![AIMCo, PSP Investments to buy multi-family property in Denver](https://www.benefitscanada.com/wp-content/uploads/sites/7/2017/10/Denver.png)
The Alberta Investment Management Corp. and the Public Sector Pension Investment Board are partnering with Starlight Group Property Holdings Inc. to acquire a multi-family property in Denver for US$1.3 billion.
Besides Denver, the partnership aims to acquire Class A, recently constructed, multi-family communities in the suburban markets of Atlanta; Dallas and Austin, Texas; Orlando and Tampa, Fla.; and Phoenix, Ariz.
Specifically, the partnership is aiming to target markets that demonstrate superior growth potential for rental income due to dynamics such as population, economic and employment growth, according to a news release.
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“We are entering into this newly formed partnership with great excitement and expectations,” said Neil Cunningham, senior vice-president and global head of real estate and natural resources at PSP Investments. “We are looking forward to working closely with Starlight and AIMCo to assemble a large, professionally managed, institutional-quality portfolio of multi-family properties in select U.S. markets.”
Michael Dal Bello, senior vice-president of real estate at AIMCo, noted the opportunity for the fund to expand its multi-family footprint to new markets. “The partnership capitalizes on the synergies of our respective investment programs and creates a long-term platform to generate the returns required of our clients and stakeholders.”
The first acquisition is in the northern corridor of Denver, 25 minutes from downtown. The 465-unit complex consists of 20 three-storey apartment buildings with amenities such as fitness and business centres, a games room, two swimming pools, neighbourhood parks and walking trails.