The Canada Pension Plan Investment Board’s credit division is acquiring the Trafford Centre in Britain after the shopping mall’s owner failed to find a buyer.
The CPPIB Credit Investments Inc. provided a £250-million loan in 2017 that was secured by an equity interest in the Trafford Centre. The mall was placed under protection from creditors earlier this year.
Intu Properties, the mall’s owner, put the Manchester, U.K., mall up for sale after it was placed into administration in June, but no viable bids were made for the property. As the principal secured creditor, the CPPIB exercised its rights to acquire ownership of the mall.
The retail sector has been hit hard by the pandemic, but the CPPIB said it believes the Trafford Centre has strong prospects with strategic management and investment.