- Name: City of Lakeland Employees’ Pension and Retirement System
- HQ: Lakeland, US
- AUM: $813.6 million
- Allocation to private real estate: 8.92%
City of Lakeland Employees’ Pension and Retirement System confirmed its backing of the Mavik Real Estate Special Opportunities Fund in recently released meeting materials.
With a commitment of $11 million made to the real estate credit vehicle, the pension is on pace for its 5 percent target allocation to non-core real estate.
Mavik Real Estate Special Opportunities Fund, launched in October 2020, is a subordinated real estate debt vehicle that focuses on financing of the US mid-market. Targeting $300 million in institutional capital commitments, Mavik has raised $200 million for the fund as of September 2022. Performance projections sit at a 21.3 percent gross IRR, alongside 1.5x for MOIC.
The fund portfolio is fully diversified across its sector and regional focus. As illustrated below, RESOF operates in the multifamily, mixed-use, retail and office sectors, and looks to plant its flag in assets across the US. By focusing on investment across market types, RESOF looks towards a defensive investment structure that prioritises stability and durable cashflows.
Led by Vik Uppal, Mavik Capital Management is a New York-based investment firm that focuses on US mid-market real estate credit, with an emphasis on highly structured investments, predictable current yield and margin of safety.
The firm held $1 billion in assets under management as of September 2022. Mavik itself is backed by global investment giant Blackstone, which holds a 20 percent minority stake in the firm. Ticket sizes tend to cap at the $50 million mark, with an average ticket size between $10 million and $30 million.
City of Lakeland Employees’ Pension and Retirement System currently allocates 8.92 percent of its total investment portfolio to private real estate, comprising around $72.6 million in capital. The pension has a target allocation to the asset class of 10 percent. It invests in real estate through core, core plus, debt, co-investment, fund of funds, opportunistic, secondaries and value-add strategies in North America.
Mavik declined to comment on their fundraising activity.
Kirkland & Ellis acted as fund counsel for Mavik, alongside KPMG who acted as fund auditor.
AndCo acted as investment consultant on behalf of City of Lakeland Employees’ Pension and Retirement System.
Platinum subscribers may click here for the investor’s full profile, including key contacts, allocation strategy and fund investments.