EL7.AI
Mergers & AcquisitionsMedium•27 October 2026•
4 min read

H&R REIT’s C$6.7 Billion Deal Faces Pivotal November Vote

Key Facts

1The deal’s announced total value is C$6.7 billion, with equity valued at about C$3.4 billion.
2H&R estimated the consideration premium at about 14.5% compared with its unit price on June 10, 2026.
3Approval requires two-thirds of votes cast and a simple majority of votes from unitholders unaffiliated with CRAL.
4H&R’s unitholder meeting is on November 13, 2026, with a proxy receipt deadline of November 11.
5H&R expects the deal to close in the fourth quarter of 2026, subject to required approvals.

H&R REIT’s asset sale, valued at about C$6.7 billion in total, is heading to a unitholder vote on November 13, 2026, ahead of an application for final court approval. The trust announced on August 11 an agreement under which GO Residential and a consortium of buyers would acquire all of its assets. H&R valued the equity at about C$3.4 billion, while the total value includes the assumption of some debt. The documented facts available here do not independently confirm the ISS recommendation attributed to it in the initial draft, so it cannot be presented as a confirmed fact. The vote comes after another shareholder had already voiced opposition to the deal, while its approval remains subject to unitholder, court and regulatory approvals.

According to H&R, the consideration consists of a mix of cash and GO units. The trust estimated that its value represented a premium of about 14.5% to the unaffected price of its units on June 10, 2026, the last trading day before speculation about the deal emerged. The trust also said its adviser, National Bank of Canada Capital Markets, valued GO units at between US$14.79 and US$17.19 each, noting that they were trading at a discount to that valuation range. These components matter because part of the consideration is linked to GO units, making its value dependent on their price rather than consisting entirely of a fixed cash amount. H&R said CIBC World Markets and National Bank of Canada Capital Markets had each issued an opinion that the consideration was financially fair to the relevant unitholders, subject to each opinion’s assumptions and limitations. The trust also expects the deal to increase FFO and AFFO per unit, with H&R unitholders owning about 68% of GO’s operating company after closing.

The plan distributes the trust’s assets among multiple buyers rather than transferring them all to GO Residential. According to H&R’s announcement, GO will acquire 23 residential properties from the Lantower portfolio across three states in the U.S. Sun Belt, as well as other real estate interests and assets. Blackstone will buy certain Canadian industrial properties for cash, while Crestpoint and PSP Investments will acquire other Canadian industrial assets. CRAL will take the remaining non-core assets. The transaction also includes H&R’s Series S and T unsecured debentures, with a total principal amount of C$550 million, along with property-level debt of about US$1.1 billion. The allocation reflects a transaction involving a range of assets, buyers and liabilities, with the announced total value differing from the equity value.

H&R’s independent trustees said they unanimously recommended voting in favor of the deal after a multi-year strategic review that included other options available to the trust. H&R described the agreement as the outcome of that process and said its unitholders would receive an approximately 68% stake in GO’s operating company upon closing. Approval requires two-thirds of votes cast, as well as a simple majority of votes from unitholders excluding CRAL and its joint actors, according to H&R’s deal page. The official announcement materials also set out a process for two separate approvals with a 66⅔% threshold in specified votes involving different classes and units. In addition to H&R’s vote, the deal requires GO unitholder approval to issue new units, approval from Alberta’s Court of King’s Bench, clearance under Canada’s Competition Act and customary closing conditions.

H&R scheduled the special unitholder meeting for November 13, 2026, at 10:30 a.m. Toronto time, and said proxies must be received by November 11 at 10:30 a.m. the same time zone. After the unitholder vote, the court hearing for the final order is scheduled for November 17, according to the deal timeline cited in the coverage angles. The trust said the transaction is expected to close in the fourth quarter of 2026, subject to unitholder, court and regulatory approvals. The vote and the court and regulatory approval requirements therefore precede the expected closing date. No market movement linked to these developments was reported in the available facts.