CAPREIT ended off 2023 with a series of transactions that included the purchase of two newly constructed rental apartments in British Columbia for $90.5 million; additionally it disposed of two non-core properties for combined consideration of $10.3 million, and closed on a sale in Calgary, Alberta for $53.9 million.
The first BC acquisition is described as a 12-storey, concrete purpose-built rental apartment containing 114 high-quality residential suites and over 5,000 square feet of commercial retail at grade. The building is situated in a strategic location in Vancouver, just steps from the Commercial-Broadway SkyTrain. Construction of the building was completed in 2023, and it was purchased following lease-up for $68.0 million.
The second property is a newly built 48-suite apartment with ocean views in Esquimalt, BC, a municipality within the metropolitan Victoria area. The building was constructed in 2022 and purchased by CAPREIT for $22.5 million.
“These transactions bring our total capital reallocation activity in 2023 to above $700 million worth of Canadian properties, and we’re thrilled to close out the calendar year on this exciting note,” said CAPREIT president and CEO Mark Kenney. “In keeping with our strategic plan and progress to date, this latest phase of portfolio rejuvenation has further enhanced the average age, geographic exposure and quality of our overall investment portfolio, and we’re looking forward to maintaining this momentum as we head into the new year.”
“We reached our annual target in 2023 and disposed of over $400 million in non-core buildings, while concurrently reinvesting approximately $300 million into purpose-built rental properties recently constructed in Canada’s most attractive and fastest-growing regions,” added Julian Schonfeldt, Chief Investment Officer. “We’re especially pleased with our latest two premium acquisitions, strategically located in highly coveted BC communities where we also own other new build assets, allowing for operational synergies.”
For more info, click here: CAPREIT transactions
