Ohio Public Employees Retirement System (PERS) will not be making new commitments to closed-ended property funds this year as it looks to reduce its exposure to real estate.

The pension fund is looking to bring its 11.39% real estate exposure closer to its 10% target allocation, according to a board meeting document.

As a result, Ohio PERS is selling property assets through its separate account managers, with $96m (€84.7m) of deals so far closed.

These include the sale of two apartment complexes and two office loan payoffs.

Any new investments this year will be made through its separate account managers.

They will be limited to follow-on investments in existing assets or new acquisitions that were in due diligence but did not close before the end of 2015.

Ohio PERS recently made $231m of direct real estate investments.

It made $171m of non-core investments, mostly in existing projects, including retail developments and hotel renovations.

It also made $60m in core investments.

FCA Partners was the most active, investing $112m on behalf of the pension fund.

Other separate account managers involved were PCCP, Fillmore Capital Partners, Lowe Enterprises Investors, Sarofim Realty Advisors and UBS Realty Advisors.

More than half (56%) of the pension fund’s real estate portfolio is managed through separate accounts. The rest is made up of holdings in open-ended funds (23%) and closed-ended funds (21%).

Earlier this year, it committed $400m (358.5m) to Strategic Partners Real Estate Special Opportunities Fund I.

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