OTPP Acquires Nordic Logistics Portfolio, Completes Fourth Investment in India's NHIT
- Ontario Teachers’ has completed the acquisition of a 92,000 sqm logistics portfolio from funds managed by Blackstone. The portfolio comprises three assets in Sweden and two in Denmark.
- The transaction marks the second acquisition by Ontario Teachers’ in the Nordic region, following its initial acquisition of a 121,000 sqm portfolio in Sweden in late 2023, and further strengthens its pan-European logistics portfolio which now comprises over €1.8 bn of logistics assets across all of the core European markets.
- The acquisition is undertaken together with Fokus Nordic, Ontario Teachers’ local operating partner.
Stockholm, 27 March, 2025: Ontario Teachers’ Pension Plan Board (“Ontario Teachers’”) has completed the acquisition of a 92,000 sqm logistics portfolio from funds managed by Blackstone. The portfolio consists of three high-quality assets in Sweden (Stockholm and Gothenburg) and two in Denmark (Copenhagen), all fully leased to leading logistics and distribution tenants. The acquisition marks Ontario Teachers’ Real Estate’s entry into Denmark and strengthens its growing logistics platform in the Nordics. The acquisition is undertaken together with Fokus Nordic, Ontario Teachers’ local operating partner.
The transaction represents the second acquisition by Ontario Teachers’, following an initial investment in Sweden in 2023. The aim is to build a diversified, institutional-quality logistics portfolio across the region, focusing on well-located assets that benefit from strong fundamentals and long-term tenant demand. The newly acquired assets are fully occupied with key portfolio highlights below:
- Total size: 92,000 sqm across five fully leased logistics assets
- Locations: Stockholm and Gothenburg in Sweden; Copenhagen in Denmark
- Assets: Slipskivan 6, Lanna; Ostergarde 31:21, Sorred; Arendal 1:8, Arendal; Ventrupvej 27, Greve, Litauen Alle 6, Taastrup.
Jenny Hammarlund, Senior Managing Director, Real Estate at Ontario Teachers’, said:
“This is a significant step in expanding our logistics footprint in the Nordics and further strengthens our pan-European logistics portfolio. By entering Denmark and scaling our presence in Sweden, we are reinforcing our commitment to high-quality assets in key logistics hubs. We’re delighted to be growing our portfolio which aligns well with our long-term investment strategy and offers opportunities to create additional value through active management.”
Tonny Nielsen, CEO at Fokus Nordic, said:
“We are very pleased to have completed our second transaction with Ontario Teachers’, which represents a successful cross-border effort from our teams in Stockholm and Copenhagen.”
Ontario Teachers’ was advised by Gernandt & Danielsson, Accura, EY, and WSP.
About Ontario Teachers’
Ontario Teachers' Pension Plan Board (Ontario Teachers') is a global investor with net assets of $266.3 billion as at December 31, 2024. Ontario Teachers' is a fully funded defined benefit pension plan, and it invests in a broad array of asset classes to deliver retirement security for 343,000 working members and pensioners. For more information, visit otpp.com and follow us on LinkedIn.
About Fokus Nordic
Fokus Nordic provides professional advisory services within real estate investments to both Nordic and international investors. As one of the leading asset and investment managers in the Nordics, Fokus Nordic optimises the process of investing in and managing properties, maximizing value for our clients.
Across the Nordics we have more than €9 bn assets under management (AuM). We are well positioned in both Core, Core+, value-add investment strategies and our scale and extensive real estate know-how allow us to provide end-to-end solutions. For further information, please visit fokusnordic.com
It is worth repeating what Jenny Hammarlund, Senior Managing Director, Real Estate at Ontario Teachers’, stated above:
“This is a significant step in expanding our logistics footprint in the Nordics and further strengthens our pan-European logistics portfolio. By entering Denmark and scaling our presence in Sweden, we are reinforcing our commitment to high-quality assets in key logistics hubs. We’re delighted to be growing our portfolio which aligns well with our long-term investment strategy and offers opportunities to create additional value through active management.”
Ms. Hammarlund featured above is a key investment person in charge of building out OTPP's international real estate portfolio.
She reports to Pierre Cherki, Executive Managing Director of Real Estate.
This asset was owned by Blackstone so you know its a top logistics asset in the growing Nordic region.
Now OTPP and its partner, Fokus Nordic, will be in charge of maintaining it and adding value.
