Alaska Permanent Fund Corp., Juneau, committed £250 million ($418 million) to LaSalle Investment Management to run a custom U.K. real estate separate account, confirmed spokeswoman Laura Achee.
It is the first time the $50 billion sovereign wealth fund has invested in European commercial real estate. The fund has an existing relationship with LaSalle in U.S. real estate commitments and currently has $900 million invested with the firm, according to Ms. Achee.
The new strategy will seek investments between £50 million and £150 million across all real estate sectors.
“While the entry into Europe is clearly expected to provide diversification benefits, the increased capital dedicated to real estate (both domestically and globally) compels us to expand our footprint and opportunity set,” said Michael Burns, Alaska Permanent executive director and CEO, in a news release from LaSalle Investment Management. “We are excited to team up with LaSalle in the U.K.”