Brampton and Canmore multi-residential properties acquired by Boardwalk | RENX
Boardwalk REIT (BEI-UN-T) has acquired two multi-residential properties, in Canmore, Alberta, and Brampton in the Greater Toronto Area, adding 300 rentals to its portfolio for a combined price of $117.5 million.
The announcement was made Tuesday in a brief operational update from the Calgary-based trust, which also reported an increase in rental traffic in March.
Boardwalk acquired Peak Estates at 1451 Palliser Trail in Canmore, which consists of three four-story Class A multi-residential buildings that were constructed in 2018.
The property has 148 units and features large unit sizes, modern finishes, and six en-suite appliances. The acquisition complements Boardwalk’s existing Elk Valley Estates and Mountainview Estates communities in nearby Banff and increases its portfolio in the area to more than 300 rental units.
Ardglen Place, promenade in Brampton
Ardglen Place is located at 51-67 Ardglen Dr. in Brampton, includes 152 townhouses and offers what Boardwalk calls “significant value-added potential.”
The property features large units and provides residents with low-density housing in growing Peel Region, just north of Toronto.
The community is establishing an operational presence in the Boardwalk area ahead of the completion of Tower 1 of the Trust’s $215 million Railroad 45 redevelopment in Brampton.
The mixed-use project, which is expected to come online in Q4 2022, is being built on the site of the former Dominion Skate Building, a heritage site that has been incorporated into the design.
The 25- and 27-story tower development will contain 365 units ranging from 600 to 1,600 square feet when complete. There is also a townhouse element on the site.
The buildings will also contain approximately 10,700 square feet of retail space.
More rental activity
On the rental front, Boardwalk reported a slight increase in occupancy across its portfolio as of April 1, up to 95.8% from 95.4% a month earlier.
“After a slower January and the first two weeks of February, we saw a strong increase in rental traffic in March with higher occupancy and lower availability as we head into the strong spring rental season. “Boardwalk CEO and President Sam Kolias said in the statement. .
Year over year, occupied rents increased slightly from $1,189 in February 2021 to $1,206 in February 2022.
Inflation, however, drives up costs.
“Our team is committed to further optimizing our rentals and occupancy while finding innovative ways to best manage controllable operating costs during a period of high inflation,” he said.
“We expect higher non-controllable costs in the first quarter, such as utilities, due to a combination of colder weather in Western trust markets, an increase in the number of residents at home at the start of the Omicron variant and the cost of utilities inflation caused by energy shortages.
Boardwalk will release its first quarter 2022 financial results on May 9.
The trust was established in 1984 and as of December 31, 2021 owned over 200 properties, with over 33,000 residential units totaling over 28 million net leasable square feet.