- What A Toronto retail property is asking $14.9m
- Why It is fully occupied and has future redevelopment potential
- What next Offers will be reviewed on a rolling basis
Danzor Investments has put a fully leased Toronto retail property up for sale with an asking price of $14.9m, Green Street News can reveal.
The price for the 31,000 sq ft property, in the Etobicoke region, would generate a capitalization rate of between 4.75% and 5%. Right At Home Realty’s Lina Gueorguieva and Hubenov Realty’s Tony Hubenov are jointly handling the marketing assignment.
Grow Fitness fully leases the 14,000 sq ft ground floor. A 17,000 sq ft basement is leased to an unnamed tenant that recently spent nearly $1m to set up an all-ages play space. Part of the sales pitch for the building, at 950 Albion Road East, is that taxes, maintenance and insurance are paid by the tenants.
Instead of collecting cashflow, a buyer could look at the property as a development play. Marketing materials note the site could accommodate construction of 300 residential units and ground-floor retail.
Offers will be reviewed on a rolling basis.
The property directly connects to another of Danzor’s holdings: a retail and office plaza at 964-1010 Albion Road. The Toronto-based real estate investment firm listed that property in January with pricing guidance of $20m.
Both offerings are near the intersection of two main throughways in Etobicoke – Albion Road and Islington Avenue – and are a kilometre south of Finch Avenue West. Adjacent retailers including Food Basics and Shoppers Drug Mart help drive foot traffic.
Toronto has seen a number of noteworthy strip centre sales so far this year. In April, Sheridan Plaza, a grocery-anchored property at 2200 Jane Street, traded for $39.6m, according to Green Street’s Sales Comps Database. The high-water mark was set in January by RioCan’s acquisition of its partner’s 75% interest in RioCan Leaside Centre for $59.3m.
