Florida State Board of Administration (SBA) has created a real estate pacing plan for the 2026 fiscal year of up to $2.1bn (€1.8bn).
The pension fund disclosed in a board meeting document that for the new fiscal year beginning 1 July, it has set aside up to $1.2bn to invest in core assets and $900m for the non-core sector.
Florida SBA’s real estate investments are mainly made through separate account managers to target core stabilised assets and selective build-to-core developments with defined risk limits.
The pension fund also invests in funds and issues co-investments on a global basis to gain exposure to non-core real estate sector.
Florida SBA maintains a diverse allocation strategy that favours several property types, including apartments, manufactured housing, build-to-rent single-family and student housing.
The pension fund also holds a positive outlook on the industrial and medical office sectors and maintains a cautious approach toward commercial office assets.
Florida SBA’s real estate portfolio, which is valued at $21.1bn, represents 9.52% of its total plan assets. The current real estate weighting compares to a long-term asset allocation target of 12% for the asset class.
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