Canada’s Most Iconic Office Complex

Cadillac Fairview has entered into a binding agreement to sell a 30% non-managing interest in the Toronto-Dominion Centre (TD Centre) to the Ontario Pension Board (OPB). TD Centre is Canada’s most iconic office complex, comprising approximately 4.5 million square feet of AAA office and retail space, spread over six towers in the heart of Toronto’s Financial District.

Concurrent with the partial sale of TD Centre, Cadillac Fairview has also agreed to sell OPB a 30% interest in an office development site at 16 York Street in Toronto. The proposed development will consist of a 32-storey Class A LEED® Platinum office tower with approximately 850,000 square feet of leasable area. “As the TD Centre is a cornerstone asset within Cadillac Fairview’s office portfolio, finding an appropriate co-investor was a critical consideration,” according to John Sullivan, President and CEO of Cadillac Fairview.

These transactions build on a strong partnership between Cadillac Fairview and OPB, who currently co-own two properties in downtown Toronto, RBC Centre and a development property at 156 Front Street West. “OPB is delighted to be acquiring an interest in a world-class asset with a world-class partner such as Cadillac Fairview,” said Mark Fuller, Ontario Pension Board President and CEO.  “This is a great opportunity to own a share of a landmark asset with quality tenants and is fully aligned with our strategy to increase our exposure to private market investments, such as real estate, private equity, and infrastructure, by partnering with leading institutions.”

TD Securities Inc. acted as exclusive financial advisor to Cadillac Fairview on these transactions, while Davies Ward Phillips & Vineberg LLP is acting as Cadillac Fairview’s legal advisor. CBRE Limited acted as Ontario Pension Board’s financial advisor, while Blake, Cassels & Graydon LLP is acting as OPB’s legal advisor. These transactions are subject to customary closing conditions and are expected to close on October 1, 2015.