Oregon Public Employees Retirement Fund (PERF) has approved a $150m (€127.7m) commitment to Waterton Residential Property Venture XIV, a value-add US apartment fund nearing its final close.
As previously reported, Waterton is seeking to raise $1.25bn for the fund which is expected to close this month.
Anthony Breault, senior investment officer for the Oregon State Treasury, which oversees the investments for Oregon PERF, said: “It’s our understanding that we will be the last investor to go into this commingled fund and a final closing will happen very shortly.
“The expectation is that the total capital raise will be near to or reach its targeted amount.”
Breault said Oregon PERF prefers to be in a “fund structure for the value-add bucket so you can move in and out of the market over time, as compared to a separate account where you are always in the market”.
Breault said Oregon PERF likes that the fund is a blind pool investment.
“This represents a 180-degree turn for our industry where a few years ago it was favoured to have some pre-seeded assets in a fund.”
Waterton declined a request for comment.
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