Ivanho茅 Cambridge has backed the US-based Prologis in setting up a $890m (鈧�780m) logistics joint venture in Brazil.
The C$60bn (鈧�40.09bn) real estate investment arm of Quebec鈥檚 sovereign fund, Caisse de d茅p么t et placement du Qu茅bec, has agreed with Prologis to form Prologis Brazil Logistics Venture. Ivanho茅 Cambridge will hold an 80% stake in the partnership.
The partnership will develop and operate logistics real estate in Brazil, specifically in S茫o Paulo and Rio de Janeiro.
The venture, which is subject to customary closing conditions, will acquire an initial portfolio of assets of around 6.9m square feet of operating properties and 371 acres of land from Prologis鈥� balance sheet, with a commitment to build out the existing land bank.
Gene Reilly, Prologis鈥� CEO for the Americas, said more than 40% of Brazil鈥檚 economic activities are concentrated in S茫o Paulo and Rio de Janeiro. 鈥淲ith this venture, we are well-positioned,鈥� he said.
鈥淲e are very excited to continue building our highly successful Brazil business with Ivanho茅 Cambridge, a new strategic partner that brings extensive experience in Brazil specifically and in global real estate generally.鈥�
Rita-Rose Gagn茅, the president for growth markets at Ivanho茅 Cambridge said: 鈥淲e have been investing in Brazil since 2006 and continue to do so with a long-term view.
Quality of partners and assets were the keys, she said.
鈥淭his venture aligns with our global approach to significantly increase our investments in the industrial and logistics space in key markets around the world.鈥�
