Texas County & District Retirement System is investing $100m (€82.7m) in an Asian real estate debt fund.
The fund is expected to raise $750m, having secured $488m in a first close in December, according to sources that track capital raising.
The fund will invest in value-added and opportunistic debt opportunities in China, Hong Kong, Japan, South Korea, Singapore, the Philippines and Australia.
Texas County & District has also approved a $50m commitment to Starwood’s Global Opportunity Fund XI. IPE Real Assets reported in March last year that the real estate fund was close to reaching its $4bn target.
Starwood will be invest in distressed debt, value-add acquisitions and corporate transactions in the US and Europe, targeting gross returns of between 17% and 20%.