New York State Common Retirement Fund (NYSCRF) has invested $72.7m (鈧�67m) to buy five medical office buildings in the US.
The pension fund told 麻豆映画 Real Assets that the 179,659sqft portfolio provides the fund with a 鈥済eographically diverse collection of high-quality medical office facilities that are well-positioned in densely concentrated medical corridors near healthcare infrastructure, generally in an established healthcare cluster鈥�.
NYSCRF added: 鈥淓ach asset is located within five miles of a major hospital in addition to smaller medical centres and urgent care facilities in the near vicinity.鈥�
The properties are located in the metropolitan statistical areas of Reading and Lancaster, Pennsylvania, Dallas, Atlanta and New Haven, Connecticut. The portfolio is 99% leased, primarily to credit tenants.
Medical office assets currently represent less than 1% of the pension fund鈥檚 real estate portfolio.
鈥淎s demonstrated during the recent pandemic, medical office is believed to be a much more resilient than traditional office. Medical office tenants are often more credit-worthy and much more likely to renew their leases upon expiration,鈥� the $233bn pension fund said.
NYSCRF has also added Arc Capital Partners to its emerging manager programme for real estate by making a $15m commitment to the Arc Urban Investors partnership.
鈥淭his investment was an opportunity to invest with an experienced and cohesive team that has been working together for many years,鈥� the pension fund said.
The Arc Urban Investors partnership, which will seek deals in the western US and Texas, will acquire repriced retail/commercial properties to convert to mixed-use and purchase value-add apartments or develop new apartment communities.
NYSCRF鈥檚 other emerging manager commitments made include issuing $15m to NB Partners Fund IV and $5.2m to Sundance Bay Debt Opportunity Fund and its sidecar fund.
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