Canadian real estate private equity firm Forgestone Capital Management has become a partner in the Tsawwassen Commons retail centre, a new shopping destination in British Columbia’s Lower Mainland. Forgestone acquired a 50 percent interest in the project, joining GVest Private Equity LP, an affiliate of Gracorp Capital Advisors, as an equal partner. The deal’s financial terms were not disclosed. Ivanhoé Cambridge, the real estate investment arm of the Caisse de dépôt et placement du Québec, is currently focused on the adjacent Tsawwassen Mills project. Both projects will be completed in 2016.
New equity partner another step forward in the development of Tsawwassen Commons Retail Centre
VANCOUVER, Sept. 11, 2014 /CNW/ – Today marks another positive step forward for the Tsawwassen Commons Retail Centre with the announcement of a new equity partner, Forgestone Capital Management LP (Forgestone).
Forgestone has acquired a 50 per cent interest in the project and now joins GVest Private Equity LP (an investment fund managed by Gracorp) as equal partners in the project. PDG Investments is developing Tsawwassen Commons and managing the leasing of the project with FORM Retail Advisors, a Vancouver-based retail broker. MacKenzie•Goulais Inc. has been retained by the partnership as retail advisors overseeing the leasing program. The project is already 50 per cent pre-leased, with 78 per cent of the retail area under letter of intent or offers to lease.
In making this announcement, GVest’s President Tim Heavenor stated that “the addition of Forgestone Capital as GVest’s 50% equity partner, together with PDG Investments as the development partner, will help ensure the success of this exciting new retail project.”
Located in Tsawwassen on 52 acres of Tsawwassen First Nation lands on Highway 17, between the intersections of 48th and 52nd Streets, Tsawwassen Commons will provide 51,000 m2 (550,000 ft2) of outdoor retail space and will include a quality blend of national, regional and independent retailers, restaurants and financial services. Feature retailers include Walmart and RONA.
Construction of Tsawwassen Commons began in January 2014 with pre-loading of soil. Tsawwassen Commons is being developed adjacent to Ivanhoé Cambridge’s 1.2 million ft2 Tsawwassen Mills, which will have 16 major anchor retailers, smaller retail shops, a 1,100 seat food court, restaurants and retail kiosks. The Tsawwassen Mills project will be modelled on the successful CrossIron Mills and Vaughan Mills in the Greater Calgary and Greater Toronto areas.
Tsawwassen Commons and Tsawwassen Mills will be completed in spring 2016 and will become one of the Lower Mainland’s largest shopping destinations.
About GVest Private Equity LP: GVest Private Equity LP is a privately owned investment fund, where the majority of investors are employees of Graham Group (“Graham”). Graham is one of Canada’s top five construction companies, and has been recognized as one of Canada’s Best Managed Companies and Top Employers. GVest is managed by Gracorp Capital Advisors, a wholly owned subsidiary of Graham. Gracorp is an investment and asset manager and a real estate and infrastructure developer.
About Forgestone: Forgestone Capital Management LP is a private equity firm that invests in real estate development, income-producing properties and debt placement within major markets across Canada.
About PDG Investments: Property Development Group (“PDG”) is Western Canada’s preeminent shopping centre development company. Headquartered in Vancouver, British Columbia, PDG is currently developing in excess of 1.5 million square feet of premium retail projects.
SOURCE Forgestone Capital Management LP
For further information: www.tsawwassencommons.ca; http:pdginvestments.com/category/current-projects/; GVest PE and Gracorp – Tim Heavener, President, 403-570-5008; Forgestone – Trevor Blakely, CEO, 416-477-8955; PDG – Lawrence Rank, Founding Partner, Chairman, 604-699-3591; FORM Retail – Derick Fluker, Principal, 604-638-2125; MacKenzie•Goulais Inc. – Alan MacKenzie, Founder & Co-Chair, 416-920-1386 x 223
Photo courtesy of Ivanhoé Cambridge