PROREIT has completed its purchase a Montreal-area light-industrial building for $32.6 million.

The REIT said it has also sold two non-core Ottawa office properties. The three transactions total $70 million altogether.

The acquired 134,340-square-foot light-industrial building is located at 2945 André Avenue in Dorval, Que. The property is adjacent to Montreal Pierre Trudeau International Airport,

Montreal-based PROREIT said the price represents a going-in capitalization rate of approximately 6.76%.

The seller was not identified. The REIT financed the purchase through a new $21.2-million five-year first mortgage at a rate of 5.10% with the balance funded by proceeds from previously announced non-core property sales and a draw on available operating credit facilities.

The single-tenant, fully occupied building features a warehouse clear height of 24 to 27 feet, along with “an efficient loading configuration,” according to the news release.

PROREIT did not identify the tenant, but publicly available information shows that the property serves as the head office for KD Services, a national logistics company that caters to the health and beauty sector.

Meanwhile, the Ottawa office buildings fetched $26.6 million.

The properties are located at 2 Gurdwara Road and 1335 Carling Avenue. They comprise $94,000 square feet and $69,000 sf, respectively.

PROREIT’s portfolio now consists of 116 income-producing properties.

The REIT said its previously announced binding agreement to sell a non-core retail property in the secondary market of Lacombe, Alta., is now expected to close in the fourth quarter of 2024.

Photo: PROREIT