- What KingSett paid $100.6m to BUSAC Immobilier for a Montréal office/retail complex
- Why Purchase fits KingSett’s strategy targeting centrally located assets
- What next BUSAC will continue as property manager, upgrades planned
KingSett Capital has paid $100.6m for a Montréal office complex, the biggest such trade this year in Québec and the largest since last summer, Green Street News can reveal.
The 327,500 sq ft complex encompasses two attached buildings at 1200 McGill College Avenue and 900 rue Sainte-Catherine Ouest. The property has 240,000 sq ft of offices, more than 70,000 sq ft of retail and about 17,500 sq ft of common areas. The deal, which closed on June 20, values the complex at $307/sq ft.
No office building in Québec had previously sold this year for more than $55m, according to Green Street’s Sales Comps Database. KingSett’s purchase is additionally the largest in the province since the $142m purchase last summer in June of the building at 455 Boulevard Rene-Levesque Ouest.
Occupancy for the 24-storey McGill Avenue tower and the retail component were unavailable. Office tenants, which span the top 19 floors, include the local headquarters of Rogers Communications. Retail tenants include Ben & Jerry’s, Café Dépôt, Sports Experts, Sushi Shop and Zara.
KingSett, which is retaining BUSAC as property manager, is expected to invest in upgrades to amenities and common areas. The building is already Boma Best Bronze certified.
The complex connects directly to Montréal’s underground city, steps from both McGill Metro and the REM McGill Intermodal station. The property’s proximity to transit dovetails with KingSett’s strategy of buying centrally located assets with retail components and direct access to public transportation.
BUSAC Immobilier is the Canadian real estate arm of JEMB Realty, a New York-based real estate shop. BUSAC focuses on office, retail and mixed-use assets in Montréal and other major Canadian cities. It says it focuses on hands-on management and value-added investment strategies, and has been active in several large developments in downtown Montréal.
Toronto-based KingSett is a private equity real estate investment firm whose founder, Jon Love, serves as executive chair.
