2115-2125 · sherbrooke street. the name, golden square mile, comes from the area’s commercial...

De La Montagne StreetMontréal, Québec

Investment opportunity

2115-2125

Avison Young is proud to present this exceptional opportunity to purchase and own a one-of-a-kind, historic property located in the heart of Golden Square Mile in Downtown Montréal, steps from Sainte-Catherine Street West and high-end retailers such as Ogilvy Holt Renfew and Escada.

Built in 1892, 2115-2125 De La Montagne Street is a historical gem with exceptional cachet. Carefully maintained over the years, the property offers three floors of office space, a retail unit in the basement and a rooftop terrace.

With a total leasable area of 8,972 square feet, this property represents an outstanding opportunity for an owner/occupant investor as the top three floors of the building can be delivered unencumbered by leases for a total of approximately 7,000 square feet. Conversely, as an investment, the property can be sold with the top three floors leased back to current ownership for a five-year period (see leaseback scenario on page 11).

2115-2125 De La Montagne Street is located in the Ville-Marie Borough of Montreal, on the east side of De La Montagne Street. The property is in proximity of the Ritz-Carlton Hotel, the Montreal Museum of Fine Arts, both Concordia and McGill Universities, along with several office and residential towers. It is also located at a walking distance of the Peel and Guy-Concordia metro stations. The property is also easily accessible from Highways 720, 15 and 20.



2115-2125

The Opportunity

2115-2125 De La Montagne Street | page 2

Type Three-storey with basement commercial building.

Year of construction 1892, rear part extended in 2005.

Foundation Quarry stone and mortar poured concrete.

Floor structureWood and masonry bearing walls. Steel for the rear part, which was extended in 2005.

RoofMostly built-up composition. Small portion in asphalt shingles in dome shape.

Exterior walls Sandstone, brick and some metal siding.

Openings

Aluminum and wood-framed windows. Steel-framed doors and commercial-type wood-framed glass doors.

Interior finishes

Gypsum and board plaster ceilings. Hardwood, ceramic tile and carpet floors. Gypsum board, plaster, wood trim and exposed brick divisions.

Heating and Air Conditioning

Upper floors are heated and air conditioned by a combined roof-mounted electric HVAC system. There are also electric baseboards for heating. The basement is equipped with a separate air conditioning unit.

ElectricityMain entrance: 600 amperes. Incandescent and fluorescent lighting.

Security Automatic wet sprinklers with heat sensors and emergency lights.

Other Garage with two parking spaces.

Legal Description 1 338 848, Cadastre of Québec

Site Area 3,126 square feet

Configuration Regular

Frontage on de la Montagne Street 24 feet

Zoning Designation 0079

Permitted UsesM.8C : Mixed-zone allowing commercial sales and services of medium intensity

Minimal Setbacks Rear: 9.85 feetSides : 8.20 feet

Permitted Heights Maximum: 45.93 feet (3 storeys)

Maximum Density 3

Ground Coverage Maximum: 100

Parking Requirements

Minimum: 1 space per 3,767 square feetMaximum: 1 space per 1,615 square feet

Acquired Rights No

The Building The Site


Basement 1,764 square feet

Ground Floor 2,320 square feet

2nd Floor 2,320 square feet

3rd Floor 2,320 square feet

Sub-Total 8,724 square feet

Garage & Storage 572 square feet

Total Gross Area 9,296 square feet

Total Above Grade 6,960 square feet

Commercial (Basement) 1,700 square feet

Office(GF, 2nd and 3rd) 6,700 square feet

Garage & Storage 572 square feet

Total GrossLeasable Area 8,972 square feet

The building has been extensively renovated over the years and is in very good condition. The building extension in 2005 adds 1,585 square feet of office space. Previously, major renovations had been completed around 1998 (roofing, HVAC, windows). Most recently, in 2015 and 2016, the roof was repaired, the entire second floor was renovated, the washrooms on all floors were updated and the commercial space was recently refurbished. Overall, the building is considered to be in good condition, with no need for major repairs.

Building Area Condition

Leasable Areas


Basement

The front portion of the basement currently consists of a retail space that is mostly open, with fitting rooms and a storage space in the back. The back portion of the property, which was expanded and recently renovated, consists of a garage space for two vehicules.

Ground Floor

The front portion of the ground floor includes a small lobby with fireplace, a wooden staircase, a large room with a fireplace currently used as a meeting room and a living room with a third fireplace that connects to the front room. All components at the front of the building have original woodwork, brick walls and boast incredible cachet. The back portion of the ground floor comprises a small kitchen area, a meeting room, a closed office and a large area for 4 to 8 workstations.

Second Floor

The second floor of the building includes large, closed offices in the front portion of the building, as well as a large washroom with a shower. The back portion of the second floor includes a large office area for 6 to 10 workstations, as well as 4 closed offices.

Third Floor

The third floor of the building includes large, closed offices in the front portion of the building, as well as a washroom. The back portion of the third floor includes a large office area for 6 to 10 workstations, as well as another open office area for 4 to 8 workstations. The third floor also includes a beautiful skylight over the top of the staircase.

RooftopThe rooftop of the property includes a beautiful terrace ovelooking Golden Square Mile from the 4th floor.

