New Mexico State Investment Council, Santa Fe, committed $75 million to Blackstone Real Estate Partners VII, an opportunistic real estate investment fund, said Charles Wollmann, director of communications for the $15 billion investment council.
This is the council's first tactical, non-core real estate commitment since 2008. The council plans to commit about $225 million in new non-core real estate in 2012.
Real estate consultant Townsend Group assisted.
The council at Tuesday's meeting also committed $50 million to Asia Alternatives Capital Partners III, a private equity fund of funds, and $25 million to a co-investment pool also managed by Asia Alternatives. The fund and the side-car vehicle would invest in private equity funds in Asia.
Separately, the council at the meeting approved investment policies for the current infrastructure and timberland suballocations in its 10% long-term real asset allocation. Infrastructure and timberland could each be allocated 30% of the real asset portfolio.
The council also approved an investment policy for any future farmland suballocation; the council does not yet have one within the real asset portfolio. The new policies will result in searches but no timetable has been set. Consulting firm LP Capital Advisors assisted.