TMRS searches for new real estate manager
The $20.1 billion Texas Municipal Retirement System (TMRS) plans to search for a new real estate manager. Approximately $300 million will be allocated to the new manager, which will not replace any current allocations to existing real estate managers. The distribution of the $300 million among managers and styles has not been determined.
A formal RFP was not issued. ORG Portfolio Management, TMRS'S real estate adviser, will lead the search.
Bill Wallace, director of communications at TMRS, says real estate is a relatively new asset class for TMRS, and the manager search is part of the overall process of diversifying the pension fund’s investment portfolio.
In June 2009, TMRS adopted a 10 percent target allocation to real estate, and the retirement system has taken a multi-year approach to implementing this strategy as of December 2012. TMRS has an actual allocation of approximately 1.88 perc