OFFICE MARKET REPORT | 4th QUARTER 2021
Investments
Over 550 real estate transactions across all categories of assets were closed in Montréal during the fourth quarter of 2021, for a sales volume of $2.8 billion, compared to $3.6 billion (673 transactions) for the third quarter. Investors’ appetite for the multi-residential segment remains strong. This segment still makes up a third of the total investments this quarter, at $970 million. The industrial market follows the same trend, with total transactions of $670 million during the fourth quarter, which represents 24% of the total sales volume. The 22 office transactions that closed during the fourth quarter only constitute 11% of the total transaction volume, or $320 million.
After the sale of 1000 De La Gauchetière to Groupe Mach and Groupe Petra during the third quarter, for $482 million, and the acquisition of 275 Viger East by Allied REIT for $74 million, another major tower, 600 De Maisonneuve West, has also changed hands. The purchaser, Groupe Petra, thus concluded the largest office acquisition of the fourth quarter for $195.5 million. Another major transaction in the last quarter of the year was the purchase by BTB REIT of two office buildings on Alfred-Nobel in Technoparc for $72 million.
It’s worth noting that the shareholders of Cominar REIT have approved the sale of the company for $5.7 billion to the consortium led by Canderel. Consequently, in early 2022, the assets owned by Cominar, the largest office and industrial building owner in Montréal, will be divided among Canderel, Groupe Mach and Blackstone.
