- What Cadillac Fairview is shopping CF Fairview Park Kitchener
- Why Bids for the largest mall in the Kitchener-Waterloo region are expected to come in around $170m
- What next The mall underwent a major renovation in 2019
The largest mall in the Kitchener-Waterloo region is on the market, Green Street News can reveal.
RBC is marketing a 100% interest in CF Fairview Park Kitchener on behalf of Cadillac Fairview. Bids for the 732,000 sq ft property are expected to come in around $170m. The valuation translates to a first-year capitalization rate of 8.50%.
The property, in Kitchener, 100km west of Toronto, has 113 stores and is anchored by Hudson’s Bay and Walmart. A third anchor space, vacated by Sears in 2018, was divided into several smaller stores with outside entrances. Tenants include Mark’s, Sport Chek and Winners.
More than 590,000 people with an average household income of $121,000 live in the surrounding trade area, according to marketing materials. Sales total $739/sq ft. The property is adjacent to Fairway Station, a significant transit hub for the region.
CF Fairview Park Kitchener, at 2960 Kingsway Drive, opened in 1966 and has undergone several expansions in the decades since, including a $33.4m redevelopment in 2007. A $70m renovation began in 2019, the first phase of which included the revamp of the former Sears store and the addition of several freestanding restaurants.
The long-term vision for the project, under which the mall would be rebranded as CF Grand Market District, includes new retail, office and residential space. However, following completion of phase one in 2021, progress appears to have stalled.
Cadillac Fairview owns, develops and manages real estate, mainly in Canada and the United States. Led by president and CEO Salvatore Iacono, the company is owned by the Ontario Teachers’ Pension Plan. It has more than $30b in assets under management.