Kalamazoo (Mich.) City Employees' and County Employees' pension plans...

Kalamazoo (Mich.) City Employees' and County Employees' pension plans terminated Morgan Stanley from real estate portfolios worth a combined $28 million, said John Nelson, chairman of both plans. The $420 million city plan and $160 million county plan had originally invested in Lend Lease's Prime Property Fund, but trustees were concerned about the fund's future management and marketing following Morgan Stanley's acquisition of Lend Lease's U.S. equity real estate business last year, he said. Trustees are now reviewing a shortlist of six real estate equity funds and hope to make a commitment by the end of the third quarter, he said. He declined to identify the funds being considered. The plans do not use a consultant.