Anthem Properties Group Ltd. is moving forward with its Glenmore Yards development in Calgary, four years after acquiring the 95-acre brownfield site from Prudential Steel ULC.

The first phase includes 438,300 square feet of industrial space across three buildings on 20.8 acres in partnership with Vernon-based Arrowleaf Real Estate Holdings Ltd.

Two buildings will feature small-format bays of 7,400 to 11,000 square feet, touted as ideal for businesses requiring showroom space with retail exposure, while a third building will provide medium-format warehouse space with bays of 14,300 square feet designed to serve a wide range of operational needs.

“Calgary has long had consistent demand for modern, small‑ to mid‑format industrial space, but supply at meaningful scale has been limited,” said Sean Day, vice-president, Industrial, with Anthem Properties Group.

A key barrier of such projects is a higher cost relative to large-format developments, which is where the partnership with Arrowleaf provides valuable support. The two companies have an existing partnership to develop Arthur, a 254-unit multi-family rental project adjacent to Mount Ruoyal University in southwest Calgary. The experience to date gave Anthem the confidence to invite Arrowleaf to partner on the current project.

“Anthem regularly partners on development and income‑producing assets to diversify capital, reduce risk, and expand across markets,” Day said. “Anthem and Arrowleaf share investment goals, entrepreneurial culture, and Western Canadian roots, making this a natural and, more importantly, valued repeat partnership.”

Arrowleaf, which is seeking to diversify its portfolio beyond retail-oriented assets, was game. It saw an opportunity to redeploy capital from recent asset sales towards a larger project in a growth market.

“Industrial fundamentals in Calgary remain compelling, but the margin for error is tighter than it’s been in years,” said Arrowleaf chief operating officer Robert Harrison. “That makes trusted partnerships essential. Working alongside Anthem allows us to combine local market insight, development expertise, and a shared long-term perspective to manage risk thoughtfully and deliver high-quality space where demand is real and durable.”

Both projects with Anthem are set to complete next year, promising a quick turnaround with a view to cash flow in the near term alongside long-term market growth.

While pre-leasing at Glenmore Yards has begun, no deals have been signed. The strategic location of the site at the intersection of Glenmore Trail and Barlow Trail makes it ideal for what Day called “showcase industrial.”

“Tile and flooring, granite, furniture, appliances, plumbing and HVAC equipment,” he explained. “You’ll have a showroom in the front where your product is displayed, and then it’s warehoused and distributed in the back.”

The development is also a short distance from the proposed South Hill transit station on Calgary’s planned Green Line LRT, which will bring the area within the ambit of workers.

One of the largest industrial land parcels in southeast Calgary, the site was formerly home to a plant producing welded steel pipes for the energy sector. Prudential Steel closed the plant in 2020 citing capital budget cuts in the oil and gas sector, foreign competition and the economic downturn flowing from pandemic-era restrictions.

Glenmore Yards will be built out in four phases totalling 1.7 million square feet of warehouse, flex office/industrial space and ancillary retail.

The development will nearly double Anthem’s existing industrial portfolio in Western Canada of 1.8 million square feet.

The first phase will also boost Arrowleaf’s existing industrial base of 1.3 million square feet. Arrowleaf has not committed to partnering with Anthem on future phases, but is open to doing so in line with market conditions and other factors.

In addition to the venture with Anthem and its own holdings, Arrowleaf partnered with Upfield Capital Management Ltd. last year on the acquisition of a 206,0000-square-foot Home Depot distribution centre with 7.5 acres of vacant industrial land in Edmonton’s Acheson industrial area for $55.15 million.