NYX Capital Corp. has acquired a 22-acre infill industrial site in Mississauga from Truscan Property Corporation for $40.695 million.
The site is located along Tahoe Boulevard south of Eglinton Avenue, near Etobicoke Creek, in the southwest quadrant of Mississauga’s Airport Corporate Centre district.
It’s comprised of three contiguous parcels, of which 19.4 acres are employment zone lands. The balance of the property is a wood lot designated as a G2 Greenland Zone that’s excluded from the proposed developable area.
The property was originally marketed by TD Cornerstone Commercial Realty Inc. in the spring of 2022. It had been under contract to an institutional investor before the firm dropped out in the second half of the year, NYX president and chief executive officer Yashar Fatehi told RENX.
While many investors and developers were being cautious at the time, NYX put the property under contract, did its due diligence and went through the difficult process of trying to obtain financing before finding the right partner.
The timing was fortuitous for the Toronto-based private equity real estate investment firm.
“If this property came to market right now, I bet there would be no shortage of buyers and there would be a bidding war over it,” Fatehi said. “People are back in the market and trying to do deals.”
NYX’s plans for the site
NYX needs to submit a site plan application and have it approved before it can move forward with development. Fatehi expects that to take close to two years.
NYX plans to build three industrial buildings totalling about 300,000 square feet on the site.
They’ll have 40-foot clear heights, a small office component and good dock ratios while being able to accommodate single lessees or multiple tenants in smaller spaces depending on leasing interest, according to Fatehi.
Development will likely take place in phases and the first building could be constructed on a speculative basis, though Fatehi said NYX is already receiving interest from potential tenants looking to pre-lease.
He’s hoping the first building will come online in 2026.
Site is in a growth area
The site is in the greater “Airport Mega Zone,” which forms the second-largest employment concentration in Canada after Toronto’s downtown core with more than 300,000 workers.
Restaurants, hotel and conference facilities, and entertainment options are all within a short drive.
The Greater Toronto Airports Authority estimates the area could ultimately provide 700,000 jobs and generate 8.5 per cent of the province’s gross domestic product.
The site offers easy access to:
- 400-series highways;
- Mississauga’s bus rapid transit service, which connects to Toronto Transit Commission, GO Transit and Union Pearson Express routes;
- two CN intermodal rail facilities;
- and Toronto Pearson Airport.
More activity to come from NYX
NYX owns, manages and invests in commercial, residential, industrial, self-storage, film studio and fitness assets. It also invests in operating entities when significant real estate opportunities are attached.
The company had more than 4.1 million square feet of planned, managed and developed assets and more than $1 billion of projects under management and development at the end of 2022.
Fatehi said NYX is looking for more acquisitions, but nothing is sufficiently far along at this point for him to comment on. The same applies for development and disposition news, he added.