UrbanFund, a Toronto-based real estate development company and Takol Real Estate Inc, a Canadian private equity real estate-focused firm, have acquired a Brampton, Ontario-based industrial complex. The price of the transaction is $5.255 million. Both Urbanfund and Takol own a 50 percent stake in the property.
TORONTO, ONTARIO–(Marketwired – Dec. 16, 2016) – Mitchell Cohen, President and Chief Executive Officer of Urbanfund Corp. (TSX VENTURE:UFC) (“Urbanfund” or, the “Company”), announced today that, further to its November 28, 2016 press release, Urbanfund formed a joint venture with Takol Real Estate Inc. (“Takol”), an arm’s length real estate investment firm. The joint venture acquired an industrial complex, comprised of two buildings, located at 11-13 Edvac Drive in Brampton, Ontario near the intersection of Goreway Road and Williams Parkway, with the intention of renovating, converting to condominium title and selling units in the industrial complex.
The complex, acquired for a purchase price of $5.255 million (subject to customary closing adjustments), is comprised of two industrial buildings with 40 units, aggregating 64,000 square feet, and is currently 94.2% occupied.
Each of Urbanfund and Takol holds a 50% interest in the joint venture and each party invest $1.625 million (inclusive of purchase price deposits) with the remainder of the purchase price and funds to renovate the property provided by a private lender at a rate of 6% per annum. The debt is partial recourse, open after the ninth month of term, and provides for partial discharges.
“We are very excited about our new joint venture with Takol”, noted Mitchell Cohen. “We look forward to Takol providing Urbanfund with a pipeline of similar opportunities”.
ABOUT URBANFUND CORP.
Urbanfund Corp. is a Toronto-based real estate development and operating company. Urbanfund’s focus is to identify, evaluate and invest in real estate or real estate related projects. The Company’s assets are located in Belleville, Kitchener, London and Toronto, Ontario, Quebec City and Montreal, Quebec. The Company’s strategy going forward remains committed to seek accretive real estate or real estate-related opportunities.
ABOUT TAKOL REAL ESTATE INC.
Takol is a Canadian private equity company specializing in commercial real estate investment, development and re-development with national market expertise. The company is currently working on other opportunities in Ottawa, Ontario and Winnipeg, Manitoba.