The $5.1 billion Boston Retirement System has committed $50 million to real estate funds as part of a real estate fund search, according to the pension’s Dec. 18 board meeting minutes.
The pension fund committed $20 million to Berkshire Value Fund V, managed by Berkshire Residential Investments. The firm is seeking to raise $500 million of capital commitments and had an initial rolling first close in November 2019. Berkshire is looking to construct a diversified portfolio across the U.S. rental housing spectrum, with a primary focus on middle-income apartments. The firm is looking to acquire below replacement cost, well-built assets with predictable capital requirements.
According to the pension fund minutes, the current housing challenge is that the supply is generally focused on upper-income renters. Meanwhile, middle-income households comprised the largest share of growth. The result is a material supply/demand imbalance, creating an apartment unit shortage of mor
