Calgary-based Avenue Living Asset Management has suspended redemptions at its two major real estate trusts as their boards consider taking them public. The C$9.8 billion manager announced that investors seeking to withdraw capital will face delays of up to six months while the strategic review unfolds.

The suspension affects Avenue Living Real Estate Core Trust and Mini Mall Storage Properties Trust, which collectively represent the bulk of Avenue Living's assets under management. Both funds will halt new capital inflows during the review period. The company stated that investors who redeemed at the end of February won't receive their payments until at least September.

This move reflects broader challenges facing Canadian alternative-asset managers as higher interest rates and property-market volatility strain valuations. Several firms have implemented similar "gating" mechanisms to limit redemption requests. While Avenue Living recommended pursuing a public listing, no guarantees exist that the strategic review will result in a transaction.