Return to search

TCERA to add opportunity strategy to real estate portfolio

The US public pension also significantly reduced its core real estate target allocation.

nstitution: Tulare County Employees Retirement Association
Headquarters: Visalia, US
AUM: $1.97 billion
Allocation to alternatives: 19.8%

Tulare County Employees Retirement Association has approved a recommendation to add opportunity real estate to its investment portfolio at its August retirement board meeting, a contact at the pension confirmed to PERE.

The recommendation was put forth by the pension’s investment consultant, Verus Advisory whose contract was recently renewed. The pension chose to continue its relationship with the investment consultant after completing its RFP process earlier this year.

TCERA plans to have an initial opportunity real estate target allocation of 4 percent. The pension also reduced both its core and value-add real estate target allocations to 3 and 4 percent, respectively. It reduced its core real estate target allocation quite significantly, which was previously at 10 percent.

According to board documents, the pension would need to commit between $30 million to $70 million in commitments to achieve its opportunity and value-add target allocations by 2026.

As illustrated below, TCERA currently allocates 9.9 percent of its investment portfolio to real estate. The pension’s retirement administrator is Leanne Malison.

Platinum subscribers may click here for the investor’s full profile, including key contacts, allocation strategy and fund investments.