FSB Adds Over $600M to Real Estate Portfolio

The Florida State Board of Administration (FSB) expanded its alternative investment programs in the fourth quarter of 2023, distributing over $1 billion across many asset classes, with most of the funds invested in real estate.

Heitman Capital Management received $300 million for its joint venture iStorage II, as well as $5 million for Montecito, a joint venture with the Tennessee firm that specializes in medical properties.

Alterra Property Group secured a $78 million commitment for its Alterra IOS Venture III. The firm focuses on sites with zoning that allows for light vehicle and other parking, as well as storage containers or heavy equipment, to service the transportation, logistics, and construction industries. IOS Venture III is projecting a $750 million raise by the first quarter of this year.

Landmark Realty Advisors received a $35 million commitment to its Landmark Real Estate Fund IX and a $75 million commitment to co-investment.

L&B Realty Advisors received a $116 million commitment for three credit facilities. The Dallas-based company acquires, runs, develops, and sells institutional-grade office, retail, industrial, and multifamily properties.

Stockbridge’s Core and Value Advisors received a $1 million investment for its Central Port Logistics I fund. The logistics portfolio received a $181 million contribution from Florida last year.

The FSB oversees $225.4 billion in state assets, which includes the $176.3 billion Florida Retirement System. As of October 31, the allocation to strategic investments was 12.1%, with a target of 12%.