Florida SBA aims at USD real estate obligations | News

The Florida State Board of Administration (SBA) plans to commit 1.4 billion USD (EUR 1.3 billion) for real estate this year, which is mainly aimed at living assets that are currently under all overalls within the portfolio.

Florida SBA's real estate consultant, the Townsend Group, admitted in the meeting of the pension fund that residential assets make up 22.6% of the real estate portfolio compared to the NCRIF ODCE index benchmark of 29.3%.

The advisor recommends reducing the office for assets, which exceed the benchmark -16.9% of the benchmark with 20.3% of the real estate portfolio.

Florida SBA's real estate portfolio, which has a value of $ 18.9 billion, corresponds to 9.3% of its total planned assets compared to an allocation target of 12%.

In the reporting period, the pension fund's investment plan includes the allocation of new capital for the core property portfolio via system purchases via separate account managers. The core assignment can include a mixture of residential buildings and increased exposure to alternative real estate types.

In the event of non-core investments, the strategy is to bring capital to average or unique opportunities and to focus on alternative sectors such as living, digital infrastructure and global supply chains.

Last year Florida SBA sold its real estate investment loyalty portfolio for $ 2 billion and spent two returns of $ 209 million out of its open core portfolio.

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