Floor Description


SHERBROOKE STREET W

EST

STANLEY STREET

MACTAVISH STREET

METCALFE STREET

MANSFIELD STREET

MCGILL COLLEGE AVENUE

PEEL STREET

DRUMMOND STREETDE LA MONTAGNE STREET

DU MUSÉE STREET

REDPATH STREET

SIMPSON STREET

MACKAY STREET

BISHOP STREET

CRESCENT STREET DE MAIS

ONNEUVE BOULE

VARD WEST

SAINTE-C

AHTERINE S

TREET WEST

RENÉ-LÉVESQUE B

OULEVARD W

EST

Holt Renfrew

Anthropologie

La Queue de Cheval

Eaton Centre

Place Ville Marie

McGill University

Concordia University

Hurley’s Irish Pub

Nespresso

Apple StoreSir Winston Churchill Complex

Château d’Ivoire

Maison BouludTiffany & Co

Ritz-Carlton

Montreal Museum of Fine Arts

Promenades de la Cathédrale

Hudson’s Bay

Club Mount StephenMont Blanc

Lowes Hotel Vogue

Urban OutfittersMackage

COS

H&M

Canada Goose

Structube

Rudsak

Christofle

Escada

Club Mount Royal

Sofitel Montréal

McCord Museum

Redpath Museum

Le Pois Penché

Hotel Omni Mont-Royal

Hotel Le CantlieMAA Sports Club

McGILL

PEEL

GUY-CONCORDIA



2115-2125

Four SeasonsMarcus

Ogilvy Holt Renfrew

The shining beacon of central Montréal, the Golden Square Mile has been home to glitz and glamour since the 19th century. First established during the late 18th century as a peaceful neighbourhood within reach of the Old Port, then considered “downtown”, the area owes its iconic Victorian mansions and commercial buildings to the 1850s, when it became the seat of Montréal’s impressive wealth. In fact, 80% of Canada’s wealth was concentrated in the Golden Square Mile at the turn of the 20th century. The area’s inhabitants included Montréal’s most famous families – industry leaders of mostly Scottish descent – including the McGills, the Stephens, the Allans and the Baggs.

The Golden Square Mile is known to many as Quartier des musées, because of its illustrious cultural destinations. It is namely home to the McCord Museum, the Montreal Museum of Fine Arts and the Redpath Museum, drawing over a million visitors to the area each year – not to mention the dozens of private galleries along Sherbrooke Street.

The name, Golden Square Mile, comes from the area’s commercial prosperity, a trait that remains to this day. The area remains true to its namesake thanks to the top firms that have established along Sherbrooke Street, as well as the many luxury hotels and fine dining establishments in the neighbourhood.

At the foot of Mount Royal, the Golden Square Mile is home to McGill University, with Concordia University located a few blocks west. The neighbourhood is therefore home to two of Canada’s most renowned universities.

The Golden Square Mile is also known as an outstanding shopping destination, with luxury boutiques ranging from Holt Renfrew to Tiffany’s, Swarovski and Escada, as well as Montreal Museum of Fine Arts’ M Boutique and the numerous private designer studios along Sherbrooke Street West.

The sector is also home to La Maison Ogilvy, which includes a new luxury shopping concept, Ogilvy Holt Renfrew, as well as a Four Seasons Hotel and world-renowned restaurant Marcus. Other nearby hospitality establishments include Hôtel Le Germain, Hôtel Omni Mont-Royal, Le Mount Stephen Hotel, Loews Hôtel Vogue, Ritz-Carlton Montréal and Sofitel Montreal Golden Mile.

Golden Square Mile


3 floors

entrance

entrance

basement

balcony

main

3 floors

3 floors(2005)

Floor Plan


Potential Revenue Projection

Basement @$40.00 NN X 1,764 sf $70,560

1st Floor, Front @ $50.00 NN X 1,183.2 sf(60% of gross area - 15% common area)

$59,160

1st Floor, Back @ $20.00 NN X 788.8 sf(40% of gross area - 15% common area)

$15,775

2nd Floor @ $20.00 NN X 2,320 sf $46,400

3rd Floor @ $20.00 NN X 2,320 sf $46,400

Garage @ $350/month X 2 spaces $8,400

Total Net Potential Revenue $246,696

Purchase Price @ 4.5% $5,482,133.33

Purchase Financing @ 75% of P. P. $4,111,600.00

Cost of Money @ 3.5% $143,906.00

Cash-in @ 25% $1,370,533.33

Cash Flow $102,790.00

Leveraged Return 0.08%

Assumptions

Basement is released @$40.00 NN

Vendor leases back top 3 floors for 5 years

Assessment, Land (2020-2021-2022) $1,089,000

Assessment, Building (2020-2021-2022) $936,800

Total Municipal Assessment (2020-2021-2022) $2,025,000

Municipal Taxes (2019) $65,682

School Taxes (2019) $2,759

Total Taxes (2019) $68,441

Asking Price $5,650,000

Leaseback Analysis Asking Price

Evaluation & Taxes


To plan a visit, obtain further information or learn more about Avison Young’s comprehensive range of services, please contact:

Thomas (Tom) GodberPrincipalChartered Real Estate [email protected] 514.905.5440

Robert EmblemVice PresidentReal Estate [email protected] 514.360.3641

Avison Young Québec Inc.Commercial Real Estate Agency1200 McGill College AvenueSuite 2000Montréal, QuébecH3B 4G7

T 514.940.5330F 514.940.5331

avisonyoung.com



2115-2125

2115-2125 · sherbrooke street. the name, golden square mile, comes from the area’s commercial...

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