New Mexico SIC Adds $1.1B to Alternative Assets

The New Mexico State Investment Council, which manages $44 billion in assets, made allocations across alternative assets, including private equity, private credit, real return and real estate.

The latest round totals $1.1 billion and builds on more than $1.2 billion across the space.

In private equity, a commitment of up to $50 million was made to Sweetwater Private Equity III. The allocation is the first that SIC has made to Sweetwater Capital Partners. The private equity firm invests in late-stage venture, growth or lower middle-market buyout opportunities.

Two $300 million commitments were made to private credit, including Atalaya Income Fund Evergreen, which is managed by Atalaya Capital Management, and HPS Specialty Loan Fund Strategy, a fund managed by HPS Investment Partners. The fund focuses on non-sponsored first-lien financing to middle and upper-middle market companies.

On the real return, SIC approved a $150 million allocation to LS Power Equity Partners V, a value-add opportunistic strategy focused on energy.

In real estate, two $150 million investments were made across two funds: Blackstone Real Estate Partners Europe VII and Bain Real Estate Capital II.

The Blackstone investment is a re-up and the pension fund’s seventh in the BREP series of funds and the second in the European focused vintage. REPE VII’s focus remains in logistics, residential and in Europe Leisure and Hospitality. Office and retail sectors also make up a small percentage of the fund.

The Bain fund focuses on life science and lab space as well as self-storage, medical office, industrial infill and senior housing.