Maryland State Retirement and Pension System (SRPS) has made a $100m (€94.3m) commitment to FPA Multifamily’s latest core-plus US multifamily real estate fund.
The pension fund disclosed in a meeting document that it made the commitment to FPA Core Plus Fund VI.
According to sources, the fund is seeking to raise $1bn to acquire apartments that can achieve a net internal rate of returns of 9% to 11%.
Core and core-plus real estate accounts for 84% of the pension fund’s $7.4bn real estate portfolio with value-add and opportunistic accounting for 16% each.
Hamilton Lane, the pension fund’s consultant disclosed in a meeting document that Maryland SRPS is planning annual pacing of $1.25bn to achieve its infrastructure allocation target.
Part of the investment plan for infrastructure involves a co-investment strategy and investing between $100m to $300m through managers to target sectors like energy, telecom, transportation, traditional power, renewables and water/waste.
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