KLM Royal Dutch Airlines, Amsterdam, with $10.6 billion in assets, plans to add $176 million in private real estate equity strategies, evenly divided between the United States and Europe, excluding the Netherlands, said Raymond Satumalaij, real estate strategist for Blue Sky Group, KLMs asset management unit. If approved by the three pension boards, Blue Sky will search for a U.S. and European manager to create private REITs to run the real estate equity. The European search will be handled internally, while in the United States, Atlantic Partners will line up candidates. Mr. Satumalaij expects the searches to be completed by the end of the year.
The move is part of an overhaul of KLMs $880 million real estate portfolio.