Florida State Board of Administration (SBA) is investing $122m (€108m) to help fund the construction of a 1m sqft industrial development in Charleston, South Carolina.

According to a board meeting document, the investment will cover 90% of the $135m in projected construction costs to build Shipyard Creek Logistics Center.

The transaction was carried out by separate-account manager Stockbridge, which declined to comment.

Capital Development Partners acquired the 135-acre development site earlier this year to develop high-speed port logistics infrastructure next to the SC Ports’ Hugh K Leatherman Terminal.

The company said it would include cross-dock terminals, container storage, high-velocity warehousing and logistics support facilities.

Florida SBA told IPE Real Assets the investment was a way to gain exposure to industrial real estate and to increase diversification.

The pension fund has also paid $59m for eight medical offices in the greater Dallas area.

The 126,032sqft, fully occupied portfolio was acquired by another separate-account manager, Heitman, which did not respond to a request for comment.

Most of the properties were built in the past two years, while two were constructed in 2002 and 2016.