The Los Angeles City Employees’ Retirement System (LACERS) plans to commit $35 million to Almanac Realty Securities (ARS) VIII pending final board approval, according to minutes released from today’s investor committee meeting.
The $16.7 billion US public pension will re-up with Almanac after investing in the firm’s sixth debt vehicle in 2013. LACERS earned a 15 percent net IRR and 1.4x TVPI multiple on its $25 million commitment to ARS Fund VI.
For its eighth fund in the series, which has already raised over one-third of its $1.5 billion target size, Almanac is shooting for 12 percent net returns and a 1.5x to 1.75x multiple. The New York-based investment firm will collect a 1.25 percent management fee as well as carried interest of 20 percent upon clearing an 8 percent hurdle rate.
LACERS has a 5 percent commitment to private real estate. Platinum subscribers may click here for the pension’s full profile, including key contacts, allocation strategy and fund investments.