Arrowleaf Sells Eight B.C. Properties, Signaling Strategic Portfolio Realignment and Expansion for Diversified Growth
We have completed the sale of eight properties across British Columbia to a Lower Mainland–based investor group, a significant transaction that reflects our firm’s strategy to rebalance and streamline its national portfolio while increasing capacity for reinvestment into higher-growth asset classes and new development opportunities.
Vernon, British Columbia – December 15, 2025 – Arrowleaf Real Estate Holdings has completed the sale of eight properties across British Columbia to a Lower Mainland–based investor group, a significant transaction that reflects the firm’s strategy to rebalance and streamline its national portfolio while increasing capacity for reinvestment into higher-growth asset classes and new development opportunities.
Totaling 49,976 square feet in Burns Lake, Chetwynd, Dawson Creek, Fort St. James, Houston,
Mackenzie, Smithers and Williams Lake, the properties are home to long-standing Kal Tire locations secured by corporate covenant leases. The assets were sold at an 8 percent cap rate, reflecting their stable tenancy and strong market demand for essential service retail in smaller B.C. communities. The stores are corporately owned and operated by Kal Tire and will continue to operate uninterrupted on those sites.
This sale represents a purposeful divestiture of legacy assets, representing only a fraction of Arrowleaf’s portfolio, positioning the firm to reinvest in a range of projects across Canada, including Via District, a master-plan community in the firm’s home town of Vernon, B.C. With business roots dating back to 1953, the firm is the real estate investment arm of a private family enterprise that includes operating businesses in the domestic and international automotive/tire and the moving/logistics sectors (Kal Tire and BigSteelBox).
“This transaction aligns with our long-term strategy to diversify into new locations, simplify operations, and redeploy capital into properties that better reflect our evolving investment priorities,” said Andrew Kurbis, Executive Managing Director of Arrowleaf. “This is aligned with our long-term strategy to focus on expanding into high priority markets and asset classes.”
The decision to sell these specific assets reflects Arrowleaf’s disciplined approach to portfolio
management. An additional tranche of seven properties was sold earlier this year across Southern B.C. and Vancouver Island, and a third tranche will be listed next year in Alberta, Saskatchewan and Manitoba. All offer a unique opportunity for investors looking for secure real estate investments with a strong corporate covenant tenant.
“We look forward to building a strong partnership with our new landlord while continuing to deliver exceptional customer service to customers across all eight locations,” said David Penner, director real estate & construction, Kal Tire.
“Despite various political and economic headwinds across British Columbia and Canada in 2025, our team has continued to see robust demand and continued confidence from private investors for Triple-Net retail properties throughout Western Canada,” said Joe Genest, Managing Director at Marcus & Millichap. “Stable, predictable and dependable continuity of cash-flow was a top priority for most investors, and the reason Kal Tire portfolio opportunities have been so attractive to the marketplace. Investors demonstrated keen interest in retail properties with name-brand national tenants backed by corporate covenants and carefree, triple-net leases in secondary and tertiary markets throughout
Western Canada. Pent up demand continues to build for Arrowleaf’s next tranche of Kal Tire assets coming to market in early 2026, another attractive offering with solid fundamentals.”
The eight properties sold for a total of $7.3 million.
Media Contact:
Cori Howard Communications
cori@corihowardcommunications.com | 778-987-1345
About Arrowleaf:
Arrowleaf is a real estate investment firm managing over 2.1 million square feet of multi-family,
industrial, retail, and office properties throughout Canada. With roots dating back to 1953, the firm is the real estate investment arm of a Vernon, BC based private family enterprise that includes operating businesses in the domestic and international automotive/tire and the moving/logistics sectors (Kal Tire and BigSteelBox). Arrowleaf maintains a long-term investment perspective and is committed to acquiring and developing properties that drive regional growth and support sustained operational performance.