Fresno City Commits €25M to Tristan Capital RE Fund, Discloses 2025 RE Targets

The City of Fresno Retirement Systems’ investment committee approved a commitment to Curzon Capital Partners 5 Long-Life and is recommending a 15% target for the pension’s 2025 real estate portfolio.

According to materials related to its Dec. 11 board meeting, the pension made a €25M (~$26.3M) follow-on commitment to the open-ended core-plus real estate fund managed by London-based Tristan Capital, accounting for 12% of Fresno’s core/core-plus sub-asset allocation. Per Dakota data, the city pension previously committed $55M to Curzon Capital Partners 5 in 2022.

Fresno is also looking to make approximately $90M in closed-end non-core commitments for 2025 to maintain its real estate policy’s 15% long-term benchmark. In a memo included in the pension board’s November 26 meeting materials, staff and general consultant NEPC recommended the adoption of the pacing plan for next year to “maintain vintage year diversification,” projecting a total NAV of 15.2% by June 2034.

As of October 31, the $4B Fresno city pension’s core real estate policy carries a 9.2% weight against a 6% long-term target. It is part of the real estate umbrella which represents $850M of the portfolio, or a 21% weight, with a 22% target allocation.