- What Fundy Capital acquired a portfolio of mobile-home parks and apartment buildings in Newfoundland
- Why The acquisitions add to the firm’s 191 residential units in the province
- What next Fundy Capital plans to upgrade the apartment units as they turn over
Fundy Capital Management acquired a portfolio of mobile-home parks and apartment buildings in Newfoundland with going-in capitalization rates of 7.5% and 6.25%, respectively, Green Street News can reveal.
The seller was Killam Apartment REIT, and the deal closed on May 5. Green Street News was unable to verify the price of the portfolio, which comprises 318 units.
The two neighbouring apartment buildings are at 2 Judges Terrace and 99 Lincoln Road in Grand Falls-Windsor. The buildings contain 148 apartment units.
The two mobile-home parks are on Candow Drive in Corner Brook and at 1 Curtiss Avenue in Gander. There are 318 mobile home units spread over the two properties.
The expanded portfolio strengthens the company’s footprint in the province and aligns with its long-term growth strategy, the company told Green Street News. The acquisitions add to Fundy Capital’s 191 residential units in Newfoundland, with properties in St. John’s, Deer Lake and Corner Brook.
For the newly acquired apartment portfolio, the company’s strategy is to upgrade units as they become vacant through natural tenant turnover.
“Fundy Capital continues to focus on delivering value to its investors by providing opportunities to own real estate without the operational burden,” Alex Love, vice president of real estate investments and partnerships told Green Street News.
“Our underwriting approach is conservative; we aim to underpromise and overdeliver. We focus on acquiring well-located assets with long-term upside while maintaining disciplined financial management and operational efficiency.”
