CPP Investment Board announced today that it has committed US$125 million to acquire a 39 per cent interest in a joint venture sponsored by Callahan Capital Partners, a U.S.-based real estate private equity firm.

The joint venture owns five class A office properties totaling 2.8 million square feet and a development parcel in downtown Denver, Colorado which were acquired in March 2007 for US$770 million.

CPPIB is the investment management organization that invests Canada’s national pension fund assets,

“This investment increases our exposure to top tier U.S. office properties and supports our efforts to diversify the CPP Investment Board’s real estate portfolio in North America and globally,” said Graeme Eadie, senior vp, real Estate investments, CPP IB. “The CCP management team’s long and impressive track record at operating and creating value in large office portfolios fits well with the CPP Investment Board’s long-term investment strategy.”