Illinois SURS Seeks Real Assets Managers

The $25.2 billion State Universities Retirement System of Illinois is seeking investment firms to manage its real assets portfolio, with a focus on private real estate, infrastructure and agriculture.

The mandate, as listed by Callan LLC on behalf of Illinois SURS, covers private real estate equity and debt funds, private infrastructure equity funds, and private agriculture-focused vehicles.

Prospective private real estate managers must have at least five years of operating history as an investment management firm and at least 10 years managing institutional real estate assets. Firms are also required to have at least $500 million in real estate net asset value and to offer a fund targeting at least $500 million in commitments.

For private infrastructure, managers are expected to have at least five years of experience investing in infrastructure assets, along with a track record of deploying at least $500 million in the sector. Eligible funds must be private infrastructure equity vehicles of at least $500 million and focus on investments across Organization for Economic Cooperation and Development markets with diversification across sectors.

Private agriculture managers must have at least three years of operating history and roughly five years of experience managing agriculture investments, along with a demonstrated ability to deploy at least $500 million in the sector. Funds must focus on farmland or related assets.

Additionally, funds must be open to new commitments over the next 12 months and be direct investment vehicles. Fund-of-funds strategies will not be considered.

The commitment pacing target for the non-core portfolio is $450 million to $550 million in 2026, though according to Callan’s posting, this could vary significantly. While some new managers may be hired, Callan’s announcement stated that the primary focus will be on re-ups with existing relationships. Individual fund commitments are anticipated to range from $50 million to $100 million.

All firms and proposed funds must register with Callan’s manager database, which is free of charge.