The partnership includes the Ontario Municipal Employees Retirement System and the Teachers Insurance and Annuity Association - College Retirement Equities Fund group of companies, better known as OMERS and TIAA-CREF. The business of the partnership is to acquire under-performing shopping centers in Canada that have the potential for significant value-added, redevelopment or repositioning opportunities and then to dispose of these assets over a period of years. The partners have committed to invest $200 million which, when taken together with third-party debt, enable the partnership to invest more than $500 million in targeted investments.

Parkway Mall is located at the intersection of Ellesmere Road and Victoria Park Avenue, two major arterial roads in Toronto. The property is anchored by a Dominion supermarket and Zellers, with other national tenants including Shoppers Drug Mart, Liquor Control Board of Ontario, Home Hardware, TD Canada Trust and Canadian Imperial Bank of Commerce. The $38-million purchase price includes the assumption of $22.2 million in debt.

"This property presents an excellent opportunity for RioCan to utilize its redevelopment and re-leasing expertise with existing and new tenants at a highly urban location," says RioCan president/CEO Edward Sonshine. "Discussions with all of the major tenants are already underway.