The OPSEU Pension Trust is partnering with several investment firms to buy three buildings in the downtown Toronto financial district.
The properties are anchored to the Dynamic Funds Tower, the OPTrust’s current corporate headquarters. The other investors include the Great-West Life Real Estate Fund, the London Life Real Estate Fund and I.G. Investment Management Ltd. as trustee for Investors Real Property Fund.
“As a pension management organization, it’s critical we find income-generating assets that align with our members’ requirements of providing plan sustainability and security,” said Rob Douglas, managing director of real estate investments at OPTrust, in a press release. “With strong demand and historic low vacancy rates for Toronto office space and the shared interest of trusted strategic partners, this property presented a unique and valuable opportunity to invest in a high-profile property in the heart of Toronto’s downtown core.”
The Dynamic Funds Tower is a 30-storey LEED Gold certified office tower. The other two buildings are a nine-storey boutique office building and a three-storey retail space.
“In today’s competitive market where there are limited opportunities to acquire Class A office buildings in core markets, we’re pleased to have completed this transaction,” said Ralf Dost, president of GWL Realty Advisors, which will be managing the buildings. “This acquisition adds another high-quality asset to our clients’ real estate investment portfolio and fits within our downtown strategy.”
Previously, the Canada Pension Plan Investment Board and Oxford Properties Group, the real estate investment arm of the Ontario Municipal Employees Retirement System, co-owned the properties.
In other investment news, the Ontario Teachers’ Pension Plan began an investment partnership with Fleet Complete, a workforce management solutions provider for vehicle fleets. The company has exposure throughout North and Central America, Australia and several countries in Europe.