Historic Ogilvy's building could fetch $100M

[ErickMontreal]

Historic Ogilvy's building could fetch $100M

Groupe Devimco in negotiations to purchase Montreal landmark

 

By Robert Gibbens, The GazetteJanuary 26, 2010 7:29

 

"Spoonman" Cyrille Esteve performs outside the landmark Ogilvy's building in Montreal.

 

Le Groupe Devimco is reportedly in talks to buy the building for about $100 million.Photograph by: Phil Carpenter, The GazetteMONTREAL – The landmark Ogilvy's building on Ste. Catherine St. will probably be sold for about $100 million to Le Groupe Devimco, one of the backers of the big Quartier Dix30 lifestyle centre in Brossard, and partners.

 

 

Toronto property developer David Jubb, owner of Pyxis Real Estate Equities, bought the Ogilvy's building from the Standard Life Assurance Co. of Canada in May 2000 for $50 million. His office said he was "out of the country" and unavailable for comment. Devimco president Jean-Francoisn Breton also was not available for comment.

 

 

But Ogilvy's president Bernard Pare confirmed that sale negotiations are well advanced and in the due diligence stage, though "it's not yet a done deal."

 

 

Some reports said a trust controlled by the Beaudoin and Bombardier families may be a partner in the Ogilvy's deal. It was one of the original investors in Quartier Dix30 along with a large Toronto-based property trust and two pension funds.

 

 

Founded in 1866 by James A. Ogilvy at the northwest corner of St. Catherine and de la Montagne, the store was acquired in 1927 for the "modest sum" of $38,500 by James Aird Nesbitt, whose father had founded the brokerage firm of Nesbitt Thompson in Montreal, and was expanded into a full-size department store.

 

 

A major overhaul in 1986 moved it upscale with 60 individual boutiques, including several leading luxury brands. It kept the famed bohemian crystal chandelier on the ground floor and the bagpiper. Jubb, who owns other commercial properties in Montreal, Toronto and Vancouver, made further improvements, including a new air-conditioning system.

[ErickMontreal]

La Maison Ogilvy est finalement vendue pour près de 100 M$

Martin Jolicoeur . les affaires.com . 05-07-2010

 

EXCLUSIF : «Ce fut long, mais on y est enfin!» De son téléphone portable, David Jubb, le chef de la direction de Pyxis Real Estate, a peine contenir sa satisfaction. On le comprendrait à moins.

 

Après de longs mois de négociations, la vente de La Maison Ogilvy, le prestigieux magasin de la rue Sainte-Catherine, à Montréal, aura finalement lieu au cours des prochaines heures, a appris LesAffaires.com.

 

Situé au 1307 de la rue Sainte-Catherine Ouest, l’immense bâtiment historique et le commerce qu’il abrite seront vendus à un groupe d’investisseurs piloté par la société immobilière Devimco, la propriété du Fonds de placement BB, la fiducie familiale des familles Bombardier et Beaudoin.

 

Montant final de la transaction : «entre 96 et 98 M$» soutient M. Jubb, qui se préparait au moment de notre appel à signer le contrat de vente. «Si nous ne le signons pas à 16 heures aujourd’hui comme prévu, ce sera fait demain», a-t-il assuré.

 

Sous la nouvelle administration, estime-t-il, le magasin de la rue Sainte-Catherine, à l'angle de De La Montagne, devrait subir une cure de rajeunissement de quelque 20 M$, en plus de connaître un nouvel élan. De quel élan est-il question exactement? Sur ce, le patron de Pyxis, demeure bouche cousue.

 

Ogilvy au Dix-Trente

 

Des informations, confirmées par au moins un des membres du groupe d’acquéreurs, veulent que Devimco, qui développe le Quartier Dix-Trente à Brossard, veuille y ouvrir un nouveau concept de magasin Ogilvy. L’ouverture de ce nouveau magasin se ferait sous la gouverne de Paul-Delage Roberge, l’ancien président-fondateur des Ailes de la Mode.

