Ohio Police & Fire Pension Fund (OP&F) has approved a $60m (€50.7m) commitment to Oaktree Capital Management’s latest global opportunistic real estate fund.
The $15.5bn pension fund is for the first time backing an Oaktree managed real estate fund by committing the capital to Oaktree Real Estate Opportunities Fund VIII, a fund seeking to raise $3.5bn to target debt and distressed opportunities.
OP&F told IPE Real Assets that Oaktree is a ”skilled and experienced manager and the investment is a good portfolio fit as the pension fund is slightly below its target for its tactical/non-core assets”.
According to sources, the fund has a targeted preferred return for limited partners of 8%.
Real estate represents 10.5% of OP&F’s total asset portfolio and the latest commitment will be the last real estate investment issued by the pension fund in 2020.
OP&F’s plan for the year was to invest as much as $160m in the non-core real sector.
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