Metropolis at Metrotown in Burnaby, owned by Ivanhoé Cambridge. (Courtesy Ivanhoé Cambridge)
Ivanhoé Cambridge announced Tuesday that it has teamed up with JLL to handle its Canadian retail portfolio under a new “agreement to operate retail assets through a unified approach.”
Even though Ivanhoé has been trying to sell some of its retail holdings for a while, this isn’t actually a sale. A spokeswoman from Ivanhoé Cambridge confirmed that JLL won’t be investing any equity in the portfolio.
That said, the company mentioned that most of its retail staff will be moving over to JLL Canada. The management group and key decision-makers, however, will stay based in Montreal.
According to Ivanhoé Cambridge’s website, they currently run 24 retail properties all across Canada. This includes well-known malls like the Montreal Eaton Centre, Metropolis at Metrotown near Vancouver, and Vaughan Mills in the Toronto area.
The portfolio adds up to roughly 21 million square feet and covers locations in British Columbia, Alberta, Ontario, Quebec, Manitoba and Nova Scotia.
As part of this deal, JLL is also planning to open an office in Québec City.
The handover will officially start on October 1st.
“We are excited to bring a globally renowned company to deepen its footprint and investments in Quebec,” said Nathalie Palladitcheff, president and CEO of Ivanhoé Cambridge. “To focus on our core business as a seasoned, clear-sighted real estate investor and to align and standardize our business model globally, we wanted to find a partner with the scale, track record and expertise to continue the optimization of our assets’ performance and lead the industry in defining the future of the retail sector, thus creating long-term value for our depositors.
“JLL’s global reputation and like-minded culture will continue to support us, while creating career opportunities for our retail teams joining the JLL family.”
JLL is now North America’s biggest third-party manager when it comes to retail properties.
JLL and Ivanhoé Aim for Greener Retail Spaces
The two companies say they share “a progressive management philosophy built on driving sustainable real estate goals” and plan ongoing work toward better energy use and stronger asset resilience – all supporting Ivanhoé Cambridge’s target of net zero carbon emissions by 2040.
“Retail has been going through a transition period over the last decade plus, where the focus has become on creating sustainable and dynamic experiential settings that engage and excite the communities it serves – and the pandemic has acted as a major accelerant on those trends,” said Greg Maloney, CEO of JLL Americas Retail. “Retail is our division’s sole focus and we are thrilled to expand our expertise and footprint in Canada, and Quebec too – making JLL Canada’s largest third-party retail manager.”
Together they’ll set up a Centre of Excellence for Sustainability (COES) in Quebec aimed at speeding up progress towards greener & more inclusive real estate development.
“Through this alliance we’re growing our presence in Quebec – which is really important for us because its real estate market is lively along with many industries that boost Canada’s economy,” said Alan Mac Kenzie, CEO of JLL Canada. “We’re also looking forward to working closely with Ivanhoé Cambridge on spotting growth chances via tech transformation while building strong communities here through COES.
“What excites me most is tapping into their local team’s deep knowledge about Quebec’s retail scene so we can join forces – boosting value across their properties for retailers themselves as well as customers plus helping out our environment.”
About JLL Retail & JLL
JLL Retail manages more than 2 ,000 shopping centres totaling around 186 million square feet available for lease or sale. They have over 215 brokerage experts spread over 47 markets throughout both U. S. & Canada , supporting upwards of 2 ,100 clients.
JLL itself is a professional services firm specializing mainly in real estate plus investment management. It ’ s listed among Fortune ’ s top companies with $16.6 billion revenue back in 2020 , operates across more than eighty countries , employing about ninety-two thousand people worldwide as reported June thirty first , twenty twenty-one. The name ‘JLL’ stands for Jones Lang La Salle Incorporated which holds trademark rights.
About Ivanhoé Cambridge
Ivanhoé Cambridge develops along with investing worldwide into property projects & firms alike. They invest internationally teaming up alongside strategic partners together with major property funds.
By way of subsidiaries and partnerships the company owns stakes in more than eleven hundred buildings covering mostly industrial/logistics sectors plus office spaces residentially focused including various retailers too. Ivanhoé Cambridge held sixty point four billion dollars worth property assets measured as December thirty-first twenty-twenty, and acts as a subsidiary owned by Caisse de dépôt et placement du Québec – one global investment group based outta there particularly known.
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