On October 24, 2024, Canada Pension Plan Investment Board (CPP Investments) and Kennedy Wilson (NYSE: KW) launched a joint venture (JV) to invest in single-family rental housing in the UK. CPP Investments will commit £500 million (approximately CAD 860 million), while Kennedy Wilson will invest £56 million (approximately CAD 96 million). The JV targets a total asset value of about £1 billion (CAD 1.72 billion), including leverage, with potential for additional capital based on market opportunities. CPP Investments will own 90% of the JV; Kennedy Wilson will hold 10% and act as manager, earning customary fees.

The JV will acquire energy-efficient, new-build homes in economically robust UK regions, offering strong transport links, amenities, and employment or educational access. It launches with seed assets from two developments: one in Norwich (developed by Barratt Redrow, with the first phase now leasing) and one in Stevenage (Miller Homes, with completions expected from Q2 2025). Kennedy Wilson has identified a pipeline of over £360 million (CAD 620 million) across 1,100 units, with the potential to scale to 4,000 homes.

This initiative supports CPP Investments’ real estate strategy focused on scalable, income-generating assets, while addressing the UK’s undersupply of professionally managed rental housing. Kennedy Wilson brings expertise managing over 60,000 rental units globally.