The EUR 26 billion public pension fund has already invested in private equity real estate in 2010, committing GBP 35 million to a fund making core-plus and value added investments in UK property. The pension fund has set aside approximately EUR 150 million to invest in three to five funds in 2010. Kuntien Eläkevakuutus will seek to invest across the risk/return spectrum, specifically favouring vehicles making core-plus and value added investments. The pension fund will continue to commit to funds making investments in Asian and European markets, and could make its maiden commitment to a US vehicle in 2011. The pension fund may choose to invest in real estate via a fund of funds vehicle in 2010, in order to maintain the diversification in its portfolio.
More information on private equity real estate investors is available on Preqin's online product, Real Estate Online.