Projects Update

In our last update, we noted that the ZBA application for the Smithville project was deemed complete, with minor comments from the City. Further, in light of evolving market conditions, we noted that we were exploring two options for the next stage of the project: converting the front condo units to rental properties or proceeding with a full townhouse subdivision.

In order to make an informed decision on the above, we retained SVN Rock to conduct a market analysis. They concluded that this development would not be a feasible project for rental.

The project has secured residential zoning approval; however, we received an unsolicited proposal from Loblaws to anchor the development with 22,000 sq. ft. for a No Frills grocery store and 17,000 sq. ft. for a Shoppers Drug Mart. Our legal counsel is engaged in negotiating and finalizing the definitive terms. This potential anchor tenancy represents a significant value-add, enhancing both the project’s long-term NOI and market positioning.

In the interim, we considered a commercial concept plan and held a meeting with Township staff to confirm support for the proposed direction. The Township indicated that they are in support of the concept. Further, the commercial approach strategically mitigates the residential market challenges currently impacting the sector.

The revised concept plan includes five commercial buildings and we are currently engaging with potential tenants to assess market demand and determine the viability of the proposed commercial uses. In addition – we added two more drive thru pads for Tim Hortons and  Burger King along with a 10,000 sq ft strip plaza in the back for medical and other commercial retail.

We are still negotiating terms, hoping to arrive at a decision by September. If the negotiation goes well, we will call a meeting with shareholders to present the numbers, proforma and differences.

Upcoming Milestones:

Shareholders Meeting: Q3 2025

Timelines:

Zoning: Q3 2025
SPA: Q3 2026
Building Permit: Q4 2026

All projected timelines are indicative and reflect current market conditions and planning assumptions. As with any development project, these estimates remain subject to change due to evolving regulatory, market, and construction environments. Accordingly, dates should be considered as targets rather than definitive deadlines.