The Burlington GO Lands property, located just west of Toronto. (Courtesy InterRent)

Brookfield Property Group has joined a partnership with InterRent REIT and CLV Group to develop its first Canadian, multi-family-anchored, mixed-use project on the Burlington GO Lands in the city just outside Toronto.

The joint venture was announced on Tuesday. InterRent (IIP.UN-T), CLV and Brookfield (BPY.UN-T) will develop an 8.5-acre site on three land parcels along Fairview Street between Brant Street and Guelph Line which have been acquired for approximately $65 million.

“The formation of this joint venture between InterRent, Brookfield, and CLV provides an amazing opportunity to combine the experience and resources of three best-in-class real estate entities in developing this unique, ideally located site,” said Mike McGahan, chief executive officer of InterRent, in a release. “It is very rare to find a prime development site of this size, on transit, and with such complementary zoning permissions.”

Brookfield will own 50 per cent of the development. InterRent will own 25 per cent and will provide property management and residential leasing services, including lease-up, to the project. The remaining quarter share will be owned by CLV, which will provide planning, entitlement and development management services.

GO Lands slated for high density

The site is contained within the Burlington GO Mobility Hub Secondary Plan, recognized by both the provincial and regional governments as a high-priority growth area. The plan allows for high-density, mixed-use development.

The development is currently in the planning phase. Construction is expected to commence once approvals are in place.

“Our investment into this land assembly further demonstrates our commitment to developing newly built residential apartments as part of our growth strategy to position the REIT for the future with a best-in-class portfolio for our unitholders. It will provide a pipeline of new supply for years to come.” McGahan said in the release. “We are incredibly pleased with finding a development site with this profile, and with the newly formed, joint venture partnership.”

The multi-phase development will be designed with a focus on urban lifestyle and will include a full array of residential, retail and amenity spaces to create what the developers call “a thriving community”.

Direct access to downtown Toronto

The site features access to the GO train commuter rail system with direct access to downtown Toronto, major highways including Hwy. 403/Queen Elizabeth Way, and existing retail amenities in Burlington.

“Brookfield is extremely pleased to be partnering with InterRent and CLV on its first multi-family-anchored, mixed-use development in Canada,” said Ashley Lawrence, head of Canadian real estate for Brookfield, in the release. “Each partner brings a wealth of experience in different but complementary areas of expertise that we believe will come together to create a vibrant mixed-use site that will mesh into the fabric of Burlington.”

Over a period of several years, CLV sourced and tied up the parcels making up the land assembly. The first parcel was acquired by CLV’s development arm, which then began working through the planning and entitlement processes.

As InterRent developed sufficient size and scale to bring a measured amount of development onto its balance sheet, CLV assigned its position on the second parcel, at cost, to InterRent.

The finalization of the joint venture agreement between all three parties coincided with the closing of the third parcel of land.

About InterRent, CLV, Brookfield

Ottawa-based InterRent REIT is a growth-oriented REIT focused on the acquisition, development and ownership of multi-residential properties. As of April, the trust owned approximately 8,800 units focused in Ontario and Quebec. Its portfolio value is estimated at $1.7B. 

InterRent’s strategy is to expand its portfolio, primarily within markets that have exhibited stable market vacancies, sufficient suites available to attain the critical mass necessary to implement an efficient portfolio management structure and, offer opportunities for accretive acquisitions.

Brookfield is one of the world’s largest investors in real estate, with a wealth of development and investment experience across multiple sectors.

The company and its affiliates own and/or operate more than 600 properties around the world, with a further 28 sites currently under development. Among its portfolio are about 175 retail properties.

CLV has 45 years of experience in the industry and has been involved in over $5 billion worth of real estate activities. From heritage-styled apartments to amenity-filled high-rises and family-oriented townhomes, CLV Group has over 10,000 rental accommodations.

Its range of services include: residential rentals, real estate brokerage, property management, financial services, and construction and development.