Seattle City Employees tops up AEW, JPMAM real estate funds

Seattle City Employees’ Retirement System made follow-on commitments of $40 million each to AEW Core Property Trust and JP Morgan Strategic Property Fund.

The $4.1 billion pension fund’s board approved the follow-on commitments to the open-end core real estate funds managed by AEW Capital Management and JP Morgan Asset Management at its March 10 meeting, said Jason Malinowski, chief investment officer, in an email.

As of Dec 31, the pension fund had $116 million and $115 million, respectively, in the funds.

SCERS’ investment committee had originally brought a recommendation to the board March 10 to commit up to $80 million to Carlyle Property Investors, an open-end core-plus real estate fund managed by Carlyle Group.

Mr. Malinowski said, however, that the board had concerns with the Carlyle fund’s investments in the single-family rental home sector, voted to delay consideration of the commitment and instead make the additional commitments to the pension fund’s existing open-end real estate managers .

As of Dec 31, the pension fund’s actual allocation to real estate was 9.3%.

Investment consultant NEPC assisted.