The building is leased to the Ontario Association of Sports and Exercise Sciences for C$1.25 million, generating an 11% yield.
Skyline has bought a 13,000-sq.m. Toronto office building for C$10.7 million ($7.5 million), apparently from Nestle (SWX:NESN). The building is leased to the Ontario Association of Sports and Exercise Sciences (OASES) for C$1.25 million, generating an 11% yield.
HSBC extended Skyline a C$7 million loan at 5.5% interest for an undisclosed period to finance the investment. Skyline plans to build a parking garage and commercial center on an adjacent plot that is part of the deal.
Skyline bought another plot in downtown Toronto from General Electric (NYSE:GE) for $7 million. Six weeks later, it sold 90% of the plot, leased to a parking garage, for $7 million, giving it a 10% net profit.
Published by Globes [online] - www.globes.co.il - on October 19, 2003