KDC, Cadillac Fairview and Compatriot Capital Form Joint Venture

Partners close on $800 million fund, marking new ground and an increased focus on mixed-use investment and development for KDC

DALLAS--()--Marking a new chapter in its growth, KDC, an award-winning national developer of commercial office buildings, corporate build-to-suit facilities and mixed-use projects, is pleased to announce that Cadillac Fairview has acquired a 50% interest in KDC alongside management and its long-standing partner, Compatriot Capital, a wholly owned subsidiary of Sammons Enterprises, Inc. Cadillac Fairview is the global real estate arm of the Ontario Teachers’ Pension Plan, which has over $200 billion of assets.

KDC will continue developing corporate office facilities across the U.S., while also focusing on the development and acquisition of high-quality, mixed-use projects. Coinciding with the partnership, Cadillac Fairview, Compatriot Capital and KDC have closed on their initial $800 million U.S. commercial office and mixed-use fund. The fund marks new ground for KDC and will serve as a long-term investment vehicle for the partners, bolstering their combined portfolio of Class A office and mixed-use properties.

“For more than 30 years, the KDC team has been focused on developing commercial office buildings and custom corporate homes for some truly great companies in the U.S.,” said KDC CEO Steve Van Amburgh. “As we look to the future, now is the best time to take the next step and elevate our growth model with two dynamic partners: Cadillac Fairview and Compatriot Capital.”

“This is an exciting time in KDC’s history as we join with two like-minded companies that also have a strong commitment to developing offices for Corporate America and expanding our platform to include more mixed-use development and acquisitions in target markets,” said Toby Grove, president of KDC.

“Having partnered with KDC for over a decade, we value the integrity and expertise of the KDC team and are looking forward to working with Cadillac Fairview in this new venture,” said Heather Kreager, CEO of Sammons Enterprises, Inc.

“This partnership represents a shared vision to build a premier business in the development and ownership of office and mixed-use properties, an asset class that is particularly dynamic and exciting in today’s economy,” said Mark Van Kirk, president of Compatriot Capital.

“We are thrilled to be joining forces with KDC and Compatriot given their strong reputations, commitment to high-quality assets, and long-standing client relationships,” said Duncan Osborne, executive vice president, Investments, Cadillac Fairview. “We are also excited about the prospect of bringing new partners together and believe that Cadillac Fairview’s existing strategic partnership with Lincoln Property Company’s residential division can play a unique role as we seek out mixed-use opportunities and maximize our collective expertise to grow KDC,” furthered Mr. Osborne.

The internally capitalized fund will focus on the development and acquisition of Class A corporate office projects and mixed-use projects in top markets across the United States. This is a long-term investment and development platform that will allow Cadillac Fairview, Compatriot Capital and KDC to aggregate a diversified portfolio of the highest quality office and mixed-use projects throughout the country.

Currently, KDC has six commercial projects totaling more than 2.1 million square feet and valued in excess of $1.1 billion under development nationally. KDC is developing several mixed-use developments, including Santa Fe Yards as part of Denver’s Broadway Station development and Peña Station NEXT in Denver, along with Aureum in Nashville, Hub RTP in Raleigh, North Carolina, and Parkline in San Antonio. Other notable mixed-use projects include CityLine in Richardson, Texas, and Park Center in Dunwoody, Georgia, both home to State Farm, as well as Legacy West in Plano, Texas, the corporate home for Toyota North America, FedEx Office and JPMorgan Chase.

About KDC

KDC is a leading corporate build-to-suit development and investment firm for companies across the country. For more than 30 years, KDC has produced approximately 36 million square feet valued at over $9 billion. KDC addresses the future of Corporate America by developing walkable, mixed-use urban environments anchored by notable clients, and specializes in data center and broadcast studio build-to-suits. KDC's portfolio includes developments for FedEx, J.P. Morgan Chase, Liberty Mutual, Raytheon, State Farm (Dallas and Atlanta offices), and Toyota North America. KDC is headquartered in Dallas and is supported by a national team with offices in Atlanta and Charlotte, North Carolina. For more information, please visit kdc.com.

About Cadillac Fairview

Cadillac Fairview (CF) is a globally focused owner, operator, investor, and developer of best-in-class real estate across retail, office, residential, industrial and mixed-use asset classes. Wholly owned by the Ontario Teachers’ Pension Plan, CF manages in excess of $36 billion of assets across the Americas and the United Kingdom, with further expansion planned into Europe and Asia.

Internationally, CF invests in communities with like-minded partners, including Stanhope in the UK, Lincoln Property Company in the U.S., and Multiplan in Brazil. The company’s Canadian portfolio comprises 69 landmark properties, including the Toronto-Dominion Centre, CF Toronto Eaton Centre, Tour Deloitte, CF Carrefour Laval, CF Chinook Centre and CF Pacific Centre.

Continually striving to make a positive impact in communities where it operates by promoting social connection, growth, and a sustainable future, CF’s Purpose is Transforming Communities for a Vibrant Tomorrow. Learn more at cadillacfairview.com and follow CF on LinkedIn, Twitter, and Instagram.

About Compatriot Capital

Compatriot Capital is a diversified real estate company. Currently, Compatriot maintains entity-level investments in five real estate companies which develop and operate projects in the commercial office and multi-family sectors, acquire and manage neighborhood shopping centers, as well as provide multifamily property management services for third-party owners. Compatriot also owns and continues to grow a portfolio of long-term hold properties.

Contacts

Sydney Townsend for KDC
Sunwest Communications
stownsend@sunwestpr.com
469-547-0201

Jen Bare for Compatriot Capital
Sammons Corporation
jbare@sammonscorp.com
214-210-5064

Anna Ng for Cadillac Fairview
Cadillac Fairview
ang@cadillacfairview.com
416-895-5536

Release Summary

KDC is pleased to announce that Cadillac Fairview has acquired a 50% interest in KDC alongside management and Compatriot Capital.

Contacts

Sydney Townsend for KDC
Sunwest Communications
stownsend@sunwestpr.com
469-547-0201

Jen Bare for Compatriot Capital
Sammons Corporation
jbare@sammonscorp.com
214-210-5064

Anna Ng for Cadillac Fairview
Cadillac Fairview
ang@cadillacfairview.com
416-895-5536