The CPP Investment Board has committed US$125 million to acquire a 39% interest in a joint venture sponsored by a U.S.-based real estate private equity firm.
The joint venture sponsored by Callahan Capital Partners(CCP)owns five class A office properties totaling 2.8 million square feet and a development parcel in downtown Denver, which were acquired in March for US$770 million from Blackstone Group.
“This investment increases our exposure to top tier U.S. office properties and supports our efforts to diversify the CPP Investment Board’s real estate portfolio in North America and globally,” says the board’s senior vice-president, real estate investments, Graeme Eadie. “The CCP management team’s long and impressive track record at operating and creating value in large office portfolios fits well with the CPP Investment Board’s long-term investment strategy.”
Last month, CPPIB announced it would invest $572.4 million in the ProLogis European Fund II(PEPF II), which focuses on acquiring and managing a diversified portfolio of core institutional-quality distribution facilities in Europe. To read CPPIB Invests in Property Fund, click here.
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