Ads Google

CPPIB sale of $1bn property sale has collapsed amid COVID-19

by Steve Randall on 23 Mar 2020

The Canadian Pension Plan Investment Board (CCPIB) will not now sell its stake in a mixed-use development in London.

The office, restaurant, and retail development is in the Victoria district of the UK capital and is owned by a joint venture between CPPIB and Land Securities plc.

Bloomberg reported Friday that the sale of the Nova development to Singapore’s ARA Asset Management will not happen due to the havoc caused by the coronavirus outbreak.

The sale of the 50% stake would have netted the pension fund more than C$500 million.

Retirement funds are safe
Although none of the parties have commented on the story, separately CPP Investments, which manages the fund’s investments on behalf of Canadians, issued a statement of reassurance that it is “built for the long haul.”

Despite the risks created by the COVID-19 outbreak and its impact on the markets, Mark Machin, president & CEO of CPP Investments, said that “the sustainability of your CPP Fund remains secure.”

He added that, while the full impact of the coronavirus outbreak is yet to be known: “We believe strongly, however, that our long-term investing view, our deep bench of talent and expertise, and our highly-diversified portfolio will continue to serve the Canadians who depend on us for the safety of their retirements.”

Post a Comment

Most Trending News

Training new skilled trades workers must be a priority

While there has been a deceleration in new home sales, we must keep the pedal to the metal and continue to train skilled trades workers for the future.

Read More
To build 1.5M homes, we must think outside the box

Many jurisdictions in the U.S. have been thinking outside the box to boost the housing supply. Here in Ontario, we’d be wise to follow suit.

Read More
Upcoming free event: Canadian Real Estate Investment Summit

This free summit will feature top experts in Canadian real estate who will share their knowledge on a broad range of topics. It will be presented on Sat. Jun. 18th from 12pm-3pm.

Read More