Key Takeaways
- • Ohio PERS deployed $1.7 billion across three real asset funds, signaling continued institutional appetite for core and core-plus real estate strategies in 2025.
- • IDR Investment Management's Core Property Index Fund secured the largest single commitment at $500 million, designed to track the NCREIF NFI-ODCE Index with property-type weightings and regional diversification.
- • Invesco U.S. Income Fund received $300 million to target well-leased multifamily, office, retail, and industrial assets in major U.S. markets and coastal regions.
- • BGO US Core Plus Fund drew a $200 million commitment focused on industrial, multifamily, and office/life sciences properties across the United States.
Summary
The Ohio Public Employees Retirement System (PERS) has committed $1.7 billion to real asset funds, deploying capital across three distinct vehicles that span core and core-plus real estate strategies. This allocation reflects continued institutional confidence in diversified real property investments despite recent market volatility in commercial real estate sectors.
IDR Investment Management received the largest allocation at $500 million for its Core Property Index Fund, an open-end structure designed to replicate the NCREIF NFI-ODCE Index. The fund's architecture mirrors the underlying index's metrics, incorporating property-type weightings, regional diversification, property count, leverage ratios, and occupancy targets. This passive-indexed approach provides Ohio PERS with exposure to core real estate returns while maintaining disciplined tracking of benchmark performance.
Invesco U.S. Income Fund secured a $300 million commitment from Ohio PERS for a core-plus strategy emphasizing well-leased income-producing assets. The fund targets multifamily, office, retail, and industrial properties concentrated in major U.S. metropolitan markets and coastal regions where demand remains resilient. The core-plus positioning allows for moderate value-add opportunities while maintaining focus on stabilized, cash-flowing assets.
BGO US Core Plus Fund received $200 million to pursue a complementary core-plus mandate focused on industrial, multifamily, and office/life sciences properties. This deployment reflects Ohio PERS's confidence in diversification across property types and geographic markets as a risk mitigation strategy in the current real estate environment.
IDR Investment Management received the largest allocation at $500 million for its Core Property Index Fund, an open-end structure designed to replicate the NCREIF NFI-ODCE Index. The fund's architecture mirrors the underlying index's metrics, incorporating property-type weightings, regional diversification, property count, leverage ratios, and occupancy targets. This passive-indexed approach provides Ohio PERS with exposure to core real estate returns while maintaining disciplined tracking of benchmark performance.
Invesco U.S. Income Fund secured a $300 million commitment from Ohio PERS for a core-plus strategy emphasizing well-leased income-producing assets. The fund targets multifamily, office, retail, and industrial properties concentrated in major U.S. metropolitan markets and coastal regions where demand remains resilient. The core-plus positioning allows for moderate value-add opportunities while maintaining focus on stabilized, cash-flowing assets.
BGO US Core Plus Fund received $200 million to pursue a complementary core-plus mandate focused on industrial, multifamily, and office/life sciences properties. This deployment reflects Ohio PERS's confidence in diversification across property types and geographic markets as a risk mitigation strategy in the current real estate environment.
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