Michigan Retirement System commits $100m to Lone Star mortgage fund

The State of Michigan Retirement System’s investment board committed $100 million to Lone Star Residential Mortgage Fund (LSRMF) III in the third quarter of 2023, recent quarterly documents show.

Managed by Lone Star Global Acquisitions, LSRMF III held a final close in September 2023 after raising approximately $657 million of capital. The fund invests in newly originated performing U.S. single-family residential mortgage loans and related investments

LSRMF II, LSRMF III’s predecessor fund, closed in April 2019 with $761 million of raised capital, having surpassed its initial target of $600 million.

LSRMF II targeted investments in newly originated performing U.S. single-family residential mortgage loans and low LTV nonperforming loans backed by U.S. residential collateral and reperforming and subperforming loans backed by U.S. residential collateral.

For more information about this commitment or other funds, please visit our IREI.Q