MISSISSAUGA, ON, Aug. 18, 2017 /CNW/ - Morguard Corporation ("Morguard") (TSX: MRC), a fully integrated North American real estate company, announced today that the company has purchased the Argus Corporate Centre, a five-storey Class A suburban office building located at 586 Argus Road in Oakville, ON. The acquisition was completed for a purchase price of $18.5 million, excluding taxes and transaction costs.
"An excellent location and a solid existing tenant base make the Argus Corporate Centre a valuable acquisition for Morguard," said K. Rai Sahi, Chairman and Chief Executive Officer of Morguard. "This acquisition supports our long-term strategy of investing in diversified, high-quality assets in North America that will provide a steady cash flow and a solid return on investment."
The property is conveniently located within 200 meters of the Oakville GO and VIA Rail transit hub and offers easy access to the QEW/403, 410, 407 and 401 highways. With high visual exposure to the QEW, the property also provides excellent signage and promotional opportunities for tenants.
The Argus Corporate Centre is located in the heart of Midtown Oakville, a designated urban growth centre under the development plan of the Province of Ontario. The City of Oakville is targeting residential and commercial intensification as well as significant transit and infrastructure investment in the neighbourhood immediately surrounding the property. Under the plan, the Argus Corporate Centre will be re-zoned to have the highest commercial density within the development area.
"Investment from the City of Oakville and the Province of Ontario in the infrastructure and transit surrounding the property makes the Argus Corporate Centre a key strategic acquisition," said Sahi. "The property's central location within the Midtown Oakville development zone provides excellent long-term growth and development potential for Morguard."
The 74,600 square foot building is currently 100% occupied by seven tenants in diverse industries including video game development, independent medical services, software development and legal services. The proposed residential intensification and infrastructure improvements planned as part of the Midtown Oakville development, as well as the proximity to Sheridan College, will continue to make the property highly attractive to tenants.
Morguard Corporation is a major North American real estate company. It has extensive retail, office, industrial, multi–suite residential, and hotel holdings owned directly, or through its investment in Morguard REIT (TSX: MRT.UN), Morguard North American Residential REIT (TSX: MRG.UN) and Temple Hotels Inc. (TSX:TPH). Morguard also provides real estate management services to institutional and other investors. Morguard's owned and managed portfolio of assets is valued at $21.9 billion.
SOURCE Morguard Corporation
For further information: K. Rai Sahi, Chairman and Chief Executive Officer, 905-281-3800; Paul Miatello, Chief Financial Officer, 905-281-3800 or email [email protected]