Missouri Local Government Employees Retirement System (LAGERS) has committed capital to a fund managed by newly formed US real estate investment platform Machine Investment.
The $8.1bn (€6.9bn) pension fund said it approved a $150m investment into its real assets portfolio, half of which will be committed to Machine Real Estate Fund I.
IPE Real Assets understand that Missouri LAGERS is a seed investor in the opportunistic fund which is seeking to raise $250m.
New York-based Machine Investment was launched in August this year by former Garrison Investment executives Andy Kwon and Eric Rosenthal, with a focus on opportunistic, distressed and special situations across the US. Missouri LAGERS has in the past backed real estate funds managed by Garrison.
Machine Investment was launched with the $54.5m acquisition of Stevens Creek Executive Park in San Jose, California via a joint venture with Miramar Capital Advisors.
According to sources, the Stevens Creek Executive Park asset has been placed into the fund. It is understood that a portion of the fund’s pipeline of potential investments involves hospitality assets such as distressed debt secured by hotels.
Machine Investment declined a request for comment.
Missouri LAGERS said the remaining $75m approved will be committed to the I Squared Global Infrastructure Fund III, a fund planning to raise $12bn at its final close which is expected to be in early 2022.
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