Case Study: $1B Real Estate Portfolio Insights & Performance

Case study: Diving into a $1 billion real estate portfolio

Total pension size: $11.3 billion

Source of funds: Pensions of San Diego city employees

Real estate portfolio:
-- $1.1 billion
-- 70% core equity
-- 18% non-core equity
-- 8% core debt
-- 4% non-core debt

Long-term returns:
-- 6.6% vs. 6.0% benchmark
-- Core portfolio: 6%
-- Non-core portfolio: 8.6%

Returns over the last year:
-- Core portfolio: 9.5% across all core funds
-- Core range: -14.8% (JPM) to +17.9% (CBRE)
-- Non-core portfolio: -15.1% across all non-core funds
-- Non-core range: -78.5% (Sares IV) to +10.9% (LaSalle Asia V)