Canada’s self-described last pure-play retail real estate investment trust could find itself with a new owner.

Plaza Retail REIT said a special committee is reviewing strategic alternatives after receiving an unsolicited takeover proposal from Toronto-based investor Axia Real Assets LP and hearing from other parties interested in potential transactions involving the company. The review could include a sale or merger, with no timetable set for a decision or action.

The development raises the prospect that Plaza could become the latest Canadian REIT to be taken private as investors continue looking for property companies with real estate portfolios that may be worth more than public markets are reflecting. Plaza’s review follows a series of high-profile takeovers in the Canadian REIT sector, including deals involving Minto Apartment REIT, European Residential REIT and InterRent REIT.

What’s changed since Axia’s bid became public last month is that other interested parties have emerged. Plaza said the special committee received interest following the disclosure of Axia’s proposal, prompting a broader review process with the assistance of TD Securities.

Axia has been pursuing Plaza for some time. According to the investment firm, it first approached the REIT in 2024 and later submitted a series of increased proposals. Its latest offer, disclosed in July, would pay $5.28 per unit and values Plaza at about $1.23 billion, including debt. Axia has said the bid is fully financed and supported by Morguard Corp., Plaza’s largest unitholder.

The Toronto-based firm’s leadership includes managing partners Darrell Shipp, Greg Stevenson and Josh Varghese.

Michael Zakuta founded Plaza in 1986. The REIT now owns interests in 189 properties totaling about 8.8 million square feet across Canada. While it maintains its headquarters in Fredericton, much of its senior leadership, including president and CEO Jason Parravano, operates from the Montreal area.

Plaza built its business around necessity-based retail in smaller cities, towns and suburban markets across Ontario, Quebec and Atlantic Canada.

Its portfolio includes grocery-anchored shopping centres, pharmacies, dollar stores and quick-service restaurant properties in communities ranging from Miramichi and Dieppe in New Brunswick to Granby, Chicoutimi and other secondary markets where competition is often less intense than in Canada’s largest cities.

The company has long argued that it is Canada’s last pure-play retail REIT, sticking with shopping centres while rivals such as RioCan, First Capital and Crombie expanded into apartments, industrial properties and mixed-use developments.

That retail focus has become increasingly attractive as investors have poured money into necessity-based shopping centres with strong occupancy and limited new supply.

The special committee said all qualified parties, including Axia, will be allowed to participate if a formal process is launched.

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