Toronto-based Brookfield Asset Management has acquired a 5.3 million square foot commercial portfolio from affiliates of JP Morgan Chase for $460 million (€360 million) in a sale-leaseback transaction.
The portfolio is composed of 33 properties spread across the US, including the 750,000 square foot Chase Tower in Phoenix, which is Arizona’s tallest building, and Chicago’s 300 South Riverside Plaza, where Brookfield also acquired an interest in the air rights earlier this year.
In addition to the steady cash flows generated from leases to JP Morgan Chase, Brookfield also plans to reposition underutilized space, chief executive David Arthur said in a statement.
Formerly know as Brascan Corp., Brookfield manages $50 billion in assets across the property, power and infrastructure sectors, and trades on both the New York and Toronto stock exchanges.
The current deal is the largest thus far for Brookfield’s opportunity fund, which closed on $240 million in September. The fund, which targets underperforming properties across sectors, has previously acquired land in Toronto, offices in Indiana and Washington DC, student housing in Texas, the inaugural purchase in a planned luxury student housing joint venture.