T
he Teachers' Retirement System of Louisiana has made a significant investment in the Oaktree Real Estate Income Fund Feeder VI, committing $250m to the core-plus North America fund. This allocation is part of a broader strategy to diversify its portfolio and capitalize on growth opportunities.

    Feeder VI boasts an impressive portfolio with 49 properties, 91% of which are currently leased. The fund's asset mix is heavily skewed towards apartments (43%) and industrial assets (43%), reflecting the growing demand for these sectors in North America. Office buildings account for a smaller share at 9%, while single-family rentals and life sciences make up 4% and 1% respectively.

    Notably, Feeder VI has no entry queue, indicating strong investor interest and confidence in the fund's prospects. However, there is a significant redemption queue of $387m, suggesting that some investors may be looking to exit the fund. Despite this, the fund's net asset value stands at $2bn, underscoring its sizeable scale and potential for long-term growth.

    The investment by Louisiana Teachers represents approximately 12% of Feeder VI's total capital, well within the 20% limit set by the pension fund. Oaktree Capital Management has declined to comment on this development, but the investment is likely to be seen as a vote of confidence in the firm's real estate expertise and the potential for sustained returns from its North America-focused funds.