Minnesota allocates up to $300m to two real estate funds

The $85 billion Minnesota State Board of Investment has committed up to $150 million each to two new opportunistic real estate managers, according to the pension fund’s website.

The first allocation was to Carlyle Realty Partners’ Realty Fund VIII. Carlyle Realty Partners VIII is an opportunistic real estate fund managed by The Carlyle Group. The fund opened in October 2016 with a $5 billion equity fundraising target, the largest target for Carlyle’s U.S. real estate fund series. The fund has raised $2.76 billion so far, according to IREI’s FundTracker database. The fund series focuses on acquisitions, value enhancements and dispositions of U.S. office, residential, senior housing, hotel and retail properties.

The fund’s predecessor, Carlyle Realty Partners VII, held a $4.2 billion final close in September 2015, while Carlyle Realty Partners VI closed in December 2011 after raising $2.3 billion.

The second allocation was to Landmark Partners’ LREF