Private equity firm Equiton is ending 2022 the same way it started the year – by expanding its apartment portfolio.
The Equiton Residential Income Fund Trust (The Apartment Fund) has acquired the Ravine Park Apartments, a multiresidential rental property in Toronto, for $50 million.
"We are truly excited to be expanding our presence in Toronto with the purchase of this building which brings us to $272 million in acquisitions for The Apartment Fund this year,” Jason Roque, Equiton’s founder and CEO, said in a statement.
“It's been an outstanding year for the fund and we'd like to thank our investors and partners for their continued support.”
The seven-storey, 169-unit building also features 183 combined indoor and outdoor parking spots.
It is located directly across from the future Eglinton LRT Ionview Station and within walking distance of the Kennedy subway and GO station.
Equiton's Apartment Fund now comprises 32 properties across 17 communities in two provinces, with a total of 2,548 residential units.
The fund specializes in acquiring multiresidential properties in Canada and increasing their value, targeting an annual net return of eight to 12 per cent.
Equiton was founded in 2015 and is based in Burlington – a Greater Toronto Area city between Toronto and Hamilton.
Equiton’s year in acquisitions
Ravine Park marks the seventh acquisition by The Apartment Fund this year, following closely on the purchase of Park Square Apartments, a high-rise rental tower in Edmonton, earlier in December for $23.75 million.
In 2022, the fund added over 755 apartment units, expanded beyond Ontario into Alberta and acquired a development project.
The Apartment Fund partnered with Toronto-based investor and developer Main and Main in January on a planned three-tower, multi-phase Riverain District development along the Rideau River at the edge of downtown Ottawa.
Equiton paid $30 million for a 75 per cent stake in the project, which is to include three residential towers of 22 to 32 storeys, plus a podium.
It will comprise over 790,000 square feet of residential space, housing approximately 1,000 upscale residential rental units plus amenities. The two-storey podium is to feature over 32,000 square feet of commercial space.
“It’s one of those places you can tell it’s going to be a lifestyle community,” Roque told RENX at the time. “It’s close to downtown but you are not coming out of your home onto a busy residential street with people walking by."
The project is estimated to cost $495 million, with occupancy planned to begin in 2024.
In March, Equiton acquired two apartment properties in the Guelph and Kitchener areas of Southwestern Ontario for $77.6 million, representing almost $454,000 per unit.
In Guelph, the URBN lofts at 98 Farley Dr. are comprised of six storeys, 93 units and 124 outdoor parking spots. It was completed in April 2021.
Meanwhile, Joseph’s Place is located at 208 Woolwich St. S., in the community of Breslau, just outside Kitchener.
It is made up of 78 “generously sized” units over four storeys and includes 114 parking spaces. The building was completed in November 2020.
In July, The Apartment Fund acquired the 15-storey, 153 unit Braemar Place in the GTA city of Brampton for $63.25 million.