SWIB Allocates $90M to Real Estate in Q2
The State of Wisconsin Investment Board (SWIB), which oversees $147 billion in assets, continues its foray into private markets, earmarking $90 million to real estate in the second quarter, according to recent board meeting documents.
A $55 million commitment was made to High Street Real Estate Fund VIII. The fund, which is overseen by Massachusetts-based High Street Logistics Properties, invests in U.S. industrial and retail properties. Penwood Select Industrial Partners VII Co-Invest received a $35 million allocation. Industrial properties are also being pursued by the Penwood Real Estate Investment Management fund.
SWIB’s real estate program currently totals roughly $11 billion and through the first half of 2024 had logged 3.48% in losses. According to a presentation from Jason Rothenberg, SWIB’s head of real estate, a valuation reset is continuing in the real estate market along with overall muted transaction activity.
The manufactured housing, student housing, hotel, and data center property sub-types have performed well, while the office sector continues to struggle, he noted.