NORTH AMERICA – The State of Wisconsin Investment Board (SWIB) has $993m (€728m) worth of new real estate investments or commitments in the pipeline for 2014.
These investments are currently under review by the pension fund’s real estate investment staff.
The structure of the investments will take a variety of forms.
Two of the potential additions are investing in direct properties.
One is a $150m investment in a shopping centre in the US, and the other is a $46m equity investment for a 50% ownership interest in two office towers in Seattle.
The three biggest commitments under consideration involve commingled funds.
The largest one is a $270m allocation into a core, open-ended, commingled fund that will be buying diversified property types in the US.
The pension fund is looking at a $200m commitment into a closed-end commingled fund that only invests in office buildings.
The strategy for this fund is to buy properties that have a value-add component in major markets in the US.
SWIB is thinking about investing another $200m into a closed-end commingled fund that will be investing in a real estate operating company based in the US that focuses on retail assets.
It has one global investment under consideration – a $52m commitment into a global fund that invests in a mixture of distressed debt and equity in diversified property types on an opportunistic basis.
The investor has one other potential new real estate commitment, a $75m allocation into an emerging manager fund of funds.
SWIB concluded its real estate investing in 2013 with one new commitment, a $75m allocation into the RREEF America REIT II commingled fund managed by Deutsche Asset & Wealth Management.
SWIB previously approved a $100m commitment into the core open-ended commingled fund in 1998.