Florida SBA places $375m into opportunistic real estate funds

Florida State Board of Administration (SBA) is investing $375m (€344.1m) in opportunistic real estate funds. The pension fund told IPE Real Assets that it is committing $225m to the Cerberus Institutional Real Estate Partners V fund and $150m to the Trigate Property Partners IV fund. According to Florida SBA, Cerberus Partners V, which is planning a $2bn fundraise, has now raised $640m of equity. The fund targets investments that can produce gross annual internal rate of return of 17% to 20% over a one- to five-year holding period. TriGate IV has so far raised $414.75m and targets a $500m hard cap. The fund seeks investments where a net return of 15% and gross return of 18% can be achieved.