New Jersey Division of Investment and Employees Retirement System of Texas are planning to invest in the Digital Colony Partners II and Principal Digital Real Estate Fund vehicles respectively, according to the pension funds.
New Jersey Division said in a meeting document that it is planning to allocate $100m (€82m) directly into the Colony Partners II fund and $50m to a co-investment vehicle alongside the fund which will be investing in data centres, towers, fibre, small cell networks and related assets and businesses.
The Colony Partners II fund is seeking a $6bn fundraise and the fund’s manager Digital Colony Management will be issuing a co-investment into the fund of 5% of total fund commitments up to $200m.
Employees Retirement said it has approved a $50m commitment to the Principal fund which will be investing in US data centres. The fund, which is seeking to raise $500m in total, targets an internal rate of return of 19% to 21%.
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