Canadian real estate investor Ivanhoé Cambridge has committed US$250 million to urban residential development in India.
The real estate investment arm of Quebec’s provincial pension fund, Caisse de dépôt et placement du Québec, will partner with Mumbai-based Piramal Enterprises Limited to provide for capital for developers of urban residential projects in India’s five major cities. Mumbai, Dehli, Bangalore, Pune and Chennai will be the target cities for development.
Piramal Enterprises will commit an undisclosed amount and co-invest 25 to 50 per cent of each transaction, in addition to Ivanhoé Cambridge’s initial multi-million dollar contribution.
“We are excited to participate in India’s success story alongside one of India’s leading fund manager,” said Daniel Fournier, chairman and chief executive officer for Ivanhoé Cambridge. “Piramal, with its long experience, impressive track record and strong relationship with India’s top developers, will certainly play a key part in the success of this important investment.”
The investment fund will be distributed to select, high-profile developers who have a proven track record of strong return, the press release states.
Ivanhoé Cambridge has nearly 500 properties in its investment portfolio, primarily in office, retail and residential real estate across the globe. In Western Canada, the fund manager owns Metropolis at Metrotown in Burnaby, B.C. and the TD Canada Trust Tower in Calgary, AB, to name just two. This is the company's first venture into Asia.