Kentucky Public Pensions Authority (KPPA) has joined a queue of investors waiting to access an open-ended farmland fund.

According to a board meeting report, the pension fund has approved a $75m (€70.9m) commitment to the Ceres Farms, a farmland fund managed by Ceres Partners.

The $1.2bn vehicle, established in 2007, has benefited from rising farmland prices in recent years and has seen an increase in capital commitments, according to KPPA.

The fund now has an entry queue worth $190m. It has been projected that it will take 12 to 24 months for KPPA’s capital to be fully deployed.

The strategy is to own and rent out farmland in the US Midwest to farmers that grow row crops, including mostly corn and soybeans.

The expected net returns for the fund are between 5% and 9%, according to KPPA.

KPPA is also committing $75m to American Rivers Fund, an open-ended vehicle that leases barges and towboats in the US for inland marine transportation of essential dry and liquid cargoes, such as food, fuel, chemicals and aggregates.

Maritime Partners, which manages the fund, owns close to 1,800 vessels with an estimated value of $1.6bn.

The projected net return for the fund is in between 7% and 10%.