Less than three months after acquiring the Shangri-La Vancouver, which is set to be rebranded by Hyatt, Canadian multinational investment firm Brookfield is looking to flip the retail component they acquired alongside the hotel, STOREYS has learned.
The Shangri-La Vancouver is located at 1128 W Georgia Street — between W Georgia Street and Alberni Street, along Thurlow Street — and consists of a 62-storey tower with 119 hotel suites on the first 15 floors and 307 residences above. Adjacent to the tower is a three-storey building at 1121 Alberni Street that houses retail space.
The mixed-use project was developed by Vancouver-based real estate developer Westbank and its long-time partner Peterson, with James KM Cheng Architects serving as the architect. The hotel component and retail component are individual legal parcels and both were acquired by Brookfield through a fund managed by Brookfield Asset Management in June.
Transaction details were not disclosed, but BC Assessment values the hotel parcel at $65,629,000 and the retail parcel at $39,247,000, for a total assessed value, dated to July 1, 2024, of $104,876,000. Industry sources told STOREYS that Brookfield acquired the two components for a total somewhere between $150 million and $200 million.
The retail component of the Shangri-La Vancouver / Park Hyatt and its surrounding retailers. / Marcus & Millichap
On July 1, Hyatt announced that the Shangri-La Vancouver was being rebranded as the Hyatt Vancouver Downtown Alberni while the hotel undergoes renovations to be rebranded under its luxury Park Hyatt brand.
“Our acquisition of the former Shangri‑La in downtown Vancouver reflects Brookfield’s deep conviction in both the strength of the Vancouver market and the enduring appeal of luxury hospitality,” said Shai Zelering, Managing Partner, Brookfield Real Estate, in a statement provided to STOREYS. “We’re excited to begin the next chapter as we transform this landmark into a world‑class Park Hyatt, delivering elevated experiences that capture the essence of one of Canada’s most dynamic cities.”
The Listing
Just over two months after the rebranding announcement, Brookfield is now looking to sell the retail component, according to a sales brochure obtained by STOREYS. The listing team is Mario Negris and Martin Moriarty of Marcus & Millichap, who described the listing as “a landmark retail investment opportunity.”
- Address: 1121 Alberni Street, Vancouver (1101, 1121, and 1133 Alberni Street)
- Year Built: 2008
- Gross Leasable Area: 40,996 sq. ft
- Current Occupancy Rate: 100%
- Price: Unpriced
- Listed By: Marcus & Millichap (Mario Negris and Martin Moriarty)
The retail component is fully leased to Burberry, Urban Fare, and The Keg, with a fully extended weighted average lease term of approximately 15.8 years that offers investors stable cash flow. The sales brochure also notes that there is an opportunity “to drive significant rental growth at Urban Fare and the Keg through a contractual 2028 FMV rent reset or re-leasing campaign.” The property also includes 79 vehicle parking spaces.
“Situated within the city’s premier high-street retail corridor, it offers prominent frontage along three major thoroughfares and is surrounded by luxury hotels, high-end retailers, and acclaimed restaurants such as Din Tai Fung, Joe Fortes, and Black+Blue,” the sales brochure also notes. “The Property benefits from strong, year-round foot traffic generated by high-end leisure travelers, nearby corporate offices, and locals. Foot traffic is expected to grow further with the anticipated opening of the Park Hyatt Vancouver in 2026.”
“This offering represents a rare opportunity to acquire a never-before-marketed, trophy retail asset in one of Vancouver’s most prestigious shopping and dining destinations.”