Teachers’ Retirement System (TRS) of Oklahoma has deferred its decision on whether to invest in three real estate funds until October due to current valuation uncertainty.

The pension fund had earlier this year shortlisted three funds in which to invest $200m (€182m), but according to a board meeting document it is delaying its decision until its October board meeting and has asked the relevant fund managers to provide updated information.

US real estate capital values fell 0.39% in the first quarter of the year, according to the NCREIF NPI index, with the hotel and retail sectors hit hardest, dropping by 4.75% and 3.22%, respectively.

According to industry sources, values are expected to decline more severly during the second and third quarters.

Oklahoma TRS had shortlisted the JP Morgan Special Situation Property Fund, the Principal Enhanced Property Fund and the Brookfield Premier Real Estate Partners funds from nine firms that responded to the request for proposal (RFP) issued last year.

To read the digital edition of the latest IPE Real Assets magazine click here. 

Topics