Harrison Connery

The largest US pension fund eyes non-core funds for its next round of allocation to the asset class.

The pension plan has made significant headway toward its annual pacing target with a $300m investment in Carlyle Realty Partners X.

An increasing focus on creating cashflow and upgrading buildings has changed how investment skills are prioritized, said panelists at INREV’s North America event.

The endowment has proposed reducing its allocation target to the asset class in favor of stepping up activity in private equity.

The firm, which closed $100m over its target for Fund VI, is part of a growing percentage of managers beating their fundraising goals.

The Canadian pension plan posted a 5% loss in the asset class, blaming the poor performance partly on rising interest rates.

Industry executives agree on a positive outlook for US real estate, but not on whether the upswing will include the out-of-favor sector.