Canadian enclosed shopping centre real estate investment trust (REIT) Primaris Real Estate Investment Trust is acquiring Lime Ridge Mall in a $416m (€360m) deal from Cadillac Fairview.
Primaris REIT said the $416m offer for the mall in Hamilton, Ontario comprises $235m in cash, $81m in Series A units of the trust and $100m in 6% exchangeable preferred units from a new subsidiary limited partnership.
The 793,000sqft Lime Ridge Mall, located on 65 acres of land, will become Primaris REIT’s fourth largest shopping centre by all-store sales volume.
Patrick Sullivan, Primaris REIT’s president and COO, said: ”Lime Ridge Mall is a market leading regional enclosed shopping centre with all of the property characteristics Primaris is targeting with its growth strategy. The mall produces over $251m in annual sales, $841 in sales per square foot, and is located in a large and growing market, with access to mass transit.
”There is significant opportunity for growth at this centre including leasing up vacant and temporarily tenanted space, and optimising former department store space.”
Rags Davloor, Primaris REIT’s CFO, said: “Acquiring this high quality asset, while maintaining industry leading credit metrics, is a testament to the strategic advantages provided by Primaris’ differentiated financial model.
“Our commitment to maintain an extremely well capitalised balance sheet positions Primaris as a highly credible transaction counterparty, enabling continued growth.”
Alex Avery, Primaris REIT’s CEO, said with the acquisition of Lime Ridge Mall, Primaris’ 2025 acquisitions total $1bn of “leading enclosed shopping centres, exceeding our three-year target”.
Avery added: “We are improving the overall quality of our enclosed shopping centre portfolio, driving the portfolio’s annual same-store sales productivity from $768 per sqft as at 31 March 2025 to $774 per sqft on a proforma basis.
“The concurrent equity offering will increase Primaris’ public float and enhance the trading liquidity of Primaris’ units, to the benefit of all unitholders.”
To read the latest IPE Real Assets magazine click here.
