LACERA to potentially invest $1.5b in real estate

The real estate committee of the $42.2 billion Los Angeles County Employees Retirement Association recently approved the recommendation of a real estate investment plan for fiscal year 2014–2015 that would involve investing $1.5 billion during the fiscal year coupled with dispositions totaling $710 million for a net increase in investment of $793 million, according to documents prepared by John McClelland, principal investment officer, real estate, with LACERA. The recommended plan will be submitted to the board of investments for a vote of approval at the board’s June 11, 2014, meeting.

Though LACERA will enter the coming fiscal year overallocated to real estate by 0.2 percent (its target is 10 percent of the total fund), the documents state that significant investment would continue due to “(i.) pending investments, (ii.) capital investment in properties already owned, (iii.) continued investment