A new open-ended US apartment fund managed by GID Investment Advisors has reached $2.2bn (€2.1bn) in gross assets.

According to the Los Angeles Fire and Police Pensions’ (LAFPP) meeting document, the GID Mainstay Fund, which was seeded with a $1.08bn portfolio is now double its size.

GID pre-seeded the core/core-plus apartment fund with a 2,716-unit portfolio of seven assets located in Atlanta, Boston, Denver, Orange County and South Florida.

As of last month, the Mainstay fund, which targets a net internal rate of return of 9% to 12%, had 20 properties with a 95% occupancy. 

The New York State Common Retirement Fund and the Oregon Public Employees Retirement Fund backed the fund with $300m and $150m respectively.

As previously reported, LAFPP also made a $100m contribution to the fund as a founding investor.

According to the meeting document, LAFPP’s net return in the fund has been 33.7%, through June of this year.

The fund targets Class B apartment assets which are at least 10 years old and with rents that are 50% to 80% of those found in new/luxury Class A construction projects.

To read the latest edition of the latest IPE Real Assets magazine click here.