Pure Industrial Real Estate Trust (PIRET) has bought a 60-acre development site in Vaughan, Ont. to construct a Fedex Ground facility dedicated to the GTA.
Along with Scannell Properties, which partnered on the $45 million purchase, PIRET plans to create a premier automated package and sorting facility for its confirmed 15-year leasee.
The $128-million, 422,433-square-foot centre will offer efficient delivery of domestic and international customs freight with funds from $92.0 million in construction financing and existing working capital.
Kevan Gorrie, president & co-chief executive officer of PIRET, referred to the transaction as “one of the most strategic and valuable industrial real estate developments ever in Canada.”
“This development adds significant scale and stable cash flow in PIRET’s largest market, and the company continues to enhance the quality of its cash flow while leveraging our platform and strategic relationships to deliver significant added value for our unitholders,” said Gorrie.
In addition, PIRET made another big announcement with the intention to acquire a 51 per cent interest in three bulk distribution and warehouse facilities in North Carolina for US$57 million.
PIRET will also manage the well-located assets where anchors include Proctor & Gamble, Sonoco Display and MWI Veterinarian Supply.