Sun Life Financial is acquiring Bell Partners for $350m (€305.2m) to combine with BGO, creating a global real estate business with more than $100bn of assets under management.
Sun Life Financial said it has completed the acquisition of the remaining 44% stake in BGO for C$1.59bn (€975m) and has also agreed to buy Bell Partners, which will become the US multifamily operating platform for Sun Life Financial, operating under BGO.
The acquisition of Bell Partners will be satisfied with at least 75% of the consideration payable in Sun Life Financial common shares.
Sun Life Financial formed BGO in July 2019 through the merger of its subsidiary Bentall Kennedy with global real estate investment firm GreenOak Real Estate. At the time of the merger, Sun Life Financial contributed its interest in Bentall Kennedy and invested cash to acquire an initial 56% majority stake in the combined entity.
BGO is a global real estate investment management advisor and provider of real estate services. The firm managed approximately $90bn in assets for more than 750 institutional clients, with a portfolio spanning office, industrial, multi-residential, retail and hospitality properties.
Bell Partners has approximately $10bn of gross asset value under management. Founded in 1976, the firm operates a vertically integrated national platform with expertise in investment and property management, acquisitions and construction.
Bell Partners will retain its existing company and property-level branding, as well as its current leadership team.
Sonny Kalsi, president and CEO of Sun Life Capital Management, said: ”The US multifamily market is a tremendous opportunity of targeted growth for BGO.
“The acquisition of Bell Partners broadens BGO’s strategic benefits and gives us vertically integrated property management capabilities, positioning our company as one of the leading US multifamily investment managers.”
Amy Price, co-president, BGO, said: “This partnership reflects our strong conviction in the US multifamily market and underscores our commitment to building deep expertise in sectors where we believe there is significant long-term opportunity.
“Bell Partners has built an exceptional platform with a proven 50-year track record in multifamily that complements our firm’s culture and expertise in US commercial and logistics sectors, supported by our global resources.”
Lili Dunn, CEO and president, Bell Partners, said: “This opportunity will extend Bell’s operating and investment expertise across a larger residential platform and strengthen our depth and reach.
“It is a natural step in our evolution, preserving the essence of what has made us successful, while also opening new opportunities for the future.”
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