industrial sold a portfolio of GTA assets
- Why Dream Summit Industrial paid $258m for the 10 properties
- What next The portfolio offers several upside opportunities
Pure Industrial sold a portfolio of Greater Toronto Area assets to Dream Summit Industrial for $258m.
The trade, which comprised 10 properties, is the largest industrial deal of the year so far. It closed on Feb. 6.
The assets amounted to almost 1 m sq ft, Dream Industrial REIT said, with a mix of single- and multi-tenant buildings along the Highway 401 corridor.
Dream Summit is a limited partnership owned by a joint venture between Singapore-based GIC and Dream Industrial REIT. The latter owns 10% of the JV, and GIC owns 90%.
The properties involved in the deal are:
- 1865 Clements Road in Pickering ($60m)
- 925 Brock Road in Pickering ($48.3m)
- 1000 Thornton Road South in Oshawa ($28.4m)
- 650 Finley Avenue in Ajax ($28.2m)
- 980 Thornton Road South in Oshawa ($26.1m)
- 1655 Tricont Avenue in Whitby ($25.1m)
- 929 Brock Road in Pickering ($14.5m)
- 40 Mills Road in Ajax ($12m)
- 927 Brock Road and 931 Brock Road in Pickering ($8.5m)
- 1875 Clements Road in Pickering ($6.4m)
The firms saw opportunities across the various properties.
“With relatively low site coverage and over 21 acres of excess land, the portfolio offers upside opportunities through a combination of sales and [industrial outdoor storage] activation, as well as intensification or redevelopment potential,” Dream Industrial REIT said.
Pure had acquired some of the properties in 2017. On Aug. 30, 2017, Pure purchased 1865 and 1875 Clements Road in Pickering for $24m. Those properties accounted for $66.4m of the new purchase price.
