Montréal and Chicago – Two global leaders in commercial real estate have come to an agreement to operate retail assets through a unified approach. On October 1, 2021, Ivanhoé Cambridge will transition the operations of its Canadian shopping centres over to JLL (NYSE: JLL), the largest third-party retail property management company in North America.
The vast majority of Ivanhoé Cambridge’s property team of retail employees are expected to join JLL Canada, whose management team and key decision-making roles will be headquartered in Montreal. JLL also plans to open an office in Québec City in the coming months.
“We are excited to bring a globally renowned company to deepen its footprint and investments in Quebec. To focus on our core business as a seasoned, clear-sighted real estate investor and to align and standardise our business model globally, we wanted to find a partner with the scale, track record and expertise to continue the optimization of our assets’ performance and lead the industry in defining the future of the retail sector, thus creating long-term value for our depositors,” said Nathalie Palladitcheff, President and CEO, Ivanhoé Cambridge. “JLL’s global reputation and like-minded culture will continue to support us, while creating career opportunities for our retail teams joining the JLL family.”
Ivanhoé Cambridge and JLL also share a progressive management philosophy built on driving sustainable real estate goals and both parties will work together to improve energy efficiency and asset resilience thus supporting Ivanhoé Cambridge’s goal of achieving net zero carbon by 2040.
“Retail has been going through a transition period over the last decade plus, where the focus has become on creating sustainable and dynamic experiential settings that engage and excite the communities it serves – and the pandemic has acted as a major accelerant on those trends,” said Greg Maloney, CEO, JLL Americas Retail. “Retail is our division’s sole focus and we are thrilled to expand our expertise and footprint in Canada, and Quebec, establishing JLL as the largest third-party retail manager in Canada as well.”
JLL will also collaborate with Ivanhoé Cambridge to develop a Centre of Excellence for Sustainability (COES) in Quebec, and an accompanying team, to accelerate the transition to sustainable and inclusive real estate through the development and implementation of current and near-future technologies. With collaboration from leading academic research teams in Montreal, the COES will keep a finger on the pulse of best practices and produce thought leadership research to share knowledge and help define the future of sustainable retail real estate.
“Through this alliance, we are expanding our presence in Quebec, a strategic market for the growth of JLL given the dynamism of its real estate sector and of its various industries contributing to the Canadian economy. We also look forward to collaborating with Ivanhoé Cambridge to shape growth opportunities, transform through technology and build strong communities in Canada through the COES,” said Alan MacKenzie, CEO, JLL Canada. “I’m most importantly looking forward to tapping into the Ivanhoé Cambridge retail team’s deep knowledge of the local retail market to combine efforts and increase the value of the Ivanhoé Cambridge properties, benefitting retailers, their customers and our environment.”
In addition to its commitment to maintain management and high-quality jobs in Quebec and to invest in the development of the COES, JLL is also dedicated to have a positive impact in the community. Furthering its engagement toward developing the future of innovative and responsible real estate in Québec, JLL plans to double its scholarship commitment for its existing annual scholarships at John Molson School of Business at Concordia University, while also establishing an additional scholarship at another francophone Québec-based university. JLL will also extend its support to the Breakfast Club of Canada (BCC) for another five years, a non-for-profit organization based in Quebec, that it has already been supporting over the last seven years.