Key Takeaways
- • The $279.7 billion New York Common Retirement Fund committed more than $2.6 billion to alternative investments in December 2021, with nearly half going to four real estate funds.
- • The largest single commitment was $750 million to Brookfield Asset Management's Brookfield Global Transition Fund, L.P. under the pension's real assets portfolio.
- • Cortland Partners' Cortland Growth and Income Fund received $400 million, the largest real estate allocation, targeting market-rate multifamily assets in U.S. growth markets.
- • Three $300 million real estate commitments went to Blackstone Real Estate Partners Asia III, J.P. Morgan's JPM Star Lake Fund IV, and Ventas' Life Science and Healthcare Real Estate Fund.
- • Private equity commitments totaled $250 million, including $150 million to Apollo's Impact Mission Fund and $100 million to Insight Partners XII Buyout Annex Fund.
Summary
The New York Common Retirement Fund, with $279.7 billion in assets, committed more than $2.6 billion to alternative investments in December 2021, according to a report from AI-CIO. Nearly half of the total, roughly $1.2 billion, was allocated across four real estate funds.
The largest single commitment was $750 million to Brookfield Global Transition Fund, L.P., managed by Brookfield Asset Management Inc., under the pension's real assets portfolio. The fund seeks high-quality assets and businesses where it can exercise significant control or influence, aiming for measurable positive environmental impact alongside strong financial returns.
In real estate, the pension committed $400 million to the open-end Cortland Growth and Income Fund from Cortland Partners LLC, which acquires and operates market-rate, well-located multifamily assets with durable recurring income in U.S. growth markets. It also committed $300 million each to Blackstone Real Estate Partners Asia III LP, which targets diversified real estate assets in the Asia Pacific region; JPM Star Lake Fund IV, LLC, a closed-end fund-of-one sponsored by J.P. Morgan Real Estate focused on U.S. value-add opportunities; and Ventas, Inc.'s Ventas Life Science and Healthcare Real Estate Fund, an open-end fund focused on core health care real estate such as life science and medical office buildings.
Under its opportunistic absolute return strategies portfolio, the pension earmarked $340 million for Capital Constellation L.P., from Capital Constellation LLC, which makes structured equity investments in growth-oriented alternative asset managers.
Private equity commitments totaled $250 million. This included $150 million to Apollo Global Management's Apollo Impact Mission Fund, which targets late-stage investments in impact-aligned themes such as economic opportunity, education, health, and safety and wellness, and $100 million to Insight Partners XII Buyout Annex Fund, which invests in buyouts of technology companies in North America, Europe and Israel.
By contrast, activity was far more subdued in January 2022, when the fund added only $188.7 million to the Lisanti Capital Growth account under its global equity portfolio.
The largest single commitment was $750 million to Brookfield Global Transition Fund, L.P., managed by Brookfield Asset Management Inc., under the pension's real assets portfolio. The fund seeks high-quality assets and businesses where it can exercise significant control or influence, aiming for measurable positive environmental impact alongside strong financial returns.
In real estate, the pension committed $400 million to the open-end Cortland Growth and Income Fund from Cortland Partners LLC, which acquires and operates market-rate, well-located multifamily assets with durable recurring income in U.S. growth markets. It also committed $300 million each to Blackstone Real Estate Partners Asia III LP, which targets diversified real estate assets in the Asia Pacific region; JPM Star Lake Fund IV, LLC, a closed-end fund-of-one sponsored by J.P. Morgan Real Estate focused on U.S. value-add opportunities; and Ventas, Inc.'s Ventas Life Science and Healthcare Real Estate Fund, an open-end fund focused on core health care real estate such as life science and medical office buildings.
Under its opportunistic absolute return strategies portfolio, the pension earmarked $340 million for Capital Constellation L.P., from Capital Constellation LLC, which makes structured equity investments in growth-oriented alternative asset managers.
Private equity commitments totaled $250 million. This included $150 million to Apollo Global Management's Apollo Impact Mission Fund, which targets late-stage investments in impact-aligned themes such as economic opportunity, education, health, and safety and wellness, and $100 million to Insight Partners XII Buyout Annex Fund, which invests in buyouts of technology companies in North America, Europe and Israel.
By contrast, activity was far more subdued in January 2022, when the fund added only $188.7 million to the Lisanti Capital Growth account under its global equity portfolio.
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