MONTREAL, Aug. 3, 2012 /CNW Telbec/ - Ivanhoé Cambridge is strengthening the position of its commercial portfolio in Brazil with the acquisition of 73.2% (with an option to acquire the remaining portion) of Shopping Golden Square, a shopping centre under development in the area of São Paulo. As well, Ivanhoé Cambridge is to begin the expansion of Porto Velho shopping centre, opened in 2008, and entirely developed with its Brazilian partner, Ancar Ivanhoe. These two projects represent an investment of CA $132.8 million.
"We are pleased to enhance our competitive position in São Paulo," said Claude Sirois, Executive Vice-President, Commercial Investment and Emerging Markets. "Shopping Golden Square offers a unique opportunity to acquire majority ownership in a dominant property in the suburbs of São Paulo."
Located on a main artery in São Bernardo de Campo, a highly sought after residential area in the São Paulo suburbs, the shopping centre will be developed on three floors and will occupy an area of 30,000 square metres (322,939 square feet). Agreements have been reached with many renowned retailers, with about half the rental space already reserved. This property is added to 11 other shopping centres that the Quebec-based company owns in Brazil. The centre's opening is set for April 2013.
The transaction is carried out with Ancar Ivanhoe, which enjoys an excellent reputation in shopping centre management with the expertise of its teams and the quality of the services it provides to retailers. The Brazilian subsidiary will assume full management of Shopping Golden Square.
The expansion of the Porto Velho shopping centre, which now has 145 shops, will be undertaken in two phases. The expansion will add 13,723 square metres (147,713 square feet) to the present area of 29,929 square metres (322,153 square feet) and allow for the opening of seven department stores, a new food court and 543 new parking spaces. Opening of the centre's expanded space is expected in November 2013.
The Ancar Ivanhoe partnership has led to various successful investments in Brazil. In addition to the expansion of Porto Velho Shopping, they include Shopping Interlagos in São Paulo as well as Shopping Nova América, Downtown, Botafogo Praia Shopping and Boulevard Rio Iguatemi in Rio de Janeiro.
About Ivanhoé Cambridge
Ivanhoé Cambridge is one of the ten largest real estate companies in the world, with over $30 billion of assets in over 20 countries as at December 31, 2011. Ivanhoé Cambridge is a real estate subsidiary of the Caisse de dépôt et placement du Québec (lacaisse.com), one of Canada's leading institutional fund managers. For more information, visit ivanhoecambridge.com.
SOURCE IVANHOE CAMBRIDGE