At a glance
- The pension has $233.5 billion in assets and a 15 percent real estate target, or roughly $35 billion if fully funded.
- Pennybacker Capital's seventh fund has no determined fundraising goal, so the size of the pool that TRS is joining is not yet fixed.
- The CRE Finance Council's sentiment index fell to 83.3, its lowest reading since 2023 and 34 percent below its late-2024 record.
Texas TRS has committed $150 million to Pennybacker Capital's seventh value-add real estate fund through its real estate allocation program.
The pension has $233.5 billion in assets and a 15 percent real estate target, or roughly $35 billion if fully funded. The $150 million commitment is about 0.4 percent of that implied target.
Pennybacker Capital's seventh fund has no determined fundraising goal, so the size of the pool that TRS is joining is not yet fixed.
Lender sentiment at a three-year low
The CRE Finance Council's sentiment index fell to 83.3, its lowest reading since 2023 and 34 percent below its late-2024 record. All nine core questions weakened from the second quarter. In the survey, 92 percent of respondents said they expect mortgage and cap rates to weigh negatively on CRE finance businesses, and borrower demand registered net negative for the first time since 2022.
Reported by the Fundraising desk from Private Real Estate Daily own coverage: Texas TRS commits $150 million to Pennybacker Capital's seventh value-add fund and Private Real Estate Daily own coverage: CRE Finance Council's sentiment index falls to lowest since 2023. Published . Corrections