RioCan Buys Half of Retail Center for $23M

TORONTO-Locally based RioCan Real Estate Investment Trust has acquired a 50% interest in a 371,000-sf unenclosed retail property in Burlington, Ontario, at a cost of $23 million in cash and assumed debt. The acquisition puts the retail REIT into a 50-50 joint venture with the Canadian pension fund that owns the remaining 50% interest in the property.

Millcroft Shopping Centre is a 371,000-sf unenclosed retail property that was constructed about five years ago and is about 97% leased. RioCan, which assumed a $13.5-million mortgage as part of the acquisition price, will be the asset and property manager for the joint venture. All told, RioCan now has ownership interest in 169 properties across Canada.