California Public Employees’ Retirement System (CalPERS) is ploughing close to $2bn (€1.55bn) into five of its existing real estate joint ventures in the US.
The pension fund is providing a further $600m to Institutional Logistics Partners, a joint venture with Bentall Kennedy that was set up in March 2013 with $250m in capital.
The strategy is to invest in core industrial assets and CalPERS owns 99.5%.
Steve Lekki, senior vice president with Bentall Kennedy, said: “We have been able to invest capital for the partnership in some of our targeted markets. These have included Los Angeles, the Inland Empire, Northern New Jersey and Dallas.”
CalPERS has also committed a further $400m to Institutional Core Multifamily Investors, a joint venture with Invesco Real Estate that was established in may 2013 with $250m in capital.
This strategy is to invest in core apartment properties in western markets, including San Francisco, Southern California, Portland and Seattle.
An additional $200m has been given to another multifamily strategy managed by Pacific Urban Residential. Pacific Multifamily Investors invests in B-quality apartments in California and Seattle that generate income but need improving.
CalPERS is providing a further $400m to TechCore, a joint venture with GI Partners that invests in data centres, internet gateways, corporate technology campuses and life science properties in core cities.
The partnership was created in May 2012 with a $500m in capital.
CalEast Solstice, another joint venture with GI Partners, which is investing in the industrial sector, has been given a further $300m.
CalPERS will be announcing these commitments at its investment committee meeting on 15 September. The commitments do not require board approval as they are with existing real estate partners and are all under $1.5bn of equity.
- American Investors
- Asset Allocation
- Bentall Kennedy
- Data centres
- GI Partners
- Invesco Real Estate
- Investment Strategies
- Investment Vehicles
- Joint ventures
- Pacific Urban Residential
- Pension Funds
- Real Estate
- Separate accounts
- US Investors