EDMONTON, ALBERTA-Aided by financing from GE Real Estate Canada, the Paramount Group has acquired a nine-story, 134,000-sf office building overlooking the Provincial Legislature complex. Located along 110th Street, Capital Centre has traded for nearly $35 million.

The subsidiary of Stamford, CT-based GE Capital Real Estate provided a $25-million loan for the class A property, a portion of which will be used to repair a parking garage used by tenants of Capital Centre. GE Real Estate director Cameron Grieve says the pedigree of the veteran Paramount Group combined with solid fundamentals in the city's economy enticed GE to make the commitment.

“The Edmonton office market has improved in recent months,” Grieve says, citing a rebound structured largely on the strength of the oil and natural gas industries that have become an integral piece of the Alberta economy. Vacancy rates in the past year have fallen into the single digits in Downtown Edmonton, Grieve reports, allowing office rents to double into the low $20 per sf range. Capital Centre also benefits from serving tenants related to the government activities of the legislature and other agencies.