Canada鈥檚 Public Sector Pension Investment Board (PSP Investments) has confirmed its investments in a prime London office portfolio.
Aviva Life & Pensions UK is selling 50% of its portfolio of central London real estate to PSP, the Canadian public sector pension-fund manager. The portfolio is worth around 拢1bn (鈧�1.41bn), according to media reports.
said it will continue to manage the portfolio of 14 prime assets, with the joint venture focusing on the office and retail sectors.
Neil Cunningham, global head of real estate at PSP Investments, said: 鈥淭his investment is consistent with [our] real estate strategy to invest in prime and dynamic city centres we expect will outperform in the future, and is complementary to [our] existing portfolio in London.鈥�
The portfolio includes income-generating assets and development opportunities in London鈥檚 City and West End districts.
Ed Casal, global chief executive for real estate at Aviva Investors, said: 鈥淐onditions remain strong in the central London office sector as robust occupier demand continues to put upward pressure on rents.
鈥淪imilarly, central London shops continue to benefit from low vacancy, booming tourist numbers and extremely strong demand from international retailers.鈥�
PSP Investments has previously invested in London鈥檚 office sector with Real Estate.
