Skip to main content

The Globe and Mail

Canmarc buys 3 properties for $213-million

File photo of an urban cowboy using his cellphone outside the Scotia Centre in Calgary

Jeff McIntosh/The Globe and Mail

Canmarc Real Estate Investment Trust says it has struck deals to acquire two retail properties in Toronto and Jonquiere, Que., as well as the 50 per cent interest in Calgary's Scotia Centre office and retail complex it does not already own.

The price tag of Wednesday's deals by Canmarc, which is fighting off a hostile takeover bid by rival Cominar, is $213-million.

In Toronto, the company is buying a shopping mall called Woodside Square in the city's northeastern suburbs for $59.25-million.

Story continues below advertisement

The Marche Jonquierre strip mall is being acquired for $13.76-million and the Scotia Centre deal in Calgary is valued at $140-million.

"With these three accretive acquisitions today, Canmarc continues to deliver on its strategy of building a solid footprint of office and retail properties in key real estate markets across Canada," said Jim Beckerleg, president and chief executive officer of the Montreal real estate company.

"We are making our first significant investment in the Ontario market and we are growing our presence in two regions of Canada – Alberta and Quebec – where we can further lever our established management platforms."

Canmarc, which owns retail and office properties, has been looking for another buyer or strategic investor to make a better offer after rejecting a $832.8-million hostile takeover bid from rival Cominar.

Cominar, which recently increased its stake in Canmarc to 15.1 per cent, is offering $15.30 cash for each unit of Canmarc it doesn't already own, or the option of taking 0.7 of a unit in Cominar for each Canmarc unit.

Canmarc criticized the offer as being too low and said it was timed late last year to make it difficult for anyone else to make a competing bit during the holiday season.

Cominar Real Estate Investment Trust is the largest commercial property owner in Quebec, with a portfolio of 269 properties, consisting of 53 office, 55 retail and 161 industrial and mixed-use buildings.

Story continues below advertisement

Report an error
Comments are closed

We have closed comments on this story for legal reasons. For more information on our commenting policies and how our community-based moderation works, please read our Community Guidelines and our Terms and Conditions.