Morguard Corporation and Morguard North American Residential REIT have agreed to invest $1 billion in a Canadian multi-suite residential portfolio owned by TD Asset Management.

Upon closing, the acquisition will give Morguard an approximate 20% interest in the $5-billion portfolio.

The companies said the investment covers 106 properties comprising more than 15,500 suites in major urban and suburban markets across Canada. The geographically diversified portfolio includes 36% of its assets in the Greater Toronto-Hamilton Area, 19% in Southwestern Ontario and 13% in Ottawa, with additional scale in Alberta (12%), Quebec (12%) and Nova Scotia (8%).

As part of the strategic relationship, Morguard will assume property-management responsibilities for the portfolio, creating what it described as a significant institutional-management mandate. The partnership includes joint asset-management oversight across the portfolio.

“This transaction represents significant growth in Morguard’s residential services, enabled by our depth of experience and success as an asset and property manager for institutional-quality multi-suite residential communities,” said Angela Sahi, president and CEO of Morguard. “We are advancing our owner-operator model, demonstrating our alignment with partners and strength in execution, and building upon our existing relationship with TDAM.”

The portfolio includes a select number of newly delivered and in-progress rental developments, which the company said provide embedded growth and support ongoing asset modernization.

“The multi-unit residential sector is a strategic allocation within our diversified open-ended real estate fund, and this transaction positions the portfolio well to redeploy capital into exciting value-add and development projects,” said Andrew Croll, managing director and head of global real estate investments at TDAM. “Morguard brings operational expertise and a long track record in this asset class, supporting both stability and future growth across the TDAM real estate platform. Our priority is to ensure this transition is seamless for all stakeholders while continuing to deliver durable value for our clients.”

The transaction is expected to close in one tranche in the third quarter of 2026, subject to approvals and due diligence. It will be financed through a combination of vendor financing, assumed mortgages, cash on hand and short-term borrowings.

Morguard said the deal will be immediately accretive to both it and Morguard Residential REIT, significantly expanding its third-party managed residential portfolio. The acquisition will also increase Morguard’s presence in Montreal, Calgary and Edmonton, and add new exposure to Halifax.

Beginning in the second quarter of 2026, Morguard and TDAM plan to implement a structured transition focused on operational continuity, employee integration and maintaining a consistent resident experience.

Following the transaction, Morguard’s owned and managed assets — including its fully owned investment management platform — will total approximately $24 billion. Its residential platform will expand to 162 properties and 33,300 suites across Canada and the United States, positioning the asset class as a core growth driver within its diversified real estate platform, which also includes office, industrial, retail and hotel properties.

Photo: Morguard