27 January 2015
International property firm Brookfield Asset Management Inc. will acquire the remaining 50 per cent of the Canadian and Australian facilities management businesses from Johnson Controls Inc.
Both companies previously held the businesses in a joint venture arrangement.
This acquisition worth about US$200 million (£132 million) will merge with Brookfield's wholly owned businesses in the Middle-East and South America as part of a broader plan to create a global facilities management business.
As it ends its joint venture agreements with Johnson Controls, Brookfield will launch its FM businesses in the United States and Europe, building on client relationships across its 340 million square feet property portfolio.
Brookfield will offer FM services to tenants around the globe. In addition to its real estate relationships, Brookfield is one of the world's largest servicing organisations for executive relocations to Fortune 500 companies and intends to align this service offering for its customers. As one of the largest global owners and operators of infrastructure assets, Brookfield will also launch infrastructure-related facilities management services.
Cyrus Madon, CEO of Brookfield Capital Partners, said: "As the largest property owner in the United States, expansion to the US was always natural, but not feasible under our previous agreements."
Madon added: "The consolidation of our Canadian and Australian businesses is a first step toward our goal of creating a global, industry leader in facilities management. We look forward to providing best-in-class service to our clients."