Allied to acquire Dominion Building in Vancouver

0

TORONTO, Oct. 12, 2021 (GLOBE NEWSWIRE) – Allied Properties Real Estate Investment Trust (“Allied”) (TSX: AP.UN) announced today that it will acquire the Dominion Building in Vancouver from Army & Navy Properties.

The Dominion Building is designated a Class A heritage structure, as is the Allied Sun Tower just to the southeast. Completed in 1910 and known as the Dominion Trust Building, it was for a brief period the tallest commercial building in the British Empire, rising 53 meters over 13 floors. When it was completed in 1912, the Sun Tower (originally known as the World Building after The Vancouver World newspaper) replaced the Dominion Trust Building, rising 82 meters over 17 floors.

The Dominion Trust, which would later become the Dominion Bank, completed the building in the midst of a remarkable economic boom. It was part of a larger effort to make Vancouver the financial center of Western Canada. Like many bank buildings that followed, there was a large bank room at the base spanning the entire lot and somewhat smaller floors above for front and rear use. Because the terrain was trapezoidal, the architect designed the building with “flat iron” proportions. The “flat” part faces southeast (towards Sun Tower) at the intersection of West Hastings and Cambie streets.

Samuel Cohen, founder of Army & Navy Department Stores, acquired the Dominion Building in 1943, and the Cohen family has operated it ever since with sensitivity and commitment to the needs and evolution of the surrounding Downtown Eastside. During this period, the Dominion Building has remained a visual, economic and social landmark in downtown Vancouver.

“We will be a worthy successor owner of Army & Navy Properties in terms of sensitivity and commitment to downtown Vancouver,” said Michael Emory, President and CEO of Allied. “Due to its location, building characteristics and decades of operating history, the Dominion Building will allow us to accommodate smaller users who require more flexible rental terms. This will be especially useful when we reconfigure other buildings with larger floor plates to accommodate larger users with longer term needs. “

Technology, Advertising, Media and Information (TAMI) users are propelling Vancouver’s office market to new heights. They also have a clear preference for the downtown Vancouver area east of Granville Street, which includes Allied’s entire portfolio in Vancouver. As in other major Canadian cities, TAMI users in Vancouver prefer to be in mixed-use, high-convenience urban neighborhoods. The Dominion Building is located at the east end of Gastown and is equidistant from The Landing in Allied (375 Water Street across Gastown) and Sun Tower in Allied (128 West Pender Street in Crosstown ). It includes approximately 80,000 square feet of leasable area.

Allied is first and foremost a commercial real estate operating platform. Its mission is to provide a distinctive urban workspace and dense networked Urban Data Center (CDU) space to the widest possible range of knowledge-based organizations in major cities across Canada. More than anything else, Allied is defined by the organizations it serves and the humanistic values ​​it embraces. Its focus on investing and operating has evolved in response to the needs expressed by knowledge-based organizations over the past decades and will continue to do so in the future.

Allied expects the Dominion Building acquisition to be finalized in mid-November 2021, subject to customary conditions. Allied plans to finance the acquisition with its short-term operating line of credit. On this basis, Allied expects the Acquisition to generate annual FFOs and AFFOs per Unit from the outset.

About the Allies

Allied is a leading owner, manager and developer of (i) distinctive urban workspaces in major cities across Canada and (ii) dense network urban data centers in Toronto that form Canada’s hub for global connectivity. Allied’s business provides knowledge-based organizations with distinctive urban environments for creativity and connectivity.

Warnings

This press release may contain forward-looking statements regarding (i) Allied, (ii) its operations, strategy, performance and financial condition and (iii) the expected impact of the transactions contemplated in this press release. These statements can generally be identified by the use of forward-looking words such as “may”, “will”, “expect”, “estimate”, “anticipate”, “intend”, “believe” or “Continue” or the negative of these or similar variants. The actual results and performance of Allied mentioned in this document could differ materially from those expressed or implied by such statements. These statements are subject in their entirety to the inherent risks and uncertainties surrounding future expectations, including the fact that the transaction contemplated herein is completed and has the expected impact on funding and earnings. Important factors that could cause actual results to differ materially from expectations include, but are not limited to, general economic and market conditions, competition, changes in government regulations and the factors described under “Risk Factors”. In Allied’s Annual Information Form, which is available at www. .sedar.com. These cautionary statements qualify all forward-looking statements attributable to Allied and to persons acting on Allied’s behalf. Unless otherwise indicated, all forward-looking statements speak only as of the date of this press release, and the parties are under no obligation to update such statements.

For more information please contact:

Michael Emory, President and CEO
(416) 977-0643
[email protected]

Cecilia Williams, Executive Vice President and Chief Financial Officer
(416) 977-9002
[email protected]

Leave A Reply

Your email address will not be published.