CANADA – The real estate portfolio of the Ontario Teachers' Pension Plan (OTPP) outperformed its benchmark in 2012.
According to its annual report, OTPP achieved a 13% return from its entire CAD$130bn (€97.7bn) investment portfolio. Its real estate holdings registered a 19.4% return, against a benchmark of 15.5%.
Infrastructure also outperformed, showing an 8.4% return against its 8% benchmark.
The net value of the real estate portfolio, managed by the wholly owned Cadillac Fairview Corporation, stood at CAD$16.9bn at the end of 2012, up from $15bn at the end of the previous year.
This increase was attributed to valuation increases in North American holdings, as well as an increase in the value of the stake in Multiplan, a large Brazilian publicly traded real estate company.
The North American real estate portfolio, consisting of office and retail properties, is designed to provide "a strong, predictable income" according to the annual report.
Of its holdings, 82% are domestic office or retail, 8% US office and retail, 1% UK office, with balance made up of other types of investments.
Overall retail occupancy rates stood at 94% and office occupancy at 95%.