Virginia commits $125m to Meadow fund, posts 6.1 percent return for fiscal year

The Virginia Retirement System (VRS), with $105 billion of assets under management, has committed $125 million to Meadow Real Estate VI.

Managed by the New York- and London-based firm, Meadow Partners, Meadow Real Estate VI is seeking to raise $600 million in capital and will invest opportunistically in select global gateway cities, primarily New York and London, but also Washington, D.C., and Paris. The fund will primarily invest in CBD office, industrial, multifamily and retail properties.

As of June 30, VRS had 13.5 percent ($14.2 billion) of its portfolio invested toward real assets.

VRS posted a net return of 6.1 percent for the fiscal year that ended June 30, slightly underperforming its benchmark of 6.3 percent. During the past three, five and 10 years, the pension fund has generated annualized net returns of 10.8 percent, 8 percent and 8.2 percent, respectively, each above respective benchmarks of 7.9 percent, 6.3 percent and 7.1 percent.

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