Canada Pension Plan Investment Board (CPP Investments) has reached a definitive agreement to sell its 50 percent stakes in its Birmingham, U.K., joint ventures, the Bullring and Grand Central Shopping Centres, to its long-standing joint venture partner Hammerson Plc for £319 million ($424 million). The Bullring forms the majority of the transaction and was sold at book value at a net initial yield of 6.4 percent and a topped up net initial yield of 7.1 percent. Net proceeds for CPP Investments in total will be approximately C$615 million ($447 million). The transaction is expected to close in August.
CPP Investments originally invested in a 16.7 percent interest in the Bullring in 2013 and subsequently increased its holding to 50 percent in 2022. The investment in Grand Central was made in 2016. The Bullring is a top-five shopping center in the United Kingdom, featuring 1.3 million square feet of prime retail space in Birmingham. During the past 12 years, working in partners
