Denver Public Employees Retirement Plan is conducting a shortlist search for a distressed real estate manager to run about $20 million, said Steve Hutt, executive director of the $1.6 billion plan.
Consultant Summit Strategies will assist.
Mr. Hutt said the system’s real estate target was lowered two percentage points to 8% earlier this year, but market fluctuations lowered the actual allocation to 6.5% now.
Funding will come from rebalancing; no managers will be terminated.
“We expect some rebound in real estate,” he said.
Plan officials expect to pick a manager sometime in the third quarter, Mr. Hutt said.