Starwood fund gets $100m in commitments

Starwood Capital’s latest global real estate fund has received $100m in commitments from two US pension funds, including New Mexico’s $13bn scheme and the $15.8bn Louisiana Teachers fund. New Mexico also committed a further $65m to private equity and real estate funds.

Starwood Capital’s latest opportunistic fund, Starwood Global Opportunity Fund VIII, has received $100 million (€63 million) in commitments from two US pension funds.

The $15.8 billion Teachers’ Retirement System of Louisiana (TRSL) approved a $75 million commitment to Fund VIII at its July investment committee meeting last week, deputy chief investment officer Phil Griffith told PERE. A spokesman for the New Mexico Public Employees Retirement Association confirmed the pension had also approved a $25 million commitment to the Starwood vehicle.

Last year, the Starwood fund also received a $50 million commitment from Pennsylvania State Employees’ Retirement System in a follow-on investment. Starwood closed its previous global opportunity fund, Fund VII, on $1.5 billion in 2005.

The investment by New Mexico was one of a trio of private equity and real estate funds to get commitments from the $13 billion public pension plan. The Santa Fe-based pension also committed $35 million to Quantum Energy Partners V and $30 million to Selene Partners Residential Mortgage Opportunity Fund. Quantum V is a private equity fund that invests in energy exploration and production, while Selene Partners is a distressed whole loan mortgage private equity fund.