GLOBAL - The Teacher Retirement System of Oklahoma has hired AEW Capital Management, Heitman and L&B Realty Advisors as its open-ended, core commingled fund managers.

The amount allocated for the search was $425m-$450m (€332m-€351m), approximately 5% of the pension fund's total plan assets.

Investment consultant Gregory W Group, based in Tulsa, Oklahoma, assisted with the search.

The actual amount of capital awarded to each manager will be determined in the coming weeks as contracts with each company are worked out.

The other finalist in the search was JP Morgan Asset Management.

James Wilbanks, executive secretary for the pension fund, said: "We chose the other three managers because we have a bias for all of our asset classes for smaller, hungrier firms, and JP Morgan was too large. 

"This is the case, as JP Morgan's Strategic Property fund makes up 20% of the benchmark."

All of the other three commingled funds - AEW Core Property Trust, Heitman America Realty Trust and L&B Core Income Partners - are much smaller. 

The managers will only be acquiring existing and well-leased properties in the US, including office, industrial, retail and apartments.

The open-ended core commitment by Oklahoma Teachers represents the pension fund's first foray into real estate.