Key Takeaways
- • Los Angeles Fire and Police Pensions approved a $60m (€53.2m) commitment to Townsend Group's Real Estate Capital Solutions IV, according to a board meeting document reported by IPE Real Assets.
- • The San Antonio Fire and Police Pension Fund recently committed $25m to the same fund, and has also invested in predecessor Capital Solutions III, which generated an inception-to-date IRR of 12%.
- • Capital Solutions IV will pursue secondaries, recapitalisations and other general partner capital solutions strategies.
- • The fundraising target for Capital Solutions IV has not been disclosed.
- • San Antonio's pension disclosed that investing in the fund reduces the fees it pays Townsend for real estate investment consulting services.
Summary
Los Angeles Fire and Police Pensions has approved a $60m (€53.2m) commitment to Townsend Group's latest diversified real estate fund, according to IPE Real Assets. The pension fund disclosed the allocation in a board meeting document, identifying the vehicle as Townsend Real Estate Capital Solutions IV.
The fundraising target for Capital Solutions IV is currently unknown. The San Antonio Fire and Police Pension Fund (SAFPPF) has also recently committed $25m to the fund. SAFPPF previously invested in Capital Solutions III, which has generated an inception-to-date internal rate of return of 12%.
The strategy will deploy capital through secondaries, recapitalisations and other general partner capital solutions. SAFPPF noted in its meeting documents that a key advantage of the investment is a reduction in the fees it pays Townsend for real estate investment consulting services.
The Townsend Group did not respond to a request for comment.
The fundraising target for Capital Solutions IV is currently unknown. The San Antonio Fire and Police Pension Fund (SAFPPF) has also recently committed $25m to the fund. SAFPPF previously invested in Capital Solutions III, which has generated an inception-to-date internal rate of return of 12%.
The strategy will deploy capital through secondaries, recapitalisations and other general partner capital solutions. SAFPPF noted in its meeting documents that a key advantage of the investment is a reduction in the fees it pays Townsend for real estate investment consulting services.
The Townsend Group did not respond to a request for comment.
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