San Diego City Employees’ Retirement System committed $20 million each to two real estate funds — Long Wharf Real Estate Partners V and Torchlight Debt Opportunity Fund V, said materials from a recent meeting of the $6.9 billion pension fund.
Long Wharf Real Estate Partners spun out from Fidelity Investments in 2010 and manages all legacy Fidelity real estate funds. The new fund is a closed-end, non-core fund that would invest in domestic real estate. SDCERS had invested in a predecessor fund Fidelity Real Estate Growth Fund III.
Torchlight Debt Opportunity Fund V is a commingled closed-end opportunistic real estate debt fund managed by Torchlight Investors. The fund would invest in public and private real estate debt including commercial mortgages, commercial mortgage-backed securities, mezzanine loans and commercial real estate-backed collateralized debt obligations. The fund could also originate or acquire loans in the private market. SDCERS committed to Torchlight’s prior real estate debt fund, Torchlight Debt Opportunity Fund IV.
Aon Hewitt Investment Consulting, SDCERS general investment consultant, assisted on both commitments.
Liza Crisafi, chief investment officer of the pension fund, declined to comment.