Ohio Pension Commits $150M to Real Estate Funds

The Ohio Police & Fire Pension Fund, which oversees $18 billion in assets, has granted approval for two real estate commitments to supplement the portfolio’s existing holdings.

A commitment of up to $75 million was authorized for AEW Partners Real Estate Fund X, a closed-end opportunistic fund specializing in healthcare, industrial, and multifamily properties, and managed by AEW Capital Partners. Prior to this, the pension made investments in the AEW VII and AEW IX funds.

Oaktree Real Estate Opportunities Fund IX was the second recipient of a $75 million commitment towards the $1.84 billion real estate program. Oaktree Capital Management’s strategy revolves around the recapitalization of equity and commercial and residential real estate via rescue refinancing, discounted securities purchases, and acquisitions of distressed debt.

The pension fund, which also holds Oaktree VIII investments, stated that the last fund will invest primarily in the U.S., with a possible addition of Europe and Asia.

The allocations come as the pension fund’s real estate program accounts for 10.4% of the overall investment portfolio, falling short of its 12% goal allocation.