Washington State Investment Board, Olympia, committed up to $2.25 billion to real estate and private equity at its meeting Thursday, said Liz Mendizabal, spokeswoman for the $81.9 billion board. The board approved up to $400 million apiece to Washington Holdings Structured Finance fund and Principal Enterprise Capital Holdings fund, both real estate funds. The board also approved commitments of up to $400 million to First Reserve Fund XII; up to $300 million to Blackstone Capital Partners VI; up to $300 million to Fortress Investment Fund VI; and up to $50 million to the Evergreen Pacific Partners II fund.
The board also made a $400 million commitment to Alinda Infrastructure Fund II, a fund that invests in infrastructure assets. Real estate consultant Courtland Partners and private equity consultant Capital Dynamics assisted.
Separately, the board approved an RFQ for a compensation consultant. Legislators recently changed a state law that capped annual pay increases at 5% for WSIB investment officers after the board expressed concern over salaries not keeping pace with industry peers, Ms. Mendizabal said. The amended law calls for the board to compare WSIB salaries with salaries of investment officers at funds of a similar size. Proposals are due July 31, with finalists scheduled to be interviewed at the boards Sept. 17 meeting.