The Katz Group has sold the commercial portion of the new 69-storey Stantec Tower in Edmonton’s Ice District to Deka Immobilien, a news release said Wednesday.
A statement on the German company’s website puts the sale price at around 345-million euros — the equivalent of about $503 million.
Deka Immobilien is described as one of the largest globally active real estate fund companies in Germany.
“The interest shown by a global investor is strong validation of our vision for Edmonton as a vibrant, dynamic and prosperous city with the world-class Ice District as its core,” said Katz Group CEO Jurgen Schreiber in the release.
“This transaction provides an attractive return on investment to date and frees up capital for reinvestment in Phase Two, as well as other international sports and entertainment initiatives,” Schreiber said.
The second phase of the Ice District development is still in the early planning stages but is to include “a significant residential focus anchored by a large, vibrant green space and promenade, along with additional commercial and retail elements pushing continued development north of 104 Avenue,” Schreiber said.
Over $2 billion has been spent on the development of phase one, which is near completion, with a similar scale of investment envisioned for phase two, he said.
Development of the ICE District in downtown Edmonton began in 2014 with the construction of Rogers Place, the new arena for the Edmonton Oilers hockey team which is owned by businessman Daryl Katz.