NYSTRS commits $500m to Blackstone debt mandate
The $108.2 billion New York State Teachers’ Retirement System has committed up to $500 million to The Blackstone Group for a real estate debt separate account, according to John Cardillo, manager of public information for the pension fund. Targeted investments will include subordinate debt and first-mortgage loans in the United States and the United Kingdom. The pension fund chose this commitment because it “provides a lower-risk strategy than typical debt funds, and it supplements NYSTRS’ existing core first-mortgage strategy,” according to Cardillo. NYSTRS committed $650 million to two other debt separate accounts in November 2015, allocating $350 million to Brookfield Asset Management and $300 million to Cornerstone Real Estate Advisers.