Chartwell Retirement Residences has agreed to acquire a 30% ownership interest in Fengate Asset Management’s Seasons Retirement Communities portfolio for $382.5 million.

The portfolio comprises 23 seniors housing communities with 2,943 suites in Ontario, British Columbia and Alberta. Fengate will retain a 70% ownership interest in the joint-venture. Chartwell said the transaction is expected to close by the end of the second quarter, subject to customary conditions and approvals. The purchase price is expected to be financed through the assumption of approximately $195.8 million in existing mortgages, with the balance paid in cash.

“This transaction reflects the continued execution of our disciplined investment strategy focused on acquiring high-quality residences in core markets with strong demographic profiles and long-term demand fundamentals,” said Jonathan Boulakia, Chartwell’s chief investment officera. “The transaction also provides us with meaningful upside while managing capital deployment prudently with a 30% investment. The portfolio’s embedded lease-up and operational optimization opportunities, combined with Chartwell’s proven operating platform and expertise, position us to deliver strong risk-adjusted returns for our unitholders.

“In addition, the partnership with Fengate, a leading real estate investment and development firm, represents an opportunity to align with a new development partner in Ontario for future growth and brings together two experienced organizations with a shared commitment to the long-term stewardship of retirement communities.”

Chartwell said the agreement also provides an opportunity to acquire an additional 20% interest in the portfolio if certain milestones are met and includes options to participate in future Fengate retirement residence developments in Ontario.

Meanwhile, Chartwell has a number of other newly proposed acquisitions in progress.

In early May, the company entered into an agreement to sell Chartwell Ballycliffe LTC in Ajax, Ont., for $68.3 million, with closing expected in the fourth quarter of 2026.

In April, Chartwell agreed to sell nine non-core Ontario properties for $117.9 million. Net proceeds are expected to total $82.1 million after transaction costs and mortgage repayments. The transaction is expected to close in the second quarter. The company also signed a definitive agreement to acquire Palermo Village Retirement Residence, a 116-suite property in Oakville, Ont., for $43 million. The acquisition is expected to close in the second quarter. At the beginning of the month, the company completed the acquisition of six seniors housing communities with 1,024 suites in London, Waterloo and Mississauga, Ont., for $416.2 million. (That price was down from the $432 million citied when the sale agreement was announced.) The deal included the assumption of $229.2 million in mortgages. Chartwell also entered into a forward-purchase agreement to acquire 29 townhomes under development in London for $15.8 million, with closing anticipated in the first quarter of 2027.

In March, Chartwell completed the sale of a non-core property in Ottawa for $49 million. Earlier that month, the company acquired the remaining 15% ownership interest in the 421-suite Chartwell L’Unique retirement residence in Saint-Eustache, Que., from Batimo for $18.8 million, giving Chartwell full ownership of the property.

Pictured: Seasons Arbutus Walk seniors home in Vancouver.

Photo: Fengate/Seasons