Florida commits $483.3m to real estate, posts 7.5 percent returns during fiscal year

The State Board of Administration (SBA) of Florida made $483.3 million of real estate commitments and investments in the third quarter, according to a new managers report for the third quarter 2023.

$333.25 million was invested by the Florida SBA in Montecito III, a joint venture managed by Heitman Capital Management; $105 million was invested toward KCS Icebox Venture, a noncore joint venture with L&B Reality Advisors; and $45 million was invested in a co-investment with Heitman toward a Heitman Coinvest Red Arrow vehicle.

The Florida SBA has invested with each of the managers previously.

The Florida SBA’s total fund, valued at $185.71 billion, returned 7.5 percent for the fiscal year that ended on June 30, underperforming its 10.1 percent benchmark.

Over the past three, five and 10 years, the Florida SBA total fund has generated annualized returns of 9.3 percent, 7.4 percent and 8.0 percent, each returning yields higher than their respective bench