Whiterock Real Estate Investment Trust (TSX: WRK.UN) has acquired Airport Road Complex in Mississauga, Ontario, which includes two low-rise office buildings near Toronto-Lester B. Pearson International Airport. The announcement comes five weeks after Whiterock closed the sale of minority interests in Sussex Centre in Mississauga and London City Centre.
Whiterock Real Estate Investment Trust (TSX: WRK.UN) announced Friday it has purchased a 170,805-square-foot office complex in Mississauga, Ontario near Toronto-Lester B. Pearson International Airport.
Airport Road Complex has a five-storey and a seven-storey office building on 4.6 acres of property, with 533 parking spots. The price, not including closing cost, was $31.5 million.
Tenants of Airport Road Complex include Merge OEM, The Second Cup, Teradata, G&K Services and the Air Canada Pilots Association.
Whiterock has also raised cash by three different methods. It increased its credit facility with Toronto-Dominion Bank from $20 to $35 million and reduced the interest rate by 0.88 percentage points. It also issued $10 million worth of unsecured non-convertible debentures (with an interest rate of 5.95 per cent payable monthly) due in 2016. Whiterock refinanced mortgages on buildings it already owns Saskatchewan, generating net proceeds of $13.5 million, extending the average remaining term from two to five years and reducing the average interest rate from 5.7 to 3.6 per cent.
Friday’s announcement comes five weeks after Whiterock REIT closed the $157 million purchase of 49 per cent of Sussex Centre in Mississauga , a 657,503-square-foot two-tower office complex near Square One. In July Whiterock also closed the purchase of a 40-per-cent interest in London City Centre, which has 539,472 square feet of rentable area and cost Whiterock $61 million before closing costs.
London City Centre, built in 1974, is majority-owned by Redbourne Realty and for years was occupied by Northern Life Insurance Company and Canada Trust. City Centre is now 64-per-cent occupied by Toronto Dominion Bank, which merged with Canada Trust in 1999. According to Redbourne Realty, London City Centre has two buildings: a 21-storey tower at 275 Dundas Street and a 23-storey tower 380 Wellington Street.
London City Centre is near the site of a major road and watermain rehabilitation project. For more information, please see Ron Stang’s story in the Daily Commercial News roadbuilding feature, London, Ontario watermain replacement helps conserve energy .
DCN DIGITAL MEDIA
Recent Comments
comments for this post are closed