HSI hands a Canadian investor nearly half of two landmark Rio and São Paulo Hiltons
Canada Pension Plan Investment Board (CPP Investments) will pay about $200m for a 49.5 percent stake in two Hilton hotels in Brazil, its first move into the country's hospitality sector, through a joint venture with local real estate and private credit manager HSI.
The venture pairs Hilton Copacabana, a 545-room beachfront property overlooking Copacabana Beach in Rio de Janeiro, with Hilton Morumbi, a 503-room hotel in one of São Paulo's main business districts, the pension fund manager announced on August 10.
Both hotels are undergoing a phased renovation that CPP Investments said is meant to improve the guest experience, lift revenue and build long-term value.
Ricardo Szlejf, managing director and head of real assets for Latin America at CPP Investments, tied the purchase to what he described as strong long-term fundamentals in Brazilian hospitality, citing domestic and international demand alongside a limited supply of new rooms.
The partnership, he said, secures access to a manager with local expertise and a track record intended to generate returns for the CPP Fund.
HSI, formally Hemisfério Sul Investimentos, manages roughly US$2.5bn across private real estate, listed real estate and credit strategies.
The firm knows both assets well: it acquired the São Paulo Hilton in 2019 and bought the Rio de Janeiro hotel from US asset manager Blackstone in 2024, as reported by Latin Lawyer.
HSI retains a 50 percent interest and continues to manage the two properties, Metro Quadrado reported ahead of the announcement, citing a source familiar with the deal.
"This partnership is strategic for our firm and reflects the strength of our platform and track record across Brazilian real estate," said Max Lima, founding partner and CEO of HSI, who pointed to demand and constrained future supply as support for risk-adjusted returns.
The deal extends a long run of Brazilian real estate activity for CPP Investments, which has built joint ventures in the country's commercial, logistics and residential property since 2009, per the manager's own disclosures.
In January 2025, it launched a roughly $400m venture with Cyrela to develop condominiums in São Paulo.
Per Metro Quadrado, CPP Investments has committed approximately US$15bn to Brazil overall, though I could not independently verify that figure against a primary CPP source.
