Oregon Public Employees Retirement Fund (PERF) is doubling its exposure to Harrison Street’s core real estate strategy, having committed $150m (€135m) to co-invest alongside the Harrison Street Core Property Fund.
Last year, the pension fund committed the same amount directly to the fund, which invests in student housing, senior housing, medical offices and self-storage in North America.
The new co-investment commitment was confirmed during a board meeting of the Oregon Investment Council.
Anthony Breault, senior real estate investment officer for Oregon State Treasury, told IPE Real Assets that fund provides “exposure to specialty property types that we can’t access through our current commingled funds or separate accounts”.
He added: “Another factor is the fee brake that we are able to get in the side-car commitment, which amounts to being 50% less than would be available for a typical commingled-fund investment.”
Harrison Street Real Estate Capital declined a request for comment.
Oregon PERF also approved a $200m commitment to the DivcoWest Fund VI, which is seeking to raise up to $2bn to invest predominantly in value-add office assets.
The pension fund has invested in the two previous funds, committing $250m and $100m, respectively.
“The main strength of DivcoWest is the relationship it has [with] technology and life-science tenants that allows them to locate, acquire and improve the assets that they own,” Breault said.