- What An apartment building in Mississauga is on the market for $14.5m
- Why It has midrise residential redevelopment potential
- What next ILIV Realty has the marketing assignment
A rental apartment property in Mississauga with redevelopment potential is on the block at a sub-3% capitalization rate, Green Street News can reveal.
The 40-unit building, at 3310 Fieldgate Drive, has an asking price of $14.5m. The property is being sold as part of an estate sale. ILIV Realty has the assignment on behalf of a private investor.
The net operating income is just shy of $420,000, translating to a 2.89% cap rate. The yield could rise as investors are being told the fully occupied building has significant rental upside.
In addition, the nearly 2-acre site is being marketed to developers, as it has a half-acre of excess land and a 56-space surface-level parking lot that can be redeveloped.
Zoning allows for eight stories, however nearby properties have been approved for buildings with 11 to 18 stories, marketing materials note. No development applications have been submitted to the city.
Conceptual drawings for possible developments depict either one new building next to the existing structure or two new buildings, which would require the demolition of the existing rentals.
The property is just southeast of Bloor Street, across from the Bethesda Commons park. It is 2km west of Highway 427, 3km north of the Queen Elizabeth Way and less than 2km from the Dixie GO station.
Offers are being reviewed on a rolling basis.