 

Nous avons tenté en vain de parler à la direction de Devimco avant d’écrire ces lignes. Jean-François Breton que Eric Foster, les deux principaux dirigeants de l’entreprise de Québec, n’ont pas retourné nos appels.

 

Pour sa part, Paul Delage-Roberge, a refusé de confirmer ou d’infirmer les rumeurs, se contentant de préciser travailler au développement d’un magasin général de quelque 100 000 pi2 au Quartier Dix-Trente, de concert avec Devimco, depuis déjà deux ans. «Si une annonce de ce genre devait être faite, il ne reviendrait malheureusement pas à moi de le faire.»

Depuis 1866

 

Pyxis, dont l'actionnaire de contrôle est Edgefund Equities, a acheté Ogilvy de la Standard Life Insurance of Canada en 2000 pour la somme «d’environ 45 M$». La Caisse de retraite de Radio-Canada, était partenaire de Pyxis dans cette transaction, pour environ 30% d’Ogilvy, de Jas Ogilvy et de son bâtiment.

 

Selon un prospectus déposé en 2006, la valeur marchande d’Ogilvy était évaluée entre 72,5M$ et 75,8M$ par la firme Altus Helyar. Mais selon le rôle d’évaluation 2007 de la Ville de Montréal, l’immeuble de la rue Sainte-Catherine Ouest est évalué à 51,8 M$.

 

Ogilvy a été fondé en 1866 par James Ogilvy. Le magasin a été racheté par la suite, en 1927, par James Aird Nesbitt, le fondateur de Nesbitt Thompson, pour la «modique» somme à l'époque de 38 500$.

[vanatox]

La dernière phrase est intéressante...

 

 

Upscale retailer sold

 

 

By François Shalom, Montreal Gazette July 6, 2010 11:30 PM

 

 

Private Quebec investors, including the Beaudoin/Bombardier family, have bought the regal Ogilvy retail emporium downtown and are set to open other outlets of the upscale department store.

 

A consortium of buyers, including Devimco Inc. co-owner Jean-François Breton, the promoter of the Griffintown project, made the announcement after markets closed Tuesday.

 

But Josée Lagacé, spokesperson for the Fonds immobilier de solidarité FTQ, the principal partner, said last night that she could not disclose the purchase price nor the level of ownership by respective partners.

 

They include Breton, Champlain Financial Corp., the FTQ and the Beaudoin/Bombardiers' BB Real Estate Investment Trust, and "a number of private investors, including Andrew Lutfy, CEO of retail group Dynamite Group."

 

Devimco owns the 1.5-million square-foot Quartier Dix30 retail, residential and office complex in Brossard where the next OGILVY is set to open in 2012, said Lagacé.

 

"And we'll make more announcements in the fall."

 

She could not specify what the FTQ being "the principal partner" means. The FTQ was the principal financial backer of the buyout, but is not necessarily the largest shareholder, Lagacé said.

 

The sellers were a Toronto investment fund that Lagacé could not name and the CBC Employee Pension Fund. They could not be reached late last night.

 

Breton said in a statement that "our acquisition repatriates this fashion and style icon back to Montreal. We will expend every effort to pursue the Company's development with a modern vision, while keeping the essence of the values OGILVY established for over 140 years."

 

"Our business project is ambitious and we are very enthusiastic about it because we intend on capitalising on the brand's notoriety in order to launch the model elsewhere in Quebec.

 

Once the retail bastion of aristocratic anglophones, the store founded in 1866 by James Angus Ogilvy has changed hands several times over the last two decades.

 

Normand Bélanger, president of the FTQ's Fonds immobilier, said that OGILVY "constitutes an important architectural and historical asset. Our investment will enable, in part, the modernisation of the Ste-Catherine Street building, especially the 4th and 5th floors. It will also enable us to take part in the development of vacant land near the store."

[saturnus85]

Once the retail bastion of aristocratic anglophones...

 

Aristocratic...please! Clearly, this journalist doesn't know what aristocracy means.

[jesseps]

Aristocratic...please! Clearly, this journalist doesn't know what aristocracy means.

 

Did we ever have aristocrats in Montreal?

 

I guess the journalist is thinking of the American system, families with old money.