- Name:Â CPP Investments
- HQ:Â Toronto, Canada
- AUM:Â CA$529 billion
- Allocation to private debt: 14%
CPP Investments acted as lead investor for Harbor Group International’s latest multifamily credit offering, according to a press release from the Norfolk-based real estate investment management firm.
The $1.6 billion final closing for the HGI Multifamily Credit Fund is marked by a commitment of $585 million from CPP Investments, continuing a tenured relationship that has seen the Canadian pension back three HGI investment vehicles since 2019.
In 2020, CPP Investments was lead investor in HGI’s multifamily whole loan platform, committing $110 million. In 2019, CPP Investments committed $180 million to HGI’s Freddie Mac Supplemental Loan programme.
The fund seeks to achieve attractive risk-adjusted returns by investing in US multifamily credit opportunities including senior mortgage loans, Freddie Mac K-series bonds, preferred equity and mezzanine debt investments and investments in securitised multifamily mortgage products.
CPP Investments currently allocates 14 percent of its total investment portfolio to private debt, comprising around CA$74.1 billion ($55.5 billion; €51 billion) in capital. The pension’s target allocation to the asset class is unknown.
As illustrated below, the CA$529 billion pension’s recent fund commitments have tended to be made to on Asia-Pacific focused vehicles that utilise a senior debt strategy.
Platinum subscribers may click here for the investor’s full profile, including key contacts, allocation strategy and fund investments.