Maryland State Retirement and Pension System has fired LaSalle Investment Management as a domestic REIT manager.
Maryland State declined to comment or provide a reason for the decision, while LaSalle failed to respond.
The $311m (€244m) domestic REIT portfolio will be transferred to State Street Global Advisors (SSgA), with a global investment strategy for REITs, benchmarked against the FTSE/EPRA NAREIT Developed Index.
Maryland State said it had a long relationship with SSgA across passive equities, core fixed income and EMD.
The pension fund also uses Morgan Stanley as a global REIT manager for a $387.6m foreign portfolio, also benchmarked against the FTSE/EPRA NAREIT Developed Index.
Maryland State has approved a $50m commitment to CBRE Strategic Partners US Value Fund VII.
CBRE Global Investors is raising $1.5bn for the US-focused fund, in which it will co-invest a maximum $30m.
The fund, which will invest in the office, industrial, hotel, retail and apartment sectors, has a targeted 15% gross IRR and a 12.8% net.
The pension fund has made nearly $280m in commitments to CBRE Investors since 2007.
Maryland State’s real estate portfolio was valued at $3.08bn as of September.
The portfolio makes up 6.9% of its $44.7bn total plan.
The fund has a long-term target for real estate of 10%.
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