Canada Pension Plan Investment Board committed an additional US$400 million to Goodman China Logistics Holding, the board’s joint venture with real estate investment manager Goodman Group, to develop logistics projects in China.
Goodman Group will commit an additional US$100 million. The new commitments bring the total for the joint venture, which invests in warehouse and industrial properties, to US$2 billion. The board, which oversees C$234.4 billion (US$207 billion) in assets for Canada Pension Plan, Ottawa, has committed 80%, or US$1.6 billion, to the joint venture, said Linda Sims, CPPIB spokeswoman.
As of Sept. 30, GCLH has invested in 27 logistics projects in 10 Chinese cities.
The CPPIB’s additional commitment is the second to a joint venture with Goodman Group in the past four months. On Aug. 14, the board said it would commit US$500 million to Goodman North American Partnership, a joint venture that invests in U.S. warehouses. The board’s overall commitment to that joint venture is US$900 million.
CPPIB had 11.6% of its assets invested in real estate as of March 31, according to the board’s website.
