The $11.2 billion Regents of the University of Michigan has committed $40 million to Thackeray Realty Partners Fund V, according to board meeting documents.
Thackeray Partners Realty Fund V is managed by Dallas-based Thackeray Partners. The fund will make investments primarily in multifamily and industrial properties, and to a lesser extent, retail strip centers in the United States.
Thackeray targets small assets of $5 million to $25 million in size due to the belief that there is less institutional capital in transactions of this size and as a result, less efficiency in pricing, according to the documents. The portfolio is expected to be a combination of longer-term hold assets with strong cash flows and shorter-term hold assets where Thackeray will implement value-add strategies to improve operations and increase values.
In additional investments, the pension fund recently committed $50 million to Emet Municipal Real Estate Strategy II, a real estate debt fund managed by Emet Capital Management.
University of Michigan has a target allocation to real estate of 10 percent.
