CPP Investments, Dream Industrial REIT, and Dream Asset Management Corporation Form $3 Billion Joint Venture for Canadian Industrial Assets

Executive Summary

• CPP Investments, Dream Industrial REIT and Dream Asset Management have formed a new Canadian industrial joint venture with $1.1 billion of equity capital committed.
• The JV will have roughly $3 billion of acquisition capacity (including leverage) to target last‑mile industrial assets across major Canadian markets.
• An initial portfolio of 12 properties totaling 3.6 million sq ft in Ontario, Quebec and Alberta is being acquired from Dream Industrial for approximately $805 million.

Key Details

• Equity Capital: $1.1 billion total – $1.0 billion (≈90%) from CPP Investments and $0.1 billion (≈10%) from Dream Industrial.
• Acquisition Capacity: Approximately $3.0 billion of industrial assets, inclusive of debt financing.
• Initial Portfolio: 12 Canadian industrial assets, 3.6 million sq ft, purchase price $805 million.
• Asset Management: A subsidiary of Dream will serve as the JV’s asset manager; a Dream Industrial subsidiary will provide property management and leasing services.
• Strategic Rationale: Target “last‑mile” industrial properties with strong connectivity to population clusters and transport routes, capitalizing on resilient demand in Canada’s logistics sector.
• Advisors: TD Securities, RBC Capital Markets, Colliers Capital Markets and CBRE (financial); Stikeman Elliott LLP and King & Spalding LLP (legal).

Notable Quotes

• Sophie van Oosterom, Managing Director, Head of Real Estate at CPP Investments: “The Canadian industrial sector continues to demonstrate resilient demand… we can efficiently scale our exposure in the Canadian market to capture this growth.”
• Alex Sannikov, CEO of Dream Industrial REIT: “We are excited to partner with CPP Investments… this new Joint Venture is highly complementary to the strategic direction of Dream Industrial.”
• Michael Cooper, Founder & Chief Responsible Officer of Dream: “With this partnership, we expect to surpass $30 billion of assets under management and increase our growth rate.”