CPP Investments and Dream Industrial REIT have sold two industrial buildings in Vaughan, north of Toronto, to Zzen Group of Companies Limited for $115 million. The properties, located at 750 Creditstone Rd. and 121 Pippin Rd, were part of a joint venture formed in December 2025 between CPP, Dream Industrial, and Dream Asset Management Corp.
The joint venture was seeded with an $805-million portfolio of 12 Dream Industrial properties, totaling approximately 3.6 million square feet of space across the Greater Toronto Area, Montreal, Calgary, and London, Ontario. CPP is a 90% owner of the portfolio, held by Dream DCI (Ontario) Inc., while Dream Industrial holds the remaining 10% stake.
Strategic Asset Management
Dream Industrial REIT chief investment officer Bruce Traversy stated that the joint venture is focused on delivering returns through strong asset management. “We always try to be active asset managers, and we’re looking for opportunities to buy and sell creatively,” he said.
The two Vaughan buildings, built in 1999, offer a combined 346,035 square feet of space on 17.6 acres of land. Westlake Royal Building Products and Concord Compounding Limited fully occupy the properties. Traversy noted that Vaughan is a high-demand location, with one building featuring rail access, adding to its appeal.
Vaughan’s Industrial Appeal
Zzen Group, a privately owned company based in Vaughan, acquired the properties for what Traversy described as “pretty full value.” He emphasized that the deal made sense, as the company aims to generate the best returns without becoming too attached to any single asset.
The sale aligns with Dream DCI’s strategy of seeking value-added returns. Earlier this quarter, Dream DCI acquired a 227,000-square-foot building in Calgary for $35.8 million, highlighting their focus on target markets with improving fundamentals.
Dream Industrial, with a global portfolio of 348 industrial assets totaling 75.7 million square feet, recently expanded its European presence by acquiring Chancerygate, a UK-based industrial developer, for $147 million. The company is also committing an additional $47 million to complete ongoing developments.
Industrial Real Estate Market Trends
Traversy spoke to RENX from London, England, where Dream Industrial and parent company Dream Unlimited Corp. recently acquired Chancerygate. “We’re seeing strong absorption and good operating fundamentals,” Traversy said of the industrial real estate sector. “We have 1,600 tenants in our global portfolio and 1,400 of them – large and small – in Canada. We stay close to them and I think what you’re seeing, from the statistics in the market, is that it’s holding up.”
Expansion and Repositioning
Traversy highlighted Dream Industrial’s in-house capabilities in property management, leasing, and development as a competitive advantage. The company is actively expanding and repositioning its portfolio, including early-stage infill development on a 32-acre parcel on Torbram Road just north of Toronto.
