- What Primaris REIT has agreed to acquire interests in two shopping centres for $585m
- Why The properties are in large and growing markets
- What next The transaction is expected to close on Jan. 31
Primaris Real Estate Investment Trust has agreed to acquire interests in two enclosed shopping centres for $585m.
The Toronto-based firm will acquire a 50% stake in Southgate Centre in Edmonton and 100% of Oshawa Centre in Oshawa, Ont., from Ivanhoé Cambridge. The deal is expected to close on Jan. 31.
The purchase price comprises $335m in cash, $75m in trust units and $175m in exchangeable preferred units in a new limited partnership.
Southgate Centre spans 846,000 sq ft near the intersection of Whitemud Drive Expressway and 111 Street NW in the Malmo Plains neighbourhood of Edmonton.
Large-format tenants include Crate & Barrel, Hudson’s Bay, London Drugs, Safeway, Sporting Life, Uniqlo and Winners. Other tenants include Apple, Ariztia, Alo, Browns, Lululemon, Nespresso and Sephora.
In 2022, the 260,000 sq ft former Sears space underwent a $93m redevelopment into an atrium and additional retail units. The building is BOMA BEST gold certified, and the average weighted lease term is 5.9 years.
The 1.2m sq ft Oshawa Centre includes 100,000 sq ft of office space.
Large format tenants include H&M, Hudson’s Bay, Marshalls, Sport Check, Uniqlo and Zara. Other tenants include Aritzia, Browns and Sephora.
The BOMA BEST platinum certified property has an average weighted lease term of 3.8 years.
The property underwent a $230m redevelopment in 2016, which included the addition of 260,000 sq ft of retail space, a food court expansion and upgrades throughout the mall.
