Several Downtown Office & Retail assets set to be sold to Dundee REIT

[benjaminbach]

Originally posted at BenjaminBach.com (http://www.benjaminbach.com/real-estate-investment/dundee-reit-pays-154-4-million-for-the-rest-of-realex-including-kitchener-waterloocommercial-real-estate/)

Dundee REIT is set to buy the part of Realex properties it doesn’t already own for $154,400,000

This includes several commercial real estate properties in Kitchener Waterloo (http://kitchener-waterloo-commercial-real-estate.com/) including:


Market Square – 239,689 sq ft

Galleria – 237,146 sq ft

50 Queen – 169,616 sq ft

235 King – 100,798

22 Frederick – 95,841 sq ft

The Accelerator Centre – 92,808 sq ft in the University of Waterloo Research and Technology Park

Realex also owns commercial properties (office, retail & industrial) in Alberta and BC that were included in the sale. Click here (http://www.realexproperties.ca/properties.html) for a list of Realex’s commercial real estate holdings.

The Canadian Press reports in Canadian Business (http://www.canadianbusiness.com/markets/headline_news/article.jsp?content=b5415100) that


‘The board of directors of both Dundee REIT and Realex – officers of which hold 49 per cent of Realex shares and have agreed to tender – have approved the deal.”

“The acquisition still needs approval of at least two-thirds of shareholders at a meeting expected to take place in January, as well as regulatory approval. The deal is expected to close by February.”

Dundee REIT (http://www.dundeereit.com/AboutUs-CorpProfile.html) is a national real estate investment trust that owns about 11 million square feet of office and industrial assets across Canada, including Class A buildings in Toronto on Bay, Adelaide, York and University.

[Spokes]

Wow! Thanks for the inside info!

That's a huge deal. Weren't a lot of these properties just aquired by Realex just a couple of years ago from the Cora Group?

Edit: Yup, the same six properties were bought from Cora Group for $141 million, and now being sold for $154.4 million 2 and a half years later....Nice return on investment. Sure shows how valuable things are becoming in Waterloo Region!

[benjaminbach]

Wow! Thanks for the inside info!

That's a huge deal. Weren't a lot of these properties just aquired by Realex just a couple of years ago from the Cora Group?

Edit: Yup, the same six properties were bought from Cora Group for $141 million, and now being sold for $154.4 million 2 and a half years later....Nice return on investment. Sure shows how valuable things are becoming in Waterloo Region!

Yes, Realex bought these assets from Cora.

Dundee didn't buy the local assets from Realex for 154 mil, they bought the rest of Realex (they already own part).

Realex portfolio includes several buildings in KW, plus several large buildings in Alberta; the figures above don't represent the return on investment for the Kitchener Waterloo assets.

[Spokes]

Yes, Realex bought these assets from Cora.

Dundee didn't buy the local assets from Realex for 154 mil, they bought the rest of Realex (they already own part).

Realex portfolio includes several buildings in KW, plus several large buildings in Alberta; the figures above don't represent the return on investment for the Kitchener Waterloo assets.

Ohh sorry, I misread that. Either way, that's a big deal.

[benjaminbach]

Either way, that's a big deal.

Yes. Over at my blog post discussing the Realex Sale (http://www.benjaminbach.com/real-estate-investment/dundee-reit-pays-154-4-million-for-the-rest-of-realex-including-kitchener-waterloocommercial-real-estate/) it's noted that the full enterprise value of Realex is approx $385 million.