Evelyn Lee
The $23.1 billion pension system is eyeing an expansion into real estate debt and plans to hire one or more managers to oversee a $200 million mandate.
The London-based private equity real estate firm is due to complete the first round of fundraising next month for its latest Europe-focused real estate investment vehicle, which is seeking to raise €750 million in capital.
The head of the Toronto-based alternative asset manager expects that most institutional investors will increase their allocations to real assets from 10 percent or less to between 25 percent and 40 percent of their portfolios over the next decade.
The $13.4 billion pension system plans to allocate $275 million to real estate annually over the next five fiscal years, up from $195.6 million this past fiscal year.
Compared to its other business lines, the Los Angeles-based investment manager has been the most active in investing capital in the asset class, with its previous real estate fund nearly fully invested and its latest vehicle expected to hold a first close late next month.
The $69.42 billion pension plan has committed $200 million to a new real estate separate account with Och-Ziff Capital Management and also plans to allocate up to $120 million to SC Management’s latest Asia real estate fund.
The New York-based alternative investment manager is the latest private equity firm to announce plans to invest in single-family rental homes in the US.
The São Paulo-based alternative investment management firm has raised nearly R$200 million in equity for its second real estate development fund, which will invest in residential and office projects in Brazil.
The former chief US housing strategist at Morgan Stanley has co-founded an asset management firm to invest more than $1 billion in distressed single-family rental homes in the US over the next two years.
The $88 billion pension system has agreed to invest in global real estate funds sponsored by Starwood Capital Group and Westbrook Partners as part of $200 million committed to opportunistic and value-added real estate vehicles in recent months.