New Mexico State Investment Council (SIC) is investing in European industrial and US apartment funds managed by Exeter Property and AEW Capital Management respectively.

The sovereign wealth fund said it has approved a $100m (€84.8m) commitment to the Exeter Europe Logistics Value Fund IV and a has also backed the AEW Partners Real Estate Fund IX fund with a $75m commitment.

Exeter targets a €1.25m fundraise for the European fund, an amount New Mexico believes would be over-subscribed due to high demand from institutional investors for industrial assets.

New Mexico told IPE Real Assets that the opportunistic AEW fund, which targets a $750m capital raise, is expected to hit its $1.2bn hard cap target.

Partners IX, which will mostly target multi-family and industrial assets in North America, is seeking investments that will be able to reach 14% net internal rate of returns.

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