The board of the $154 million Manchester (N.H.) Employees' Contributory Retirement System voted Tuesday to consolidate the system's core real estate investments by terminating a $2 million mandate with Morgan Stanley Investment Management and adding it to the roughly $1.2 million core equity real estate portfolio overseen by Prudential Real Estate Investors, confirmed Gerard E. Fleury, executive director.
Mr. Fleury said an entry queue for Prudential's real estate strategy will delay the transfer of the assets until later this year.
Matt Burkhard, a spokesman for MSIM, declined to comment.
The board also agreed that the pension fund's investment committee will interview real estate fund-of-fund managers when it meets March 12, with plans to eventually boost Manchester's real estate allocation to 5% of overall assets, or roughly $8 million, Mr. Fleury said.
Assets for that roughly three-point boost to real estate will come from “a number of sources,” including rebalancing of existing allocations and from cash holdings, which are now overweight, Mr. Fleury said.