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Morguard and Institutional Partner Acquire Two-Tower, 552,000 Square Foot Office Complex in Downtown Ottawa

T.MRC

Canada NewsWire

Jointly purchased acquisition gives Morguard operational management
of a full city block in Ottawa's central business district

MISSISSAUGA, ON, Oct. 22, 2018 /CNW/ - Morguard Corporation (TSX: MRC) ("Morguard") announced today that it has jointly purchased a two-tower office complex in downtown Ottawa, ON. The 552,000 square foot complex, known as the Jean Edmonds Towers ("JET"), is located at 300 Slater Street and 365 Laurier Avenue. The acquisition was completed for a purchase price of $186 million before taxes and transaction costs. Morguard and its institutional partner will own the complex on a 49.9% - 50.1% basis, respectively, with Morguard providing property management services.

The twenty-storey towers are linked by a ground level retail atrium and are leased primarily to Public Services and Procurement Canada ("PSPC"), which occupies over 98% of the gross leasable area. The complex is located in close proximity to Lyon Station on the upcoming O-Train Confederation Line, Ottawa's LRT. The new Confederation Line will significantly add to the importance and appeal of Jean Edmonds Towers as an integral and strategic location for PSPC in downtown Ottawa.

The joint venture completes Morguard's operational management of a full city block in Ottawa's central business district. Morguard, and affiliated entities, hold co-ownership interests in as well as manage the buildings that make up the remainder of the block: 280 Slater Street, 301 Laurier Avenue West, 333 Laurier Avenue West and 150 Bank Street. The acquisition of JET allows for valuable management synergies, and potential master planning opportunities.

"With Morguard now managing operations at all the commercial properties on the block, there are future consolidated redevelopment opportunities that will create value for all the assets over the long term," said K. Rai Sahi, Chairman and CEO of Morguard. "We're excited to add this important piece to our downtown Ottawa portfolio as we continue to expand our footprint in this strategic market."

This is Morguard's second recent office acquisition in the National Capital Region. The company recently acquired 41 Rue Victoria in nearby Gatineau, QC. The state-of-the-art 134,000 square foot modern Class AAA building was purpose-built in 2015 for a long-term tenant, a global leader in renewable energy. 

With the recent acquisitions of JET and 41 Rue Victoria, Morguard's substantially owned and managed commercial real estate portfolio in the Ottawa region now stands at over 5.0 million square feet. The company also owns and/or manages 2,800 residential suites in the region.

About Morguard
Morguard Corporation is a major North American real estate company.  It has extensive retail, office, industrial, multi–suite residential, and hotel holdings owned directly, or through its investment in Morguard REIT (TSX: MRT.UN), Morguard North American Residential REIT (TSX: MRG.UN) and Temple Hotels Inc. (TSX:TPH). Morguard also provides real estate management services to institutional and other investors. Morguard's owned and managed portfolio of assets is valued at $21.7 billion. Please visit www.morguard.com or follow us on LinkedIn.

SOURCE Morguard Corporation

View original content: http://www.newswire.ca/en/releases/archive/October2018/22/c1647.html



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