Trizec Properties, Inc. and Trizec Canada, Inc. have agreed to merge with Brookfield Properties Corp. and The Blackstone Group LP in the U.S. Trizec is a cross border real estate company and I think it's structure can best be described from it's own website:
"Trizec Canada Inc. is a Canadian corporation primarily engaged in the U.S. real estate business through its 38% interest in Trizec Properties, Inc., a publicly-traded U.S. Real Estate Investment Trust. Trizec Properties has ownership interests in and manages a high-quality portfolio of 61 office properties totaling approximately 40 million square feet concentrated in the metropolitan areas of seven major U.S. cities. Trizec Canada is listed on the Toronto Stock Exchange under the symbol "TZC" and Trizec Properties is listed on the New York Stock Exchange under the symbol "TRZ". Trizec Canada is a mutual fund corporation, which provides Canadian investors the opportunity to invest indirectly in Trizec Properties. Trizec Canada owns one share of Trizec Properties common stock for each outstanding Trizec Canada share and expects to pay the same quarterly dividend per share as Trizec Properties. A share of Trizec Canada is intended to be economically equivalent to a share of Trizec Properties common stock."
What an interesting structure. This provides a means for the average Canadian investor to invest in the U.S. real estate market without having to directly own U.S. real estate or buy a U.S. based REIT. No word yet on how the merger will affect the cross border aspect of this business.
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