Teachers’ Retirement System of Louisiana (TRSL) has approved a $125m (€117.1m) commitment to a US real estate fund managed by KSL Capital Partners.
According to TRSL’s meeting document, the pension fund has approved the capital to KSL Capital Partners Tactical Opportunities Fund II, a real estate fund seeking to raise $1bn to invest in credit, debt securities, equity and equity-linked securities globally.
TRSL’s capital contribution to the KSL fund is limited to 10% of the total capital raised for the fund.
The fund is expected to target deals in major resort markets such as Hawaii, Florida, Southern California, the Rocky Mountains and in major cities where demand has historically outpaced supply.
The types of assets that will be considered for investment include hotels, resorts, amusement parks, country clubs, office buildings, and travel agencies.
Fund II is expected to make 12 to 20 total equity investments ranging from $10m to $150m, with an anticipated holding period of three to six years per investment.
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