Illinois Municipal Retirement Fund Seeking Residential RE Managers
The Illinois Municipal Retirement Fund (IMRF) intends to allocate at least $50 million to residential property investments as it prepares to assess potential managers.
The $55 billion pension system will concentrate on closed-end value-add and opportunistic U.S. residential real estate funds, as stated in its recently released RFP (Request for Proposal). IMRF’s real estate portfolio constitutes a segment of the real assets program, which exceeds $4 billion. The portfolio shed more than 5% for the fiscal year ending June 30, 2024.
The investment team, led by CIO Angela Miller-May, is looking for single or multiple strategy equity funds that focus solely on residential real estate, including but not limited to affordable housing, workforce housing, student housing, manufactured housing, single-family build to rent, and senior housing.
According to the RFP, IMRF anticipates the funds to be at least $250 million, with at least 75% invested in residential properties. The benchmark for the private real assets program is a combination of the NCREIF ODCE index and the CPI +4%.
Responses are due back by November 22. The fund anticipates selecting a manager by February 21, 2025, with finalists presenting to the IMRF investment committee the day prior.
Wilshire is assisting the pension fund with its search.