Story on industrial lands.Since 2018 in the Toronto area. industrial lands have gone from 1.2 million an acre to 3 million.
The increase in Vancouver is even greter, about 7.5 million an acre in the Burnaby big bend.
MPC is starting to trade close to book, it could be viewed as trading less than the underly land value with zero value ascribed to the modern buildings. Book is very conservative.
Tribal acquired the property through a competitive process and have had it under contract since October 2018. They closed on it in July 2020 upon achieving severance. “This was an excess 15 acres at the south end of the site,” said Cushman & Wakefield vice-president Michael Yull in a conference call with Cushman & Wakefield senior VP Fraser Plant and RENX. “They realized they weren’t going to use the excess land and wanted to monetize it since industrial land was becoming quite valuable.”
The price was about $1.2 million per acre, according to Yull, who said it would probably sell for $3 million per acre if it was coming on to the market now.