Date Closed

December 1, 2011

Lead Office

Toronto

Value

218.00 Million CAD

On December 1, 2011, RioCan Real Estate Investment Trust ("RioCan") and KingSett Real Estate Growth LP No. 4 ("KingSett") entered into a 50/50 joint venture and completed the acquisition of the Sheppard Centre from The Standard Life Assurance Company of Canada ("Standard Life") for a purchase price of C$218 million. Concurrent with the acquisition, RioCan and KingSett entered into a $135 million credit facility with The Toronto-Dominion Bank.

The Sheppard Centre is an urban, mixed-use centre located at Yonge Street and Sheppard Avenue in the North York region of Toronto, which is one of only three major commercial complexes within the entire Greater Toronto Area located directly upon two subway lines. The major tenants in the retail portion of the property are Cineplex, Winners, Shoppers Drug Mart, Bank of Montreal, CIBC, and TD Canada Trust. The major tenants in the office portion of the property are Bank of Montreal and Aon Hewitt.  The centre has three levels of underground parking that can accommodate more than 2,100 vehicles. Beyond the current retail and office uses, this property also has the potential for additional intensification through retail expansion and the addition of a residential/condominium component.

RioCan, headquartered in Toronto, Ontario, is Canada's largest real estate investment trust with a total capitalization of approximately $11.9 billion as at September 30, 2011.

KingSett Capital, headquartered in Toronto, Ontario, is a private equity real estate company.

McCarthy Tétrault LLP represented RioCan, with a team led by Bram Green.