Alaska Permanent sells Simpson Housing stake for $1.4b

The $66 billion Alaska Permanent Fund Corp. approved the sale of its 50 percent stake in Simpson Housing for $1.4 billion, according to a board meeting report document.

Alaska Permanent sold the stake to SHLP Holdings after the firm offered to purchase the stake on Dec. 8, 2017.

Simpson Housing reported a 4.03 percent return in fiscal year to date as of Dec. 31, 2017, for Alaska Permanent.

After the sale, Alaska Permanent’s real estate exposure sits at 6.4 percent versus a target of 11 percent (a $3.1 billion shortfall from target). However, Alaska Permanent’s Investment Policy Statement calls for its real estate target allocation to increase to 12 percent in 2020 and 13 percent in 2021.

Headquartered in Denver, Simpson Housing is an experienced, fully integrated real estate firm providing services in commercial and multifamily property management, development and construction.