- What BGO is in the process of buying Armadale Square for $60m
- Why Canadian Urban is offloading the Markham mall at around a 5% cap rate
- What next JLL’s National Retail Investment Group had the assignment
A grocery-anchored retail centre north of Toronto is under contract for $60m, Green Street News can reveal.
BGO has agreed to acquire Armadale Square in Markham from Canadian Urban. The valuation translates to a first-year capitalization rate around 5%. JLL’s National Retail Investment Group had the assignment.
The impending sale marks one of the largest retail transactions in Ontario in a year, according to Green Street’s Sales Comps Database. Larger deals include Niagara Pen Centre, in St. Catherines, which traded for $140m last month; CF Fairview Park Mall, in Kitchener, which sold for $162m in December; and Carlingwood Shopping Centre, in Ottawa, which changed hands for $73.5m in June 2024.
At 7630 and 7670-7720 Markham Road, Armadale Square is 100% occupied. National and regional tenants occupy 87% of the gross leasable area
Anchor tenants include Mark’s, Shoppers Drug Mart, Sunny Foodmart and Winners. The weighted average lease term is 3.5 years. There are 657 parking stalls.
The main plaza was completed in 2002. A McDonald’s and other ancillary buildings were completed in 2003, while Sunny Foodmart and Winners were completed in 2004.
The 143,000 sq ft retail centre is on nearly 12 acres near the intersection of Markham Road and 14th Avenue. It’s a kilometre from Highway 407, 2km from Highway 7 and within 10km of Highway 404 and downtown Markham. Downtown Toronto is within 25km.
Over 220,000 residents with an average household income of $139,000 live within 5km of Armadale Square.
BGO is the real estate investment arm of Sun Life Financial. As of Q1, the firm had $86bn in assets under management. Headquartered in Miami, Fla., John Carrafiell and Sonny Kalsi are global co-chief executives.
Earlier this month, the company sold Les Colonnades Pointe-Claire, a mixed-use centre in Montréal’s West Island, to Devmont for $25m.
Canadian Urban is a privately owned real estate investment and asset management firm. Helmed by president Jay Hamilton, the company is based in Edmonton.
