Developer Luc Poirier says he wants to buy back the property he sold to the Quebec government for the same price of $240 million that he sold it for in what was described at the time as the largest-ever Quebec land sale. Plans to build a major battery production facility at the site fell apart.
Poirier confirmed in a text message to CoStar News that he is seeking to repurchase the 413-acre site at the same price. But he has some competition.
The real estate investor purchased the vacant land spread out over the municipalities of McMasterville and Saint Basile le Grand south of Montreal for $20 million in 2015. The empty fields once contained an explosives factory operated by Canadian Industries Limited that employed 600 workers before it closed in the 1980s. Poirier aimed to build housing on the space.
Poirier sold the property to the provincial government for $240 million in November 2023, as part of the $7 billion government project to partner with Sweden-based Northvolt for a car battery production plant. The ill-fated Northvolt Six venture was slated to bring 3,000 jobs to the area south of Montreal.
The Northvolt Six project was shelved after Northvolt ran into financial issues and eventually filed for bankruptcy in North America and in Sweden in March. A Quebec Superior Court judge declared the North American branch of battery maker Northvolt insolvent earlier this month.
Northvolt completed only a fraction of the construction work required for the plant, including site preparation. A proper access road would still need to be added to provide access to the riverside property.
Despite his handsome profit on the transaction, Poirier contends he sold the property at lower-than-market value. Poirier's notion that the land was worth more than he sold it for was supported by a JLL report earlier this year that assessed the value of the land at $315 million.
Poirier is not the only party interested in the property. In August, San Jose, California-based Lyten purchased Northvolt's assets in Sweden and Germany and confirmed it would also like the Northvolt Six property.
"Lyten is actively progressing discussions with Northvolt North America, the Government of Canada, the Government of Québec and other key local stakeholders," Lyten said in a press release.
The governing Coalition Avenir Quebec, led by Premier Francois Legault, announced earlier this month that the failed battery venture will cost taxpayers roughly $270 million.
The Quebec government invested $510 million in the project, including a $240 million guaranteed loan and a $270 million investment in Northvolt’s North American operation. It has managed to recoup roughly $200 million of its investment through court procedures.