Canada Pension Plan Investment Board is investing €376m in a European car park operator, its first in the sector.

CPPIB said its subsidiary, CPP Investment Board European Holdings, is to take a 39% stake in Brussels-based Interparking from AG Real Estate.

Interparking has a portfolio of 657 car parks in 350 cities, and was owned by AG predecessor Fortis, which at one point had a 90% stake in the company.

CPPIB’s purchase reduces AG’s stake to 51%, with existing shareholder PARKIMO holding a 10% stake in the company. 

André Bourbonnais, senior vice-president, head of private investments, CPPIB, said the company was a “good fit” for its infrastructure programme, citing the “relatively stable, predictable cash flows” from Interparking’s portfolio.

In its 2013 annual report, managing director Roland Cracco said turnover rose 4.4%, despite unfavourable economic conditions in southern Europe and the need to adapt to political decisions limiting access to city centres.

As of the end of 2013, the company had 302,247 parking spaces, a 4.1% increase on 2012.