TORONTO, July 24,
2024 /CNW/ - Crestpoint Real Estate Investments Ltd.,
one of Canada's leading commercial
real estate equity and debt managers, is pleased to announce the
launch and initial funding of the Crestpoint Opportunistic Real
Estate Strategy (the "Fund"), its first closed-end product.
The Fund, with a twelve-month capital raising period and an
eight-year total term, aims to invest in a range of opportunistic
Canadian real estate investments and has a gross annualized return
target of 15% to 18%. Returns achieved, will be primarily
through capital appreciation delivered through a combination of
selective, strategic acquisitions and Crestpoint's active, hands-on
approach to asset management.
Coinciding with the launch and initial closing, Crestpoint is
also pleased to announce that the Fund has completed its first
investment, 1318 Thurlow Street, a 0.4 acre development site
located on the southwest corner of the intersection of Thurlow and
Burnaby streets in the popular West End neighbourhood of downtown
Vancouver, B.C. When completed,
this 32-storey, concrete, purpose-built multi-family rental
building, comprised of 300 units including a mix of studio, 1-, 2-
and 3-bedroom suites, with a range of indoor and outdoor amenity
space, will offer tenants impressive views. With a Walk ScoreĀ® of
96, the property is strategically located in a transit-oriented
community in close proximity to restaurants, shopping, Sunset Beach, the downtown business district,
hospitals and universities. Partnering with Anthem Properties Group
Ltd., Crestpoint, on behalf of the Fund, has acquired a 77%
interest in the property with Anthem Properties owning the
remaining 23% interest.
"Since Crestpoint's inception in 2010, some of our best
investments have been in periods characterized by the market
volatility and dislocation we see today," said Kevin Leon, CEO of Crestpoint. "We believe it's
a compelling investment environment. We expect to use multiple
strategies to create and capture value, including repositioning
undermanaged assets, recapitalizing properties with weak balance
sheets and renovating existing buildings to higher standards."
The Fund, focusing on capital appreciation, is designed for
institutional clients seeking access to a higher potential return
portfolio than available in core real estate, providing them with
additional choice and an opportunity for diversification. This
strategy complements Crestpoint's existing flagship, $5.3 billion open-end Core Plus Real Estate
Strategy, which has been one of the top-performing core/core plus
funds in Canada since its
inception in 2011. In 2022, Crestpoint launched the Crestpoint Real
Estate Debt Strategy, an open-ended mortgage fund that has
outperformed its benchmark since inception.
Max Rosenfeld, EVP and Head of
Asset Management at Crestpoint, added, "This new strategy leverages
our management expertise and deep relationships within Canada's real estate investment community,
strengths that have enabled us to successfully complete over
$3 billion in value-add and
opportunistic investments over the last 13 years."
Following the success of this initial capital raise, the Fund
will hold subsequent closings to allow additional investors to
participate, with the next close expected to be in Q4
2024.
Learn more about this exciting new offering in a video with
Crestpoint's CEO, where he highlights the details and opportunities
ahead. Watch the video here.
About Crestpoint
Crestpoint Real Estate Investments Ltd. is a commercial real
estate investment manager dedicated to providing investors with
direct access to a diversified portfolio of commercial real estate
equity and debt investments. With over $10
billion under management, Crestpoint is an affiliate of the
Connor, Clark & Lunn Financial Group, one of Canada's largest private, independently held
multi-boutique asset management firms with offices throughout the
country and in the US, the UK and India. CC&L Financial Group and its
affiliates collectively manage over C$133
billion in assets across a broad range of traditional and
alternative investment products and solutions for institutional,
high-net-worth and retail clients. For more information, please
visit crestpoint.com.
SOURCE Crestpoint Real Estate Investments Ltd.