Oklahoma Tobacco Settlement trust makes its real estate debut

Oklahoma Tobacco Settlement Endowment Trust, Oklahoma City, hired AEW Capital Management and TA Associates Realty to manage real estate mandates, said Georgiana Stephens, deputy chief investment officer at the state treasurer's office.

AEW will manage a core portfolio; TA Associates, value-added. The size of the mandates and the funding source will be determined at the endowment trust's Nov. 14 board meeting, Ms. Stephens said in a telephone interview.

An RFP was issued in July, and the mandate size was noted as $25 million for each manager. It is the $701 million endowment's first commitments to real estate.

NEPC assisted.

The board approved a 5% to 8% allocation to real estate on June 13, Ms. Stephens said.