The Public Sector Pension Investment Board, Ottawa, purchased Retirement Residences Real Estate Investment Trust in a C$2.8 billion (US$2.5 billion) deal, said John Lute, REIT spokesman. The offer includes C$776.6 million in cash and more than C$2 billion in debt. The trust recommended the board's offer over an C$800 million all-cash offer by PR Capital Corp., a real estate firm owned by Paul Reichmann.
The board is making the investment using its 10% allocation to real estate, said Anne-Marie Laurendeau, director of communications and government relations for the pension board.
The pension investment board manages C$4.2 billion for the Canadian Public Services, Canadian Forces and the Royal Canadian Mounted Police pension funds.
