Oak Street Real Estate Capital intends to raise an initial $2.5bn (€2.2bn) for its net-lease real estate fund, according to sources that track fundraising.
Teacher Retirement System of Texas said it has approved a $300m commitment to the open-ended Oak Street Real Estate Capital Net Lease Property Fund.
The $150bn pension fund said the investment was made last month as part of its core real estate strategy.
As previously reported, Pennsylvania State Employees’ Retirement System committed $300m to the fund.
IPE Real Assets has reported on the growing interest in net-lease strategies among US pension funds.
Oak Street specialises in the area and its strategy tends to involve acquiring single-tenant assets with long-term, inflation-linked leases.
Oak Street declined a request for comment.
Texas Teachers said it also approved a $200m commitment to the Westbrook Real Estate Fund XI. The mainly opportunistic fund will target various property types globally.
Westbrook’s Fund X raised $2.85bn at close in February 2016.
Westbrook did not respond to a request for comment.