State of Wisconsin Investment Board (SWIB) is planning to be 鈥渧ery disciplined鈥� and avoid competitive bidding when making real estate investments this year.
The pension fund told IPE Real Estate that it would be 鈥渓ooking to avoid heavy bidding opportunities鈥� and instead seek 鈥渕otivated sellers that need quick and certain closings鈥�.
According to a board meeting document, SWIB is below its real estate target allocation of 8%, which it set at the end of 2016. It has 6.5% of its investments in real estate.
SWIB expects most opportunities to acquire strategic positions to arise in the US.
The pension fund has a high exposure to core real estate, which as of April 2017 made up 71.5% of its real estate porfolio, well above its minimum requirement of 50%.
SWIB will be selling some of its separate account assets that it considers to be in non-strategic markets. These include an apartment complex in Detroit.
