Canada Pension Plan Investment Board (CPP Investments) is investing around C$231 million (US$184.77 million) for a 49% stake in its third joint venture with Indian property developer The Phoenix Mills.
The new joint venture called PCREPL, will develop an office-led mixed-use project in the city of Mumbai, with 1.2 million square feet of potential leasable area, CPP Investments says in a statement on November 15.
Their first joint venture in 2017, Island Star Mall Developers Private, was for retail-led mixed-used projects across India, and the second, Mindstone Mall Developers Private, was formed this May to develop a regional retail centre in Kolkata, the capital of the state of West Bengal.
According to CPP Investments, its total investment in the three joint ventures is C$709 million.
“As a longstanding investor in India, this [new] investment cements our already strong and deep presence in the country’s fast-growing property sector, and will deliver steady, long-term returns for CPP contributors and beneficiaries,” Hari Krishna, managing director, real estate – India at CPP Investments, says in the statement.
CPP Investments manages C$519.6 billion of assets for around 20 million members of the Canada Pension Plan, Canada’s largest pension fund.