University of Michigan, Ann Arbor, disclosed $385 million in alternative and absolute-return commitments from its $12.5 billion long-term endowment pool ahead of its Thursday board of regents meeting.
The commitments were made from August through November to eight existing fund managers. UM's investment office has authority to invest in new funds and strategies offered by existing managers without approval by the board.
In alternatives, the university committed $50 million to Brookdale Investors Eight, a real estate fund managed by the Brookdale Group that makes investments in existing, high-quality suburban and urban office properties in the traditionally high-growth submarkets in the U.S. Sunbelt region; $50 million to CREA Partners III, a real estate fund managed by Cypress Real Estate Advisors that invests in residential and/or mixed use properties with a residential component; $50 million to Green Courte Real Estate Partners V, managed by Green Courte Partners that invests primarily in North American niche sectors including parking, manufactured housing/land lease communities and senior housing; $50 million to LBA Logistics Value Fund VII, a real estate fund that aims to acquire a diversified portfolio of office and industrial properties located primarily in western U.S. markets, managed by LBA Realty; and $50 million to Siguler Guff Valiant Fund, which invests in Brazilian companies seeking growth capital to scale businesses in a capital-constrained market and is managed by Siguler Guff & Co. A university representative could not immediately be reached to provide more information on the Siguler Guff fund.
The university also committed $35 million to Advent Latin American Private Equity Fund VII-C SCSP, which invests in later-stage growth companies in Latin America and is managed by Advent International, and $30 million to GSR Ventures VII, a China-focused venture capital fund.
In absolute return, the university committed $50 million to Kayne CLO Partners Fund II and $20 million to Kayne CLO Partners GP, which invest in the equity tranches of Kayne Anderson managed collateralized loan obligations and opportunistically in the equity tranches of third-party managed CLOs.
