LBA Realty’s latest US industrial fund is expected to be fully subscribed at $2bn (€1.7bn) by the end of this month, according to an investor.

Arkansas Teacher Retirement System said in a meeting document that it has made a $55m commitment to LBA Logistics Value Fund IX, adding that the fund is expected to receive around $600m this month from other investors.

According to industry sources, LBA Realty raised $1.4bn at its first close last month.

LBA Realty is expected to make a 2% co-investment into the fund.

Fund IX, which currently has no assets, expects to target assets that can produce net internal rate of returns of 11% to 13% while using 60% leverage over a 10-year fund life.

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