California State Teachers Retirement System has approved 15 new commitments to its real estate portfolio totaling $5bn (€4.3bn), according to docuents filed by the US pension fund.
The largest of the new commitments was for $682m into a new separate account to be managed by BlackRock. All of the capital will be invested in rental residential properties.
CalSTRS will have control over the acquisitions and dispositions, as part of this relationship, and the pension fund expects the investment strategy to be mixed on a risk basis.
CalSTRS added two commitments of $500m each. One of these is for capital to be invested in REITs, which will sit in the core section of its real estate portfolio.
The other involved the formation of a new separate account to be managed by CBRE Investment Management, without giving the manager investment discretion on this account. All of the capital will be invested in industrial assets that have core attributes.
CBRE was also awarded $451m of new capital for an existing separate account to invest in offices on an opportunistic basis.
One of the pension fund’s non-control investments was for $400m into the CrossHarbor CMA fund. This capital includes direct and co-investments with the fund across a diverse range of property types.
CalSTRS also awarded $368m of new capital to the CBCal partnership. It will be invested in office assets on an opportunistic basis.
A partial-controlled investment by the pension fund was for $350m into the Starwood CMA commitment. This capital has the mixed structure of a commingled fund, joint venture and co-investment capital to invest in multiple property types across mixed risk spectrums.
The pension fund will be growing its retail portfolio with a $300m commitment into the FidCal joint venture.
CalSTRS has approved three debt-only commitments. These were $200m each into GID Commercial Real Estate Credit Fund, PAG Loan Fund VI, and PacificCal Debt V.
The pension approved one international real estate commitment. This was for $200m into the CBRE Asia Value Partners VII for value-add industrial.
Two other commitments were for opportunistic office for existing partnerships. These were $206m into the BCal and $198m into Project Longhorn.
The final new commitment was for $300m into Belay Ventures Fund IV. This will be for both capital going into the fund and for co-investing.
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