The Teacher Retirement System of Texas plans to invest $200m (鈧�180m) with real estate fund manager Lionstone, half of which will be take the form of co-investments.
The pension fund told IP Real Estate it had approved a $100m commitment to the Lionstone US Value-Add Four fund and will provide an additional $100m in co-investment capital.
It is the latest indication that Texas Teachers is increasing its co-investment activities. Last week, it revealed it would , in part to help with co-investment efforts in Europe.
Lionstone, which declined to comment, will be able buy and improve existing buildings and invest in development projects, according to industry sources.
The value-add real estate fund manager typically invests in a variety of US growth markets, such as San Francisco, Dallas, Houston, San Diego and Santa Monica.
Texas Teachers has been investing with Lionstone since 2010, to Lionstone Cash Flow Partners Fund One.
