Two San Jose, Calif., pension funds made new real estate commitments totaling $35 million.
The $3.6 billion San Jose Police & Fire Department Retirement Plan and $2.1 billion San Jose Federated City Employees Retirement System disclosed commitments of $12 million and $7 million, respectively, to Rockpoint Real Estate Fund VI, a value-added real estate fund managed by Rockpoint Group, and $10 million and $6 million, respectively, to Exeter Industrial Value Fund V, a value-added real estate fund managed by Exeter Property Group.
They are the pension funds' first commitments to these managers, said Ron Kumar, investment operations supervisor, in an email.
For both pension funds, the target to core real estate is 5%. As of March 31, the police and fire pension fund and federated city pension fund's actual allocations to core real estate were 4.1% and 3.5%, respectively.