AMP and JV firm snap up US$370m North American assets

AMP Capital and Northleaf have inked a US$370 million deal to acquire the largest underground parking system in the US, Chicago's Millennium Garages.

The deal would be the first North American asset for AMP Capital's global infrastructure platform, according to AMP Capital.

AMP Capital and its Canadian joint venture firm, Northleaf Capital, were buying Chicago Downtown Public Parking System (Millennium Garages) with "exclusive rights and responsibilities to operate, manage, maintain and collect parking fees and other revenues in connection with the Millennium Garages system", AMP Capital said.

AMP Capital head of Americas Infrastructure, Dylan Food said it "fit perfectly with the platform's mandate to invest in sectors offering the best relative value."

He said, it offered "exciting growth potential for our investors due to the strength of Chicago's economic and demographic factors, stable and predictable cash flows and strong protections through the concessional agreement".

Northleaf managing director and co-head of infrastructure, George Zakem, said the new assets offered "significant potential for stable cash flows and attractive long-term returns for investors".

Millennium Garages included 9,176 parking spaces in four underground parking stations, and was approximately 3.8 million square feet, AMP Capital said.