Alameda County Employees’ Retirement Association (ACERA) intends to make $150m (€136.5m) worth of core real estate investments by the end of next 2023.
ACERA’s investment consultant Callan disclosed in a meeting document that the pacing plan would help the core assets reach the guided allocation within the overall real estate portfolio.
The $12bn pension fund currently has 52% of its existing real estate portfolio invested in core assets compared with a strategic guideline for core of 60% to 100%.
Callan also said the pacing plan will also help ACERA maintain its 9% real estate targeted allocation. The real estate portfolio as of the third quarter of 2022 represented 8.55% of the total plan assets.
Other plans for ACERA’s real estate portfolio over the next two years include making non-core commitments worth $50m to $100m, depending on market conditions.
Callan is also calling for ACERA to continue to seek emerging manager opportunities within its real estate portfolio.
The pension fund has an investment policy for emerging managers of up to 10%.
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