CPPIB Eyes Real Estate Deals

TORONTO (Reuters) - Canada Pension Plan Investment Board, fresh from striking its biggest real estate deal ever, is weighing three or four other acquisitions as it looks to scoop up undervalued assets in a tumultuous global property market.

CPPIB struck three major real estate investments in the last month. It is part of a joint venture that agreed a $4.8 billion deal to buy a U.S. regional mall portfolio from Australia's Westfield Group (WDC.AX: Quote). CPPIB paid $1.8 billion for its stake, its biggest bet ever on real estate.

Also this week CPPIB said it would join forces with one of Britain's top commercial property companies, Land Securities Group (LAND.L: Quote), to develop land in Victoria Circle in London's West End.

Eadie wouldn't give specifics about any deals in the pipeline except to say he was keeping busy.

Westfield Plans $1.6 Billion Development

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Westfield Group (WDC) plans to start a 1 billion pound ($1.6 billion) redevelopment at a site it owns in London’s White City area adjacent to its shopping center, as it boosts its pipeline for projects amid a recovery in sales.
The company is now seeking public feedback on plans for the redevelopment, which will include 1,700 homes and about 48,000 square meters (516,668 square feet) of retail space, the world’s biggest shopping center operator by market value said in an e- mailed release.

Westfield Group Doubles London Bets

Westfield Group (WDC), the world’s biggest shopping-center owner, is making a $1.2 billion bet that its new mall in east London will thrive long after the 2012 Olympic Games are over. That’s because it’s targeting some of the country’s wealthiest consumers.
“We see two completely separate markets,” Peter Lowy, one of Sydney-based Westfield’s joint managing directors, said in an interview. “There’s strength in London and much less strength in the rest of the country.”
Westfield Stratford City will be Europe’s largest urban mall when it opens close to the main Olympic site in September. Many of its customers will come from the City of London and Canary Wharf financial districts and neighborhoods such as Shoreditch and Islington, where disposable incomes are higher than the national average and the risk of government job losses is lower.

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