Canada Pension Plan Investment Board (CPP Investments) and MGRV, a South Korean rental housing provider, have formed a C$500 million ($348 million) joint venture to develop rental housing projects in South Korea. CPP Investments will hold 95 percent of the venture, and MGRV will own the remaining 5 percent.
The joint venture, CPP Investments’ first direct investment in the residential sector in South Korea, aims to develop properties in key corridors of Seoul, close to major business districts and leading universities. CPP Investments has committed up to KRW 133 billion ($92.5 million) to the joint venture’s seed projects in Seoul.
“This joint venture offers an excellent opportunity to enter the residential sector in Korea and meet the strong demand for high-quality rental housing in the greater Seoul area, where half of Korea’s population resides,” said Sophie van Oosterom, managing director, head of real estate at CPP Investments. “We are pleased to work
