The Boissoneault Portfolio represented more than 560 units covering the two cities of Drummondville and Granby. Many challenges were faced when dealing with such a large portfolio including: including two cities of Drummondville and Granby representing different markets to be adapted to, and the portfolio properties proved to be very diversified. The years of construction of the buildings differed, between recent and old constructions, the types of properties ranged from residential to office, to student residences and finally, some of the properties were located on emphatic land.
In addition, with the fast-changing market in recent years, including the increase in mortgage interest rates, our valuations had to be reworked during the listing sale.
- The shareholders have maintained a high standard of maintenance.
- The building stock comprised of 61 income properties, 565 leases in 3 different areas of activity.
- A strategic leasing asset within a strong residential market with an interesting investment potential.
- A well-established financial structure, with management and maintenance personnel who have a good grasp of the assets and clientele.
The first action was to divide the properties of Drummondville and Granby. It allows us to identify two different types of buyers to focus on: the social housing buyers for the properties of Drummondville, and the private buyers based on investment from the properties of Granby.
Then, we took advantage of the state-owned mortgage insurer, CMHC’s assistance programs, which allowed us to offer more advantageous interest rates to potential buyers and a better return on amortization.
The ownership organization SOLIDES proved to be the right buyer for the Drummondville properties. As a social institution, SOLIDES not only benefited from the advantages granted by CMHC, but also from advantageous patient investment funds.
For the Granby side of the portfolio, the privately owned Hazout Group was determined as the right buyer for both properties.
“It is with great pride and enthusiasm that we announce the sale of an important real estate portfolio which will be dedicated to the protection of social housing in Drummondville. Thanks to collective efforts, hundreds of Drummondville tenants will be protected from speculation and housing shortages. Joe Rullier and Dominic Dussault of Colliers, an international commercial real estate services firm, in partnership with Normand Therrien and Ghislain Côté de Therrien Couture Joli-Coeur, represented the sellers Boissonneault Groupe Immobilier in this transaction, which is characterized as much by its scale with approximately 415 residential units, than by its beneficial impact for society and the city of Drummondville.”