Connecticut Retirement weighs commitment to Blue Owl, returns 8.5% for fiscal year

Connecticut Retirement Plans and Trust Funds (CRPTF) is considering a commitment of $200 million to Blue Owl Real Estate Fund VI.

Managed by Blue Owl Real Estate (formerly Oak Street Real Estate Capital), the fund will seek to make value-add investments in freestanding, single-tenant, net-leased commercial properties occupied by investment-grade credit tenants with long-term lease contracts that include annual rent escalations.

Fund VI will invest predominantly within the United States, though it may invest up to 25 percent in Canada and up to 5 percent outside of North America, where such properties are part of a portfolio acquisition of United States and/or Canadian assets.

CRPTF committed $100 million to the Oak Street Real Estate Capital Net Lease Property Fund (rebranded Blue Owl Real Estate Net Lease Property Fund) in 2019.

CRPTF’s real estate target allocation is 10 percent, and as of June 30 its real estate allocation by market value was 7.6 per