NORTH AMERICA – The Los Angeles County Employees Retirement Association (LACERA) has set aside an additional $100m (€78m) of capital for Capri Capital Partners.
In a board-meeting document, the pension fund said Capri had identified a new core investment but needed more capital to take advantage of the opportunity.
LACERA said identifying high-quality core investments had proven "very difficult", and that its portfolio-level core allocation was near its lower limit.
It also cited Capri's track record as a separate account manager for the pension fund, with many of its properties meeting or exceeding original underwriting projections.
Capri oversees two investment portfolios on behalf of LACERA.
On a separate account, it runs a portfolio valued at $188m.
Capri has a mandate for core, value-add and high-return multi-family opportunities in supply-constrained markets.
LACERA has also invested $79m in the Capri Capital Urban Fund.
In other news, New Mexico State Investment Council has approved two commitments of $100m each into the Brookfield Infrastructure Fund II and Industry Funds Management Global Infrastructure Fund.
Fund II is a $5bn commingled fund managed by Brookfield Asset Management.
Around half of the capital will come from limited partners, while the other half will be supplied by Brookfield.
Leverage on individual assets will range from 50% to 70%.
The expected return for investors is a 12% to 15% net IRR.
The fund, which will make investments in renewable power, transportation, utilities and energy, will target four major regions of the world – North America (40%), Europe (25%), South America (20%) and Australia/New Zealand (15%).
New Mexico cited the fact Fund II focuses on large transactions where competition may be limited and structure complexity allows for value creation.
Brookfield will acquire controlling ownerships in 15-25 portfolio investments requiring $200m-500m of equity per transaction.
Global Infrastructure Fund is an existing core, open-ended commingled fund managed by Industry Funds Management.
The fund had a gross asset value of $8.4bn, as at the end of 2012.
The existing portfolio comprises a total of seven investments in Germany, Poland, the UK and the US.
The fund's core targeted investment types are transportation, energy/utility, communication and social infrastructure.
