Details on Ivanhoé Cambridge's $300 million investment in Brazil

Ivanhoé Cambridge announces investments in Brazil totalling over $300 million for the acquisition, expansion and building of shopping centres, as well as the reinforcement of a strategic partnership. In doing so, the Quebec-based company is consolidating its leadership position in Brazil’s fast-growing market.
“These new projects confirm our intent to press on with our foray into emerging countries and move forward with our real estate investment plan for Brazil,” declared Daniel Fournier, Chairman and Chief Executive Officer of Ivanhoé Cambridge.

Natal Shopping, Natal, Brazil
Opening date 1992
Number of levels 2
Gross leasable area 176,000 sq. ft. (16,400 m2)
Number of stores 120
Number of parking spaces 910
Renovations are currently being done to the centre’s interior.
Expansion project:
Launch of the project: February 2012
Slated for completion: Fall 2013
Additions:
105,974 square feet (9,845 m2) of gross leasable area
71 stores, 6 movie screens
600 parking spaces
Public Affairs and Communications/ Ivanhoé Cambridge / March 1, 2012
Location of the properties owned or managed in Brazil

Acquisitions
Through its joint venture, Ancar Ivanhoe, Ivanhoé Cambridge has purchased land in Fortaleza, Brazil’s fifth-largest city, for the purpose of building a large-scale shopping centre. As part of this transaction, Ivanhoé Cambridge has forged a new partnership with Rossi Residencial, a local company which owns several parcels of land in Brazil and that boasts over 40 years of solid experience in construction and engineering.
The real estate subsidiary of the Caisse de dépôt et placement du Québec is also investing in an expansion project at one of its existing properties: Natal Shopping in Natal.

Fortaleza and Natal Shopping
1. These new projects are inline with Ivanhoé Cambridge’s strategy to grow its portfolio of shopping centres through acquisitions and development projects.
2. Ivanhoé Cambridge entered the Brazilian market in 2006 in partnership with Ancar, now known as Ancar Ivanhoé.
3. Ancar Ivanhoé is Brazil’s fifth-largest real estate company.
4. Ivanhoé Cambridge owns or manages 18 shopping centres throughout the country.
Public Affairs and Communications/ Ivanhoé Cambridge / March 1, 2012
Fortaleza, Brazil
Development project
Planned opening date Fall 2013 (Phase 1)
Number of levels 3
Gross leasable area 352,800 sq. ft. (32,800 m2)
Number of stores Over 250 stores, including 4 anchors, 10 mega stores and a 6-screen cinema
Number of parking spaces 1,960
- Ivanhoé Cambridge announces the acquisition of a development lot in Fortaleza, the capital of the state of Ceará in northern Brazil. Fortaleza is Brazil’s fifth-largest city.
- The site boasts excellent visibility and is accessible from two main roads leading to the city centre and several residential areas.

 

“Following the acquisition of an additional interest in Botafogo Praia Shopping in Rio de Janeiro back in January, the timing is perfect for these additional investments,” explained Claude Sirois, Senior Vice-President, Emerging Markets, Ivanhoé Cambridge. “The demand for shopping centres in Brazil is keeping pace with the country’s dynamic economy. This is an exceptional opportunity for us to position ourselves as a partner of choice for local retailers and investors in a key market in which we will continue to invest.”

Partnership
In addition, Ivanhoé Cambridge is strengthening its relationship with Ancar, a strategic partner that has played a key role in providing added-value to the Brazilian real estate portfolio. The Quebec-based company has acquired an increased interest in joint venture Ancar Ivanhoé. “This additional interest reflects our strategy to develop strong, sustainable business relationships with key partners in targeted emerging markets,” indicated Claude Sirois.

Ivanhoé Cambridge entered Brazil in 2006 in the form of a joint venture with Ancar, a company with an exemplary track record in shopping centre management. Ancar Ivanhoé now co-owns ten shopping centres.
 

 

Location of the properties owned or managed in Brazil

 

on March 16, 2012