PSP Investments subsidiary steps down from management role

PSP Investments long-term care platform, Revera "no longer manages retirement residence operations in Canada"

PSP Investments subsidiary steps down from management role

Revera, one of Canada’s largest operators of long-term care homes and a part of the Public Sector Pension Investment Board (PSP Investments) real estate portfolio, plans to transition out of managing retirement homes in Canada to focus on managing property and real estate. 

In a notice published on August 2 to union representatives for Revera workers, the operator said it will “no longer manage retirement residence operations in Canada” and that three different Canadian companies will take over the management of Revera’s retirement homes. The three companies identified include Cogir, Optima Living, and Levante Living. 

Revera has facilities in Calgary, Regina, Edmonton, Saskatoon, Vancouver, Victoria, Winnipeg, Ottawa, and Toronto among other cities in Canada. The proposed transfer included around 80 retirement residences, with more than half located in Ontario. 

The operator told CBC News that the changes are expected in the coming months after they receive regulatory approvals, including health authorities' standard due diligence reviews and approvals. 

Revera said in a statement that they are “shifting its focus to ownership of senior living real estate and will transition out of the operational management of retirement residences.” However, they noted that they "will maintain ownership of a number of retirement properties." 

A spokesperson of the union representing Revera workers at retirement homes in Edmonton, Calgary, and Red Deer, the Alberta Union of Provincial Employees (AUPE) released a statement in response to the changes: “While AUPE looks into how contracting out the day-to-day management of these full-service long-term care worksites may impact our members, we will continue to ensure our front-line healthcare workers have the resources they need from the employer to safely support residents and are treated with the respect they deserve.” 

The report comes after family members of people who died from COVID-19 in Revera’s former long-term care homes filed proposed class-action lawsuits in Ontario, Alberta, and Manitoba.