Real estate trust IPO launched to fund major housing and mixed-use development
Anthem Properties Group has launched an initial public offering (IPO) through its new real estate fund to raise capital for a mixed-use development in Burnaby, BC and accelerate housing availability in the region.
The IPO, managed by CIBC Capital Markets as the sole agent, is expected to raise up to $82 million. These funds will supplement other financial sources already secured for the project.
The project, called Citizen, will be funded through the newly created Anthem Citizen Real Estate Development Trust (REDT). Citizen will include 372 condominium units, 200 market rental units, 73 affordable housing units, a 176-suite hotel, and nearly 5,000 square feet of retail space.
Anthem said the development aims to address the ongoing housing shortage in Metro Vancouver by adding a significant number of both market and affordable rental units to the area.
Anthem's portfolio includes 41,700 homes and 11.5 million square feet of retail, industrial, and office space. The company has developed over 60 communities across 9,800 acres of land in Alberta, British Columbia, Ontario, and California since its founding in 1991.
Anthem CEO Eric Carlson highlighted the need for innovative financing in today’s challenging development environment.
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“Policy changes, increased costs, shifting market cycles and more create an ongoing challenge for developers hunting for capital which requires innovative and creative thinking to get projects off the ground,” Carlson said in a press release. “Doing things differently is at the core of what we do at Anthem, and this IPO is a great way to continue to push the boundaries of what is possible and take a new approach to making housing happen.”
The project is expected to begin construction upon completion of the offering.
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