In total, the portfolio comprises three assets in Sweden and two in Denmark spans 92,000 sqm across five fully leased logistics assets.
These are the types of assets that Teachers' needs to find and invest in and it's not easy because they're is intense competition to own them.
In related news, OTPP announced yesterday it completed its fourth investment into National Highways Infra Trust:
Mumbai - Ontario Teachers’ Pension Plan Board (Ontario Teachers’) today announced its participation in the latest follow-on unit capital raise by National Highways Infra Trust (NHIT), maintaining its 25% stake. NHIT is an Infrastructure Investment Trust (InvIT) sponsored by the National Highways Authority of India (NHAI), the Government of India’s nodal agency for national highway development.
Ontario Teachers’ invested INR 20.8 billion / CAD 344 million in this round. Combined with its earlier investments in NHIT in 2021, 2022 and 2024, this brings Ontario Teachers’ total investment in NHIT to INR 57.6 billion / CAD 950 million.
Proceeds from the follow-on unit capital raise will be primarily used to acquire 11 additional road concessions across north, central, and south India and to pay a concession fee to NHAI to be utilized for further development of road infrastructure in India. Following this, NHIT will own, operate, and maintain 26 toll roads in the Indian states of Gujarat, Rajasthan, Telangana, Karnataka, Uttar Pradesh, Madhya Pradesh, Maharashtra, Assam, West Bengal, Andhra Pradesh, Uttarakhand, and Chhattisgarh, spanning a total length of over 2,300 kms with concession periods ranging between 20 to 30 years.
NHAI, as the sponsor, invested 15% in the follow-on raise. The remaining units were placed with a diversified set of foreign and domestic institutional investors, including pension funds, insurance companies, mutual funds, banks and financial institutions.
“Our continued investment in NHIT reflects our long-term commitment to India’s infrastructure growth story” said Deb Hajara, Managing Director, Infrastructure & Natural Resources, Asia Pacific, Ontario Teachers’. “We’re pleased to partner once again with NHAI to help expand and modernize the country’s road network, an essential enabler of economic development and regional connectivity.”
About Ontario Teachers'
Ontario Teachers' Pension Plan Board (Ontario Teachers') is a global investor with net assets of $266.3 billion as at December 31, 2024. Ontario Teachers' is a fully funded defined benefit pension plan, and it invests in a broad array of asset classes to deliver retirement security for 343,000 working members and pensioners. For more information, visit otpp.com and follow us on LinkedIn.About National Highways Authority of India
NHAI is an autonomous authority of the Government of India (GoI) under the Ministry of Road Transport and Highways constituted on June 15, 1989 by an Act of the Indian Parliament titled - The National Highways Authority of India Act, 1988. It plays a strategic role in GoI initiatives for growth & development of the Indian highway sector, and acts as the nodal authority for implementation of National Highway projects developed through public or private agencies.
Deb Hajara, Managing Director, Infrastructure & Natural Resources, Asia Pacific, Ontario Teachers’ sums it up well:
“Our continued investment in NHIT reflects our long-term commitment to India’s infrastructure growth story. We’re pleased to partner once again with NHAI to help expand and modernize the country’s road network, an essential enabler of economic development and regional connectivity.”Yesterday I discussed why CPP Investments did a third follow-on investment of INR 20.8 billion (C$346 million) in the units of National Highways Infra Trust.
OTPP and CPP Investments are part of this project working with the NHAI and they have both committed to follow-on investments to modernize India's infrastructure.
OTPP invested INR 20.8 billion / CAD 344
million in this round. Combined with its earlier investments in NHIT in
2021, 2022 and 2024, this brings its total investment in
NHIT to INR 57.6 billion / CAD 950 million.
That's one billion dollars invested in modernizing India's toll roads, quite impressive.
Below, Melinda McLaughlin, global head of research at Prologis, Inc . (NYSE: PLD), was a guest on the latest episode of Nareit’s REIT Report podcast. She discussed broad trends impacting logistics today, including global trade, delivery speeds, new construction, e-commerce, rising barriers to supply, standout global markets, and more.
Also, a week ago, Willy Walker sat down with Jon Gray, President and Chief Operating Officer at Blackstone, the world’s largest alternative asset manager with more than $1 trillion in AUM.
With over three decades at Blackstone, Jon brings unmatched expertise in commercial real estate, private equity, and global financial markets.
Great discussion, take the time to listen to it, especially starting around minute 30.
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