Boardwalk Real Estate Investment Trust (BEI-UN-T) has an agreement to acquire the Central Parc 1, 2 and 3 apartment towers in Laval, in Greater Montreal, and has divested two older apartment properties in Edmonton for a total of $273 million, the trust announced Wednesday morning.

The Edmonton divestments are valued at $24.1 million while the Central Parc properties were acquired for $249 million (all amounts exclude transaction and closing costs).

Central Parc consists of three concrete towers totalling 541 suites built in phases from 2019 to 2022 by Edmonton-based Saroukian Group. They are part of a multi-phased multifamily development that was designed to accommodate a total of six towers at full build-out.

The purchase price represents approximately $460,000 per suite and a going-in cap rate of 4.5 per cent. In the announcement, Boardwalk states the communities offer “best-in-class amenities and finishes, as well as spacious layouts with an average suite size of 942 square feet.” 

The project targets a broad demographic with one, two and three-bedroom layouts. 

Boardwalk's "upcycling" capital and its portfolio

“This addition marks further progress on our capital upcycling initiatives and significantly expands our presence in Greater Montreal, a desirable market for the trust that continues to exhibit strength, resilience and relative affordability,” Sam Kolias, Boardwalk’s chairman and chief executive officer, said in the announcement. “This community allows us to offer our resident members unmatched affordable luxury at an average in-place rent of approximately $2,225, with a unique product offering for the surrounding area.”

On closing, Boardwalk will assume CMHC mortgages totaling $178.2 million with a weighted-average interest rate of 1.56 per cent and a weighted average remaining term of 3.2 years. Central Parc 2 and 3 were financed through CMHC's Rental Construction Financing Initiative and the trust will maintain the in-place affordability criteria on 91 units. 

The acquisition of Central Parc 1, 2, and 3 is anticipated to close in late September.

“Central Parc's best-in-class amenity package, spacious suite layouts and views represent an outstanding value proposition for residents and unitholders,” Kolias said in the announcement. “The trust is pleased to add these exceptional communities to its portfolio on an accretive basis to FFO per unit and at a meaningful discount to replacement cost. We are proud to continue our partnership with CMHC in preserving affordability in our markets through the assumption of the in-place debt on these communities.”

Avison Young represented Saroukian Group in the transaction. AY's Quebec capital markets principal, executive vice-president Mark Sinnett called the property "one of the largest urban green multifamily complexes in the country."

"This development project is fully stabilized with cash-flow and a proven concept, making it a terrific investment opportunity – and we congratulate the buyers on their excellent decision that will position them for a bright future in Laval’s multifamily market,” Sinnett added.

Two dispositions in Edmonton

The dispositions involve the trust’s Westmoreland Apartments and Lorelei House properties, totaling 134 housing units. The price equates to approximately $180,000 per suite and an exit cap rate of approximately 5.6 per cent. 

The communities were sold to a local private buyer and were put under contract in Q2 2025. The existing mortgages have an aggregate balance remaining of $8.6 million at a weighted average interest rate of three per cent. 

The sale is scheduled to close later in September.

“The trust continues to take a balanced, opportunistic approach to use of proceeds from dispositions and other capital sources, between attractive, unique acquisitions and reinvestment in the trust's own units through its normal course issuer bid, while maintaining a strong balance sheet over time," Kolias said in the announcement.

The trust forecasts funds from operations per unit will increase by $0.02, which was not included in its Q2 guidance update. For the full year in 2026, Boardwalk now anticipates its FFO per unit will increase by approximately $0.07.

Boardwalk REIT is based in Calgary, and owns properties in more than 200 communities, with approximately 34,000 residential suites totalling over 29 million net rentable square feet, 

The trust operates three tiered and distinct brands: Boardwalk Living, Boardwalk Communities and Boardwalk Lifestyle, catering to a large diverse demographic.