Allied Properties REIT has entered an agreement to purchase the Vintage I and II office properties in Calgary.

“This is one of the finest Class 1 office complexes in Calgary,” says Michael Emory, Allied Properties’ president & CEO. “In addition to being immediately accretive on acquisition, it will continue our consolidation of ownership in the urban core of Calgary in a meaningful way.”

Located on the north side of 11th Avenue S.W., between 4th and 1st Streets, the property is comprised of 210,430 square feet of gross leasable area (GLA) and 210 underground parking spaces.

Vintage I was built in 1924, and was renovated and expanded in 1999. Vintage II was built in 2004 on the eastern portion of the original site. The two buildings are nearly identical in appearance and are integrated through a two-storey entrance area.

With this property, Allied’s Calgary portfolio will increase to 15 properties, with a total of approximately 777,660 square feet of GLA.

Although 98.8 per cent leased to tenants consistent in character and quality with Allied’s tenant base, the occupancy of the property will decline to 76.6 per cent May 1. Most of the space to be vacated is in Vintage I, and is divided among four floors of 11,700 square feet each, which Allied considers very leasable given the desirability of the space.

The acquisition is scheduled to close March 2013, subject to customary conditions.