Jul 6 2013
Allied Properties REIT announced today that it has entered into a joint venture with TELUS and Westbank to develop TELUS Sky on the northeast corner of 7th Avenue SW and Centre Street SW.
Designed to a LEED Platinum standard, the development will be comprised of approximately 430,000 square feet of office space, 275,000 square feet of rental apartments, 15,000 square feet of retail space and 285 underground parking spaces. TELUS is expected to lease approximately 155,000 square feet of space in the office component of the development.
Allied will contribute its property at 100 - 7th Avenue SW to the joint venture, and TELUS will contribute its adjacent property at 114 – 7th Avenue SW. This is expected to occur in June of 2014. Each of TELUS, Westbank and Allied will have an undivided one-third interest in the joint venture.
Westbank will act as development manager. Bjarke Ingels Group (BIG) and DIALOG have been retained as architects for the development. Westbank and the architects are working toward obtaining the necessary municipal approvals. The joint venture expects to commence construction in July of 2014 and to complete the development in 2017.
Westbank and Allied will provide property management and asset management services, respectively, to the joint venture. They may, with a view to optimizing efficiency for the joint venture, reallocate services amongst themselves with corresponding reallocation of fees.
“This is yet another example of how value-creation opportunities arise from owning underutilized sites in the urban areas of major Canadian cities,” said Michael Emory, President & CEO. “Not only are we excited about the prospect of creating value for our unitholders, we consider it a privilege to be collaborating with two outstanding Canadian organizations, TELUS and Westbank.”
Source: http://www.alliedreit.com/