CPPIB Invests in China’s West Paradise Walk Mall With Longfor
By Scott Deveau, Bloomberg News
Canada Pension Plan Investment Board, the country’s largest pension fund, said it plans to invest C$193 million ($147 million) in a Chinese shopping mall, forging a second joint venture in the country with its partner Longfor Properties Co.
CPPIB’s investment will give it a 49 percent stake in the Chongqing West Paradise Walk, a six-level shopping mall built in 2008 in one of China’s largest cities, the partners said in a statement Thursday. Longfor is a retail mall developer in China.
“This joint venture fits well with our investment strategy and allows us to invest alongside a highly experienced partner in a high-quality real estate asset that will provide attractive risk-adjusted returns over the long term,” said Jimmy Phua, CPPIB’s head of real estate investments in Asia.
CPPIB and Longfor established its first joint venture in 2014 with a mixed-use real estate project in Suzhou, which included the development of a Paradise Walk mall. Pinnacle Real Estate Capital Partners was the independent adviser for the investment and will have an ongoing role with CPPIB and Longfor, the companies said.