Sacramento County Employees Retirement System (SCERS) has allocated $520m (€450.8m) for real estate and infrastructure investments for 2026.
The pension fund disclosed in a board meeting document that the pacing plan for next year involves committing $300m to real estate funds and placing $220m into its real assets portfolio via infrastructure fund commitments.
The real estate commitments could involve up to two core funds at $65m and three non-core funds at $50m each.
The investment strategy targets specialty/niche property types and value-add non-core funds. SCERS will also rebalance its US core open-ended portfolio.
For the current 2025 calendar year, SCERS has issued $50m to FPA Core Plus Fund VI and $30m to FPA Apartment Opportunity Fund IX against its $270m real estate commitment target. The pension fund said it has a further $50m non-core commitment currently in process and expected to close by year-end.
Currently, the pension fund is underallocated to real estate at 6% of total plan assets, compared to an 8% target.
SCERS, which favours regulated and social infrastructure sectors for either mid-size or large-scale assets, expects the real assets pacing in 2026 to involve issuing between four and six commitments at $55m per fund.
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