On July 7, 2026, Axia Real Assets LP, a Toronto-based real estate investment firm, submitted a non-binding offer to acquire all outstanding units of Plaza Retail REIT at $5.28 per unit in cash, valuing the REIT at approximately $1.23 billion, including about $670 million in debt.
This offer represents a 20.8% premium over Plaza Retail's 90-day volume-weighted average trading price and a 19.5% premium over its closing price on June 8, 2026.
In response, Plaza Retail REIT formed a special committee of independent trustees to evaluate the proposal and other strategic alternatives, aiming to determine the best course of action for unitholders.
Morguard Corporation, Plaza's largest unitholder with approximately 15.3% ownership, supports the proposal and is prepared to vote its units in favor if the transaction proceeds to unitholder approval.
Axia's offer is fully financed and not subject to any financing or due diligence conditions, with committed financing from a Canadian Schedule I bank.
This proposed acquisition underscores the growing interest in Canadian retail real estate assets, particularly those anchored by grocery stores, as private capital seeks to capitalize on perceived undervaluations in the public REIT market.
The special committee's review is ongoing, and no assurance can be given that the proposal will result in a transaction.
Unitholders are advised to await further communications from the special committee regarding the evaluation process and any subsequent developments.
This development is significant for the Canadian real estate sector, highlighting the dynamic nature of REIT valuations and the strategic maneuvers by investment firms to consolidate assets in the retail property market.
As the situation evolves, stakeholders are encouraged to stay informed through official communications from Plaza Retail REIT and Axia Real Assets LP.
The outcome of this proposed takeover could have broader implications for the Canadian REIT landscape, potentially influencing future investment strategies and market valuations in the sector.
Further updates will be provided as the special committee continues its assessment and as more information becomes available.
For more detailed information, stakeholders should refer to official press releases from Plaza Retail REIT and Axia Real Assets LP.
This article is based on information available as of July 7, 2026, and may be subject to change as new developments occur.
*Note: This article is for informational purposes only and does not constitute financial advice.*
*Source: The Globe and Mail*
*Published on July 7, 2026*
*By [Author's Name]*