Kansas Public Employees Retirement System (PERS) has approved a total of $285m (€242.8m) in capital commitments to non-core US real estate funds managed by Madison Capital Partners and Ares Management Corporation, as well as a timberland fund managed by Resource Management Service.
The pension fund committed $85m to Marcus Capital Partners Fund V, marking its initial commitment to Madison Capital.
Madison Capital is seeking to raise $850m for the fund, according to SEC filings from July.
The non-core fund will primarily invest in residential and industrial assets along the US East Coast.
Kansas PERS said it has committed $85m to Ares US Real Estate Fund XI. The fund primarily targets industrial and residential assets, as well as some alternative property types, such as student housing and self-storage.
Kansas PERS issued a new $115m commitment to the RMS Evergreen US Forestland Fund, an open-ended fund that owns timberland assets in the Southern US and into which the pension fund first invested $75m in 2017.
According to Kansas PERS, the Forestland Fund has generated a gross rate of return of 8.5% over the trailing five-year period.
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