GLOBAL - GID Investment Advisers has taken over the management of a core multi-family residential portfolio from BlackRock Realty Advisors on behalf of the $212bn (€152bn) California Public Employees' Retirement System (CalPERS).
GID has managed the Windsor Realty Fund III for CalPERS since 1998 and will now manage the pension fund's Western Multifamily portfolio, which had been run by BlackRock since the same year.
CalPERS said the move would lead to the consolidation of its entire core multi-family apartment portfolio under a single partner.
GID Investment Advisers will co-invest in the new venture that comprises 57 apartment communities, with 14,674 units in 13 states and a net asset value of approximately $1.1bn.
Ted Eliopoulos, senior investment officer for real estate at CalPERS, said: "GID has been an exceptional partner and manager over the years in a difficult market and will enter into an alignment of interest relationship by making a significant co-investment in the new venture.
"By consolidating our core multi-family portfolio under a single partner/manager, we anticipate lower costs, improved efficiency and enhanced performance as we reposition our real estate programme for long-term growth."
GID is a privately owned real estate operating company, an affiliate of The General Investment & Development Companies, with more than 50 years' experience in owning, developing and managing residential, industrial and office space throughout the US and India.
Following the new mandate, GID will have ownership interests in 93 apartment communities containing 25,002 units and, including its commercial properties, in 127 properties across the US with an estimated value of $5.3bn.