Tricon Residential shareholders have approved U.S. investment giant Blackstone’s proposed US$3.5-billion acquisition of the Canadian company.

Shareholders representing 99.3% of Toronto-based Tricon’s common shares voted in favour of the deal, the company announced. A plan of arrangement requires two-thirds of shareholder support, based on the number of shares outstanding.

The shareholder support comes after independent proxy advisory firms Institutional Shareholder Services and Glass Lewis supported the purchase and recommended that shareholders also back the transaction. Tricon’s board also recommended that shareholders accept the deal.

The company intends to seek final approval from the Ontario Superior Court of Justice on Friday. Subject to closing conditions, the transaction is expected to be completed in the second quarter of 2024.

The deal calls for Blackstone Real Estate Partners X and Blackstone Real Estate Income Trust, Inc. (BREIT) to acquire all outstanding common shares of Toronto-based Tricon for US$11.25 (approximately C$15.17) per common share in cash.

Blackstone intends to take Tricon private with its stock being delisted from the New York and Toronto stock exchanges.

Upon the deal’s completion, BREIT will maintain its approximately 11% ownership stake in Tricon. 

Founded in 1988, Tricon ranks among Toronto’s largest rental apartment owners. The company has US$2.5 billion of apartment buildings under development in the Ontario capital.

Most of Tricon’s assets are located in the U.S. All of the firm’s Canadian assets are based in Toronto. The company’s Canadian multi-family development platform is building approximately 5,500 market-rate and affordable multi-family rental apartments.

The Canadian portfolio includes retail and office assets within mixed-use properties that include residential components.

Pictured: Tricon’s Canary Landing property in Toronto