Canadian fund manager in joint venture with Pavilion Group

KUALA LUMPUR: Canada Pension Plan Investment Board (CPPIB) will invest RM485 million for a 49% stake in the development of Pavilion Damansara Heights.
The Canadian pension fund manager and real estate company yesterday announced its joint venture with Pavilion Group to develop the mixed-use development project in Damansara Heights, Kuala Lumpur.
Representing CPPIB’s first direct real estate investment in Malaysia, Pavilion Damansara Heights is a freehold development integrating corporate towers, luxury residences and a retail galleria.
“We are looking forward to the opportunity to partner with CPPIB in this exciting development in Kuala Lumpur,” Pavilion Group project director Timothy Liew said in a statement yesterday.
He added that the development s a highly anticipated landmark for Damansara Heights and set within Malaysia’s most affluent neighbourhood, offering a world-class integrated development that is synonymous with the Pavilion brand.
CPPIB is a professional investment management organisation that invests the funds of the Canada Pension Plan. CPPIB has a diversified portfolio with investments in public and private equities, real estate, infrastructure and fixed income instruments.
“We are pleased to make our first direct real estate investment in Southeast Asia through this joint venture with one of Malaysia’s most well-respected developers, the Pavilion Group,” said Real Estate Investments Asia managing director and head Jimmy Phua.
“This joint venture fits well with our investment strategy as it provides us with a great opportunity to work with a smart partner in a high-quality real estate asset that will provide attractive risk-adjusted returns over the long term,” he added.
Pavilion Damansara Heights is located in one of the most prime and affluent locations in Kuala Lumpur, less than 10km from Petronas Twin Towers. It is well connected by a network of highways and strategically served by two upcoming MRT stations within walking distance to the development.