Calloway Real Estate Investment Trust

Calloway Real Estate Investment Trust

March 15, 2011 14:28 ET

Calloway Real Estate Investment Trust Announces Upscale Outlet Mall Market Program

TORONTO, ONTARIO--(Marketwire - March 15, 2011) - Calloway Real Estate Investment Trust ("Calloway") (TSX:CWT.UN) announced today that it will be developing its first upscale outlet mall in Canada. Located at Highway 401 and Trafalgar Road in the Town of Halton Hills, just 40 minutes from downtown Toronto, this site is ideally situated to serve a population of over 6 million people within a one-hour drive.

"With a team of experts, led by Adams + Associates Architecture, an award-winning firm which has designed 25 outlet malls comprising over 10 million square feet of space in the United States, we plan to develop an unique centre that will attract Golden Horseshoe area customers looking for value priced high-end goods not currently available in Canada," said Simon Nyilassy, President and Chief Executive Officer of Calloway. "We are currently in discussions with major outlet centre developers in the United States."

"This strategic investment in upscale retail outlets responds to a growing demand from Canadian consumers," said Nyilassy. "Our properties are well-known for their quality and variety of choice for consumers. This exciting new development will bring these attributes to a new segment of the Canadian retail market. The fact that we do not need to proceed through the very costly and lengthy rezoning process for this site means we are able to proceed very quickly to site plan approval and construction."

Calloway, in conjunction with SmartCentres, is planning similar centres across the country. With zoning entitlements already in place, the Halton Hills location will be the first in the ground. Calloway has been working closely with the Town, the Region of Halton, MTO and Conservation Halton.

"SmartCentres is very excited about this new segment. This type of development is quite distinct from the shopping centres we have developed across the country during the past 18 years," said Mitchell Goldhar, Owner and Chief Executive Officer of SmartCentres.

"We are very pleased that Calloway has chosen the Town of Halton Hills as the location for its first high-end outlet mall, said Halton Hills Mayor Rick Bonnette. "Town staff have been working diligently with representatives of Calloway and are expecting a site plan application in April. The hundreds of construction jobs and thousands of permanent retail jobs that will be created in the Town as result of this significant investment by Calloway is important to the continued economic diversity and health of our community."

It is expected that construction will commence in spring 2012 for opening of the first phase in 2013. Total investment in this 500,000-sq.ft development will be approximately $200 million.

Calloway Real Estate Investment Trust is an unincorporated open-end real estate investment trust created to invest in a geographically diversified portfolio of high quality retail shopping centres in Canada.

Contact Information

  • Calloway Real Estate Investment Trust
    Simon Nyilassy
    President and Chief Executive Officer
    (905) 326-6400 ext. 7649