TRS of Texas invests $500m in Lone Star funds

Teacher Retirement System of Texas has committed more than $500 million to increasing its real estate exposure.

The pension fund invested $300 million to Lone Star Real Estate Fund VI, managed by Lone Star Funds. The fund launched last year. The mega-fund is seeking to raise $3 billion. The fund will invest in debt secured by properties globally.

The previous fund in the series, Lone Star Real Estate Fund V, which is made up of Lone Star Real Estate Fund V (U.S.) and Lone Star Real Estate Fund V (Bermuda), held its first and final closing in April 2016 with approximately $5.8 billion in combined capital commitments. Transactions targeted by Lone Star Real Estate Fund V include investments in commercial real estate debt and equity products in North America, Europe, Asia Pacific and Latin America.

TRS Texas also made an investment to another Lone Star fund, $200 million to Lone S