SAO PAULO, BRAZIL — South Carolina-based Greystar Real Estate Partners has announced it is partnering with the Canada Pension Plan (CPP) Investment Board and a Brazilian realty firm to develop multi-family rental housing in Sao Paulo, Brazil.
Cyrela Brazil Realty is the Brazilian investor. CPP Investments will maintain majority interest in the joint venture, Cyrela will also own a significant interest and Greystar will acquire an ownership interest through the expansion of the partnership, stated a Sept. 1 release.
The statement said, “The joint venture partners will develop a portfolio of world-class rental housing assets across Sao Paulo’s most desirable, walkable and well-connected neighbourhoods. Each community will have distinctive design elements and exceptional amenities, appealing to a variety of tenants who seek convenience, comfort, security and an active urban lifestyle.”
The value of the investment was said to be R$1 billion in combined equity, worth approximately $240 million.
Four development projects were initially identified as assets to seed the joint venture, with three already secured by the platform.
“CPP Investments sees increasing demand in the rental multi-family sector in Brazil, which will particularly benefit developers of modern, high-quality residential space,” said Hilary Spann, managing director, head of real estate Americas for CPP Investments, in the statement. “We are pleased to join our partners Cyrela and Greystar in building a best-in-class portfolio in Brazil.”