Canada’s Altus Group has agreed to purchase Houston-based Situs Group’s commercial real estate valuation business for US$225 million (C$310.1 million).

“Collectively we will expand the scope of valuation offers, including advanced analytics, that we deliver to clients,” Altus CEO Jim Hannon said in a news release.

The Situs valuation service offers independent valuation management solutions to some of the largest commercial real estate institutional investors in the U.S., including pension funds, insurance companies, investment managers, banks, and other CRE asset owners and investors.

Toronto-based Altus is a leading commercial real estate asset and fund intelligence firm that serves a global client base.

The deal, expected to close in the first half of 2024, will add 350 employees to the Altus talent base of approximately 3,000.

Altus said the purchase will be financed through cash on hand and borrowings from the company’s credit facilities, which will be expanded to up to C$725 million from up to C$550 million.