Melcor Developments Ltd. Announces Commencement of Strategic Process.

EDMONTON, ALBERTA–(Marketwire – Jan. 8, 2013) – Melcor Developments Ltd. (“Melcor” or the “Company”) (TSX:MRD) today announced that it has commenced a strategic process to advance its business interests through the creation of a Real Estate Investment Trust (“REIT”) in which the Company would maintain a significant interest. The Company is considering vending a substantial portion of its income-producing assets into this new vehicle. This process would provide capital to the Company, and allow it to grow and continue to pursue numerous value creating opportunities in strong western Canadian economies. A Special Committee of independent Directors of the Board, Chaired by Gordon Clanachan, has been constituted to oversee the strategic process.

The Company cautions that the Board of Directors has not set any deadline for completing any transaction, and that any such strategy may, or may not, be executed. Accordingly, there can be no assurance that the Company will ultimately pursue, or complete, any transactions, and investors, or potential investors, should not trade based on this information.

The Company has engaged RBC Capital Markets and CIBC as its financial advisors and Bryan & Company LLP as its legal advisor with respect to this process.

Morguard North American REIT signs two deals in U.S. worth a total of US$633M.

MISSISSAUGA, Ont. – Morguard North American Residential Real Estate Investment Trust (TSX:MRG.UN) has signed a pair of deals worth a total of US$633 million to buy 6,474 apartments and townhouses in the United States.

Under the first deal, the trust will acquire a dozen apartment and townhome complexes including a total of 3,752 units in Dallas, Denver, Tampa, Fla., Raleigh, N.C., and Atlanta.

The second deal will see the trust buy a dozen apartment and townhome complexes including a total of 2,722 units in Pensacola, Fla., Mobile, Ala., and south-west Louisiana from Morguard Corp.

The trust said it will assume about US$400 million in mortgages and pay the rest using other available sources of funds.

“Given investors’ exceptionally strong interest in apartments, it was only a matter of time before that interest extended to brokerage firms that specialize in bringing buyers and sellers of apartment properties together, and perhaps providing them with financing at the same time.

In a deal that closed on the last day of 2012, Berkadia Commercial Mortgage acquired Phoenix-based Hendricks & Partners, a national multifamily sales brokerage firm with 37 offices in the U.S. Berkadia is a commercial real estate lender and special servicer that was formerly part of Capmark Financial and is now owned by Warren Buffett’s Berkshire Hathaway investment firm.”

View the full article HERE.

From the Globe and Mail:

H&R Retail Real Estate Investment Trust believes now is the time to take over Primaris Retail Real Estate Investment Trust, with Target Corp. about to kick off an invasion of Canada by foreign retailers, H&R’s CEO says.

By way of its bid, H&R is seeking to get bigger and stronger at a time when the mall ownership game is changing, Tom Hofstedter, the CEO of H&R, told analysts on a conference call Thursday morning.

In a note prior to the conference call, Royal Bank of Canada analyst Neil Downey wrote that executives at H&R would be under pressure Thursday to show investors how the firm would benefit from the takeover.

It appears that H&R is banking on the size of the merged businesses and organic income growth from Primaris’s portfolio, but “the story is complex, and at least initially, it will require some “selling” to the market,” Mr. Downey wrote.

Read more: http://www.theglobeandmail.com/globe-investor/hr-ceo-says-time-right-for-primaris-bid-as-target-invasion-looms/article7460599/

An 8-storey, 43-unit apartment building located at Alma and West 5th on the Westside of Vancouver has sold for $12,800,000, equivalent to a 2.9% cap rate and $298,000 per unit. The building was built in 1966. 2121 Alma Street had been listed for sale in November 2012.