4 Things To Know About bcIMC’s New Real Estate Company
British Columbia Investment Management Corp yesterday announced the launch of QuadReal Property Group, a private company to manage and grow the pension fund’s $18B real estate portfolio. Here’s what you need to know.
1. It’s internalizing asset management
The bulk of Victoria-based bcIMC's Canadian real estate assets, such as 145 King St W, above, is managed externally by Bentall Kennedy, GWL Realty Advisors and Realstar. Management of these assets—a portfolio that includes more than 500 office, industrial, retail and residential properties in Canada and more than $2B worth of real estate investments outside of Canada—will begin to transfer to Vancouver-based QuadReal in 2017. Bentall Kennedy Canada president Remco Daal is joining QuadReal to run its domestic operations as co-president.
2. It has global growth ambitions
QuadReal, whose portfolio includes Delta Toronto (above), has a mandate to acquire and grow bcIMC’s real estate investments in Canada and in new markets in the US, Asia and Europe. bcIMC CEO Gordon Fyfe says QuadReal’s launch is a “natural evolution for a company of scale and ambition,” and fits perfectly with its strategy to expand its global reach (real estate represents 14% of its $123.6B in assets). Running the international business will be co-president Jonathan Dubois-Phillips, who worked for Lehman Brothers’ global real estate group and was managing director of Asian investment bank Nomura International.
3. It’ll incorporate parts of Bentall Kennedy
It’s not only Remco Daal joining QuadReal from Bentall Kennedy. bcIMC is purchasing certain wholly owned subsidiaries of Bentall Kennedy, the entities that employ those working on the portion of the bcIMC real estate portfolio that Bentall manages. The purchase will be phased, beginning Q1 2017. Gary Whitelaw will continue as Bentall Kennedy Group CEO and Vancouver-based EVP Tony Astles will replace Remco as Canadian ops president. Bentall, owned by Sun Life Financial, says it will continue providing development and leasing services on bcIMC’s 1.3M SF Post Office project in Vancouver (above).
4. It's looking for talent
Jonathan Dubois-Phillips says his team is building a “Canadian-owned, international real estate investment company” that'll expand into new markets by collaborating with partners with the local knowledge and expertise to acquire, develop and manage assets. QuadReal is seeking investment opportunities worldwide. The firm, overseen by an independent board, is “entrepreneurial and ambitious,” adds Remco Daal, and is offering “exceptional opportunities” for recruits who want to help build and manage one of Canada’s largest property portfolios, including Bayview Village Shopping Centre (above).