A leading holder of office properties in Canada, Slate REIT has announced the completion of a long-term lease extension with medical care company Medavie and one of its operating companies, Medavie Blue Cross.
Medavie is one of the REIT’s most sizable tenants, occupying 49% of the leasable space in the Blue Cross Centre, which is located at 644 Main Street, Moncton, New Brunswick. The total area occupied by Medavie is 155,470 square feet.
Before the extension, the majority of the Medavie-leased space would have expired at the end of 2018, with the rest expiring in mid-2021. The revised lease commenced on Oct. 1, and matures on Mar. 31, 2029, with Medavie having further options to renew.
"644 Main Street remains our largest location with more than 800 employees, even while we've grown to be one of Canada's leading health companies with 6,000 employees in total," said Bernard Lord, chief executive officer of Medavie. "We look forward to continuing a long-term relationship with Slate and our commitment to the downtown core."
The new agreement with Medavie increases the weighted average lease term for Blue Cross Centre from 7.7 years to 12.4 years. It also increases the weighted average lease term for Slate REIT’s top 10 tenants from 5.8 years to 6.6 years.
"Blue Cross Centre is the largest and most prominent office complex in Moncton, New Brunswick, and Medavie has been its largest tenant since the building's inception in 1988," said Scott Antoniak, chief executive officer of the REIT. "We value our relationship with Medavie and we are very pleased to have them continue their presence at the Blue Cross Centre in the heart of downtown Moncton."
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