Home Real Estate Canadian pension funds share ownership of NZ property portfolio

Canadian pension funds share ownership of NZ property portfolio

by Jonathan Adams

Two Canadian public service pension funds have agreed to share ownership of a billion-dollar New Zealand property portfolio.

The Canada Pension Plan Investment Board is buying a half-share in the portfolio of office and retail properties owned by fellow Canadian investor PSP Investments for $580 million (£457.26 million).

The 13-building portfolio will continue to be managed by AMP Capital.

AMP portfolio manager Nick Cobham said the Canadian investors were attracted by New Zealand’s strong economic fundamentals, stable market and strong population growth.

“With both investors’ support, we can look forward to further improving investment returns as the portfolio participates in redevelopment and further acquisitions in the office and retail sectors in the near future.”

The properties include the Botany Town Centre and Manukau Supa Centre in Auckland, and a 13-level office building in St Pauls Square near the Beehive in Wellington.

The deal still needed the approval of the Overseas Investment Office, but since the sale was between foreign companies, it was not likely to be declined.

This article is for information purposes only.
Please remember that financial investments may rise or fall and past performance does not guarantee future performance in respect of income or capital growth; you may not get back the amount you invested.
There is no obligation to purchase anything but, if you decide to do so, you are strongly advised to consult a professional adviser before making any investment decisions.

Related News

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Know more