Norges Bank Investment Management (NBIM), the manager of Norway’s Pension Fund Global sovereign wealth fund, has completed its second investment in real estate on London’s famous Regent Street retail street.
NBIM, which manages the NOK4.7 trillion (€570 billion; $770 billion) state fund, has acquired a 25 percent stake in Quadrant 3, a 270,000 square foot redevelopment of a retail and office block home to retailers including UGG, Whole Foods Market and Jack Spade and AL Gore’s Generation Investment Management, in a deal valued at £97.5 million (€118 million; $160 million).
The value of the asset in its entirety is £390 million and the Crown Estate has retained the other 75 percent.
While NBIM did not comment in an announcement on the investment, Paul Clark, director of investment for the Crown Estate, which manages the UK royal family’s property portfolio, said: “We are delighted to extend our relationship with NBIM, further developing our strategic partnership model which is central to the future of our business.”
For the Crown, this latest investment by NBIM brings its third party assets under management to more than £800 million in value. In addition to NBIM, The Crown also manages investments on behalf of the Healthcare of Ontario Pension Plan (HOOPP) and Oxford Properties, the real estate investment division of the Ontario Municipal Employee Retirement System (OMERS).
CBRE acted as property advisors for The Crown Estate. King & Wood Mallesons SJ Berwin acted as lawyers for The Crown Estate.