TORONTO (Reuters) - Canada Pension Plan Investment Board, the largest pension fund manager in Canada and one of its most active dealmakers, said on Tuesday it has invested C$170 million ($130 million) in a Malaysian real estate joint venture, marking its first direct real estate investment in Southeast Asia.
Toronto-based CPPIB said along with the Pavilion Group it has formed a venture to invest in Pavilion Damansara Heights, a mixed-use development project in Kuala Lumpur, Malaysia’s largest city.
The project is a freehold development that integrates corporate towers, luxury residences and a retail galleria located less than 10 kilometers (6.2 miles) from Malaysia’s iconic Petronas Twin Towers.
“This joint venture fits well with our investment strategy as it provides us with a great opportunity to work with a smart partner in a high-quality real estate asset that will provide attractive risk-adjusted returns over the long term,” Jimmy Phua, CPPIB’s head of real estate investments in Asia, said in a statement.
Reporting by Euan Rocha; Editing by Paul Simao