London Life Real Estate Fund

The London Life Real Estate Fund was launched in 1998 to create a vehicle for direct real estate investment. The Fund invests in high-quality, income-producing properties diversified by type and location. The objective is to provide investors with strong income returns and the opportunity for long-term capital appreciation. 

 

Fund Performance

as of September 30, 2023

$3.4B

in real estate assets

$3.8B

in total assets

85

properties

Source of return

201420152016201720182019202020212022YTD 2023
Income 4.3%4%4.5%4.4%4.2%4.2%3.9%3.4%3.4%2.9%
Capital 1.7%0.4%0.8%0.9%2.1%5.5%(1.1)%13.1%3.5%(3)%
Total 6%4.5%5.3%5.3%6.3%9.7%2.7%16.5%6.9%(0.1)%

Compound rates of return

(gross of investment management fees)
Three Month – Q3 0.4%
Year-to-date (0.1)%
One Year (0.7)%
Three Year 7.8%
Five Year 7.2%
Ten Year 6.4%

Diversification by property type

By property type (millions)

Retail 10.8% $ 367
Office 29.1% $ 990
Industrial 33.1% $ 1,127
Residential 23.6% $ 801
Other 3.3% $ 117

Diversification by region

By region (millions)

British Columbia 22.3% $ 759
Alberta 9.7% $ 329
Prairies 0.6% $ 19
Ontario 57.2% $ 1,945
Quebec 8% $ 273
Atlantic 2.2% $ 73
U.S. 0.1% $ 4

Quarterly Highlights

Q3 2023 London Life Real Estate Fund Bulletin

Through three quarters of 2023, the total gross return for the London Life Real Estate Fund was -0.11%. Positive contributions from income and mortgage valuation continue to be offset by the impact of the current interest rate environment on asset values. Asset values have repriced alongside movements in the overnight rate which the Bank of Canada (BOC) increased by a further 25 basis points in July. The BOC has since held the rate at 5% as recent economic data from both sides of the border has pointed to a slower rate of economic activity, with inflationary pressures generally easing. A stabilized interest rate environment would be welcomed by industry participants and may be a catalyst for increased investment transaction activity, which has been muted for several quarters.

Brewery Development Site, Edmonton, AB
1188 West Georgia, Vancouver, BC
Goreway Business Park, Brampton, ON
185 Enfield Place, Mississauga, ON

Downloads

Latest bulletin

Past Performance Reports

Quarterly Bulletins

Q3 2023 Bulletin PDF (1 MB)
Q2 2023 Bulletin PDF (2 MB)
Q1 2023 Bulletin PDF (525 KB)
Q4 2022 Bulletin PDF (335 KB)

Want to Invest?

Contact your advisor, consultant or Canada Life representative to invest in the London Life Real Estate Fund.