Central Walk, a retail real estate investor and developer new to the Canadian market, closed on the purchase of the Tsawwassen Mills shopping mall in Delta, British Columbia, pushing its investment in the country past $1 billion.
Central Walk acquired the property at 5000 Canoe Pass Way from Quebec's Ivanhoé Cambridge on May 6. Valen Tam, director of investment and asset management for Central Walk, confirmed the transaction Thursday. The price was not disclosed.
With this deal, the investor, which has shifted its base to Vancouver from China, has spent $1 billion on property in Canada and plans to spend another $1 billion within the next 18 months as it rebalances its portfolio to North America, according to Tam.
Tam said the investor plans to work with the Tsawwassen First Nation, which retains the land lease for the property, on any changes to the property. The 1.1 million-square-foot mall is anchored by a Bass Pro Shop, and is about 95% leased, according to CoStar data. It was developed in 2016.
Historically a developer of primarily commercial properties in China, Central Walk is relatively new to the North American market, purchasing its first mall, the Woodgrove Centre in Nanaimo in late 2020.
“We definitely want to quicken our pace,” Tam said.
The firm has a portfolio of about $10 billion remaining in China, according to Tam.
Tam was reserved about exactly how much the firm planned to spend in North America but confirmed that the entirety of the roughly $1 billion they have spent so far had been funded by selling property in China.
“It’s a capital shift,” Tam said. “We have looked to migrate over to North America and Canada.”
Ultimately, the company also aims to buy property in the United States, Tam said, but wants first to build a base in Canada, ideally adding about seven more properties to its portfolio before turning south — including a next acquisition further east potentially outside the province.
Despite the company’s plans for fast growth, Tam sounded a careful note.
“We’re very cognizant of the fact that this is a different space, a different environment, with different stakeholders [from China]," Tam said. “Our passion is to maximize the use of shopping centers as community hubs.”
Asked about plans for the Tsawwassen location, Tam demurred, saying that other than adding an entertainment component to the site, the company would be consulting with the Tsawwassen First Nation before publicizing any changes.
“We have a very good relationship with the Tsawwassen First Nation,” Tam said Thursday. “They’re very progressive, very forward-looking, and we look forward to working with them.”
