Ohio Bureau of Workers' Compensation, Columbus, committed a total of $700 million to seven core-plus real estate commingled funds for the $21.6 billion State Insurance Fund, said Melissa Vince, bureau spokeswoman, in an e-mail.
The bureau committed $125 million each to Jamestown Premier Property Fund; PRISA II, managed by Prudential Real Estate Investors; and USAA Eagle Real Estate Fund, managed by USAA Real Estate. It also committed $100 million to J.P. Morgan U.S. Real Estate Income and Growth Fund, managed by J.P. Morgan Asset Management; and $75 million each to Clarion Lion Industrial Trust, managed by Clarion Partners, Invesco U.S. Income Fund, and Prologis Targeted U.S. Logistics Fund.
The hires come as a result of an RFP issued in March 2015. The bureau had increased the insurance fund's overall real estate target to 12% from 6% two months earlier.
That target allocation was made up of a new 3% core-plus target and increases in core real estate to 7% from 4.5% and value-added real estate to 2% from 1.5%, funded by reductions in the U.S. Treasury inflation-protected securities target to 10% from 14% and the long-duration government bonds target to 4% from 6%.
Investment consultant RVK assisted.