Two Bay Area Managers Receive $1.15B in New Commitments from CalPERS

CalPERS, Bay Area, San Francisco, California Public Employees Retirement System, GI Partners, Palo Alto, Pacific Urban Residential, CalEast Solstice, TechCore, Pacific Multifamily Investors

By Jon Peterson

Two real estate managers based in the San Francisco Bay Area have received new commitments from the California Public Employees Retirement System totaling $1.15 billion, according to a board meeting document from the pension fund.

One of the managers receiving the commitments is San Francisco-based GI Partners. This company received two commitments totaling $750 million, while the Palo Alto-based Pacific Urban Residential received a single commitment in the amount of $400 million.

GI Partners will be investing these commitments through two investment partnerships, CalEast Solstice, which will take $350 million of new commitment, and TechCore, which has an allocation of $400 million.

CalEast Solstice will be looking to buy a variety of industrial properties in many markets across the United States. CalPERS has placed a market value on this partnership of $2.9 billion as of the end of June 2018.

TechCore, on the other hand, has a core investment strategy, and it will look to acquire technology-advantaged real estate throughout the United States, according to the GI Partners website. The property types involved in this relationship include a mixture of office buildings and industrial assets. CalPERS has set a market value on TechCore at $1.25 billion.

The commitment with Pacific Urban Residential is for the Pacific Multifamily Investors partnership. CalPERS has placed a market value on this partnership at $1.1 billion. This is a core vintage apartment investment program, and it typically looks for apartments that are at least 11 years old. The San Francisco Bay Area is one of its targeted markets.

West Coast Commercial Real Estate News