The California State Teachers’ Retirement System (CalSTRS) and First Industrial Realty Trust have set up a joint venture to invest in industrial real estate across Canada.
The new venture will invest approximately US$285 million. CalSTRS has agreed to initially contribute up to $90 million while First Industrial will initially contribute up to $10 million.
Investments will be made in strategically-located land parcels for build-to-suit and speculative development, as well as acquisitions of industrial facilities to be redeveloped, repositioned and leased.
“This new joint venture capital will support further investments in Canada through our recently-opened offices serving the growing Toronto and Calgary/Edmonton markets,” says Mike Brennan, president and CEO of First Industrial.
The Toronto industrial market is the fourth largest in North America and a critical distribution hub for Ontario, Northwestern Quebec and the Northeastern United States. Calgary is the major western distribution hub for Canada, and Edmonton serves as a key distribution and service centre for major natural resource industries.
For more about investing in real estate, click here, to read A Trustee’s Guide to Alternative Investments.
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