Business
Ravelin Properties REIT Announces Acquisition of 25% Co-Ownership Interest in Commerce West and Gateway Centre Properties in the Greater Toronto Area and Loan Forbearance on 120 South LaSalle Property in Chicago
Toronto, Ontario--(Newsfile Corp. - September 8, 2025) - Ravelin Properties REIT (TSX: RPR.UN) ("...
About this update from Ravelin Properties Reit
[{"type":"text","content":"Ravelin Properties REIT Announces Acquisition of 25% Co-Ownership Interest in Commerce West and Gateway Centre Properties in the Greater Toronto Area and Loan Forbearance on 120 South LaSalle Property in ChicagoToronto, Ontario--(Newsfile Corp. - September 8, 2025) - Ravelin Properties REIT (TSX: RPR.UN) (\"Ravelin\" or the \"REIT\"), an internally managed global owner and operator of well-located commercial real estate, announces that it (i) has completed the acquisition of a 25% interest in its two co-owned properties located in the Greater Toronto Area (\"GTA\"), and (ii) has agreed to a September 30, 2025 forbearance period from CIBC Inc. (\"CIBC\") on certain loans of CIBC in connection with the REIT's 120 South LaSalle office property in Chicago, US (the \"CIBC Loan\"). \"The GTA transaction to acquire the remaining 25% co-owner interest in our Commerce West and Gateway Centre properties is strategic for the REIT. It enables us to fully control the decision making, budgeting, leasing, and capital investment plans for these properties. Leasing activity continues to gain momentum in the GTA and therefore the timing of this acquisition is favourable from the REIT's perspective,\" said Shant Poladian, Chief Executive Officer of the REIT.Acquisition of Co-ownership Interest in GTA PropertiesThe Commerce West and Gateway Centre properties total 659,713 square feet of gross leasable area. Following the REIT's acquisition of the remaining 25% co-ownership interest in these two properties, Ravelin REIT now owns 100% of its GTA portfolio, which consists of six properties totaling 1,636,265 sf. 120 South LaSalle LoanThe total principal debt amount currently outstanding under the CIBC Loan for 120 South LaSalle is US$84 million and matured on August 31, 2025. For financial reporting purposes the REIT previously disclosed the CIBC Loan as in default due to covenant breaches in its financial statements since the first quarter of 2024.The REIT remains in active discussions to resolve the loan default and achieve a mutually acceptable loan restructuring. As negotiations are continuing beyond the August 31, 2025 loan maturity date, CIBC has issued a notice of default and a reservation of rights. CIBC has also agreed to a forbearance agreement, which will expire on September 30, 2025 and aligns with the current forbearance period that the R...