LA Water & Power Pension Commits $200M to Real Estate, Private Credit 

The Los Angeles Water & Power Employees Retirement Plan (LAWPERP), overseeing $19 billion in assets, has recently bolstered its private markets portfolio by committing $200 million across three funds, focusing on private equity and real estate. 

At the close of 2024, LAWPERP allocated $50 million to the Harrison Street Core Property Fund, an open-end, core real estate fund. This includes a $10 million contribution from the retiree health fund. This marks the pension’s second engagement with Harrison Street, following a $60 million commitment to the firm’s 2015 fund series. The Core Property Fund targets student housing, senior housing, medical office, self-storage and data centers. 

LAWPERP also committed $75 million to Locust Point Private Credit Fund III, a closed-end, value-add real estate debt fund, with $10 million from the retiree health fund. This fund focuses on the middle-market segment of U.S. senior housing and senior care operating companies. 

The third allocation is a $75 million commitment to FTV Capital’s FTV III, a growth equity fund, including $10 million from the retiree healthcare fund. FTV III targets high growth fintech companies that are at or near profitability. 

As of the latest figures, LAWPERP’s private equity allocation stands at 14% of total assets, or $2.6 billion, surpassing its 10% target. The real estate allocation is 9.3%, falling just short of the 10% target set by the trustees at the year’s start.