Brookfield Asset Management Inc. this week announced the completion of the spin-off of Brookfield Property Partners L.P., a newly-created company which owns substantially all of Brookfield’s commercial property assets.
The spinoff is the last of three main business units to be carved out by Toronto-based Brookfield Asset Management Inc, the others being Brookfield Renewable Energy Partners LP and Brookfield Infrastructure Partners LP.
The shakeup does not impact Brookfield Office Properties, which the company has said will continue to operate as a separate publicly traded company.
“Brookfield Property Partners public listing opens an exciting new chapter in the growth of a leading global commercial property company, with the scale and expertise needed to deliver superior long term performance,” said Ric Clark, chief executive officer at Brookfield Property Partners and senior managing partner and head of the global property group at Brookfield Asset Management.
“This final step in the launch of Brookfield Property Partners significantly furthers our asset management strategy, providing investors with access to our real asset platforms through three flagship listed entities which deliver income, growth and a portfolio of strongly performing private equity funds”, commented Bruce Flatt, chief executive officer of Brookfield.
“BPY joins our two other high dividend yield and growth entities, Brookfield Infrastructure Partners and Brookfield Renewable Energy Partners, which since their inceptions, have delivered annual compound returns in excess of 15%.”
Prior to completion of the spin-off, BPY acquired from Brookfield substantially all of its commercial property operations, including its office, retail, multi-family and industrial assets.
It includes $157 million worth of ownership interests in General Growth Properties and Rouse Properties that Brookfield acquired in April 12, 2013.
Brookfield Asset Management Inc. is a global alternative asset manager with over $175 billion in assets under management.
The company has over a 100-year history of owning and operating assets with a focus on property, renewable power, infrastructure and private equity.
The Brookfield Property Partners portfolio includes interests in over 300 office and retail properties encompassing more than 250 million square feet.
In addition, the company has interests in approximately 15,600 multi-family units, 29 million square feet of industrial space and an 18 million square foot office development pipeline.