New York Common Retirement Fund Invests $1.3 Billion in September

The $246.3 billion New York Common Retirement fund made nearly $1.3 billion of investment commitments during September, more than half of which was earmarked for real estate investments, according to the CRF’s monthly transaction report.]

The pension fund committed $300 million to the Bridge Workforce and Affordable Housing Fund II managed by Bridge Investment Group. It is a closed-end fund structure focused on “building, preserving, and rehabilitating apartment communities” for the so-called “Missing Middle,” which it describes as people who don’t qualify for government subsidies but can’t afford market-rate housing.

Another $300 million was allocated within the pension fund’s real estate portfolio to the

LaSalle Property Fund from LaSalle Investment Management, which is an open-ended fund structure focused on acquiring and managing a diversified portfolio of core real estate. It is an additional commitment to an existing $300 million fund that closed in March of 2021.

The CRF also acquired, within its real estate portfolio, a 238-unit multi-family garden style apartment community called The Holston in Weaverville, NC for approximately $88.4 million.

Within the pension fund’s opportunistic absolute return strategies portfolio, it allocated $300 million to B Capital Group Management’s B Capital Coinvest Fund, which is structured as a no-fee, no-carry sidecar vehicle with full discretion to the general partner. The pension fund also committed $250 million within its credit portfolio to the Clearlake Opportunities Partners III, a fund managed by Clearlake Capital Group that targets non-control sector-focused special situations opportunities. The fund invests in equity and/or debt securities “to structure investments offering downside protection, contractual returns, current yield, and/or equity upside potential.”

And $20 million was earmarked within the CRF’s private equity portfolio to the Fortissimo Capital Fund VI through the Hamilton Lane NY Israel Fund II. The fund will seek investments in top performing portfolio companies in the technology and industrials sectors.

The pension fund also reported that it has terminated a $799 million account within its public equity portfolio with Genesis Investment Management, an emerging market manager. It allocated the proceeds to cash.