The Equiton Apartment Fund has added two recently constructed apartment properties in the Guelph and Kitchener areas of Southwestern Ontario to its portfolio for $77.6 million.
In Guelph, URBN lofts is a modern rental residence with six stories, 93 units and 124 outdoor parking spots, located at 98 Farley Dr. in a popular city neighbourhood. The building was completed in April 2021.
Joseph’s Place is located at 208 Woolwich St. S., in the community of Breslau, just outside Kitchener. The luxury, fully accessible rental property comprises 78 “generously sized” units over four storeys. It also includes 114 parking spaces. The building was completed in November 2020.
The purchase price represents an average price of almost $454,000 per unit.
“We are pleased to be increasing our presence in these two communities and to be able to offer residents upscale, maintenance-free living with exceptional amenities.” said Jason Roque, Equiton’s founder and CEO, in Wednesday’s announcement. “These purchases are also great for our investors.
“As newer buildings, they will provide stable cash flows and will require lower expenditures for capital improvements and maintenance.”
Equiton Apartment Fund
Both communities are just west of the Greater Toronto Area.
Both buildings offer condo-style amenities including a fitness room, social room, lockers and an outdoor BBQ area. The apartments feature modern finishes, stainless steel appliances, stone countertops, in-suite laundry, balconies and ample natural light.
Equiton’s Apartment Fund comprises 28 properties in 14 Southern Ontario communities with a total unit count of 1,964. The fund owns other properties in Guelph and Kitchener, so these properties will allow for operational and management efficiencies.
The fund’s strategy is to acquire existing apartment buildings and select new multiresidential developments and apply its expertise and management approach create value for investors.
Equiton Living will manage the properties.
Recent Ottawa acquisition
Burlington-based Equiton has also been active this year with its Residential Income Fund, recently acquiring a 75 per cent stake in a three-tower residential development in Ottawa for $30 million.
That project, on which it will partner with Main and Main, is in the city’s Riverain District along the Rideau River at the edge of downtown Ottawa.
It is planned 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.
The partners hope to start construction this summer.
The Residential Income Fund held $527 million in assets under management at the end of 2021, up 86 per cent year-over-year from $284 million.