Iowa Public Employees Retirement System (PERS) is planning to invest up to $1.2bn (€1.1bn) in real estate and infrastructure debt funds.

The pension fund said in a meeting document that it has completed its real assets credit search and chosen seven managers, subject to final contract negotiations.

The selected managers are Heitman, Principal Real Estate Investors, Kayne Anderson, Oaktree Capital Management, IFM Investors, Oak Street Real Estate Capital and JP Morgan.

Iowa PERS said it intends to invest up to $350m in core real estate debt via the open-ended Principal Real Estate Open-ended Debt Fund and Heitman Core Real Estate Debt Income Trust funds.

The Heitman fund provides senior secured bridge and development loans and some subordinated debt. The Principal targets subordinated debt investments such as mezzanine and B-notes and senior mortgages.

The pension fund plans to invest up to $400m in the Kayne Anderson Real Estate Debt IV and Oaktree Real Estate Debt Fund III opportunistic real estate debt funds.

Iowa PERS is also planning to commit between $50m and $150m to the IFM Investors US Infrastructure Debt Fund and has picked the Oak Street Real Estate Capital Net Lease Property Fund and the JP Morgan Global Transportation Income Fund for a leasing strategy of up to $300m.

Iowa PERS told IPE Real Assets that the actual allocations made to each manager is yet to be finalised.

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

Topics

Related Companies