University of Texas to allocate $450m to real estate
The $34.5 billion University of Texas Investment Management Co. plans to allocate $450 million to real estate for its 2016–2017 fiscal year, according to recent board meeting documents.
This allocation is part of a plan to invest up to $1.95 billion in real estate during the next four years. The endowment fund plans to invest most of the capital in the United States, although it will consider some exposure to Europe and Latin America.
UTIMCO will target niche strategies such as parking garages and data centers, but will also consider more traditional property types.
According to the meeting documents, the endowment fund’s current real estate portfolio has a total net asset value of $1.5 billion. Core assets represent 90 percent of the portfolio.