Kansas Public Employees Retirement System (PERS) has approved $120m (€98.1m) worth of commitments into US value-add real estate funds managed by Heitman and CBRE.
The pension fund told IPE Real Assets that it has made a $65m commitment to the Heitman Value Partners V fund and placed $55m into the CBRE Strategic Partners US Value 9 fund.
According to sources, the Heitman fund, which seeks to raise $1bn, had raised $487m prior to the pension fund’s commitment. Heitman raised $1.1bn for the predecessor fund in February 2019.
The Heitman fund invests in multiple property types including medical office/healthcare, student/senior housing, office, retail and self-storage.
CBRE is targeting a $2bn capital raise for US Value 9, according to industry sources. The fund targets real estate assets like apartments, industrial, retail, office and mixed-use.
The two commitments issued by Kansas PERS represent the pension fund’s first value-add commitments for 2021.
As previously reported, the pension fund’s 2021 pacing plan is to invest up to $200m in non-core US real estate funds.
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