Behind The Deal: LaSalle Acquires Mission Shopping Centre
LaSalle Investment Management has acquired Mission shopping centre The Junction for $68.05M. SVP Edmund Lee, who oversees the firm's Western Canada portfolio, tells us what’s planned.
LaSalle bought the property from RioCan REIT and Kimco Realty, which are in the midst of unwinding a 15-year JV with a portfolio of 35 jointly owned properties, including The Junction, a 282,533 SF regional centre in the heart of Mission’s retail node. The plaza is 96% occupied, anchored by Save-On-Foods, London Drugs, Cineplex/Silvercity, Staples and Goodlife Fitness. Edmund notes there are “a ton of unrealized opportunities” that could be maximized through hands-on management. "It’s a great chance to revitalize the centre.”
The Junction has been in LaSalle's hands just over a month, but Edmund tells us his team had set initial goals for the property and “so far it looks like we’re achieving them.” A long-term renewal was completed with one anchor, and LaSalle is looking at refreshing the mall's mix. “We’re in various stages of negotiations with a number of retailers—local, national and international.” The centre's new owners have had “productive meetings” with Mission's mayor and staff, as well as its existing tenants, says Edmund, and “we’re looking forward to working with them to enhance the overall shopping experience.”
The mall was acquired for LaSalle’s flagship Canadian Income & Growth IV Fund, which invests in office, industrial, retail and multifamily properties in major Canadian markets. “It fits well with our diversification strategy by product and geography,” Edmund explains. LaSalle last year sold Victoria’s Bay Centre to Manulife, but he notes his team is in acquisition mode, with the Lower Mainland a key part of its growth focus. BC has been a target market since LaSalle started operations in Canada in 2000—in Vancouver, Edmund points out. “And we’d certainly love to buy more assets here.”