CPPIB Creates Joint Venture With Dream Industrial to Buy $2 Billion in Real Estate

Canada Pension Plan Investment Board and Dream Industrial Real Estate Investment Trust formed a joint venture to buy as much as C$3 billion ($2.2 billion) in industrial real estate across Canada.

CPPIB will contribute C$1 billion in equity capital, while Dream Industrial is allocating C$100 million, the firms said in a statement Wednesday. The venture will initially buy 12 assets in Ontario, Quebec and Alberta from Dream Industrial for C$805 million. Real estate comprised 7% of the pension plan’s total assets as of March 31.