The $800 million strategic partnership will allow NPS to access a variety of real estate platform opportunities globally through Almanac's existing and future funds as well as a dedicated SMA
NEW YORK, Jan. 15, 2025 -- The National Pension Service of Korea ("NPS") and Almanac Realty Investors ("Almanac"), the private real estate investment arm of Neuberger Berman, have established a strategic partnership to invest in real estate platforms and make real estate GP Stakes investments globally. NPS and Almanac will seek to deploy $800 million, an initial capital commitment across certain managed vehicles, with the intention of scaling the relationship over time.
The strategic partnership consists of three distinct components: i) Anchor commitments to Almanac's flagship strategy, focused on providing growth capital to real estate operating companies, ii) Similar anchor commitments to Almanac's existing strategy dedicated to acquiring minority equity stakes in institutional real estate investment managers and iii) Significant commitment to a newly formed vehicle, exclusive to NPS, where Almanac will primarily advise and assist NPS with transactions across certain platform and GP Stakes opportunities sourced by the NPS team.
"As the real estate investment landscape evolves, platform investing has emerged as a transformative trend reshaping the industry. This approach not only optimizes value creation but also aligns with long-term growth strategies, making it a cornerstone for forward-thinking investors," said Insub Park, Senior Portfolio Manager of Real Estate Platform Investment Team, National Pension Service. "The Almanac team has demonstrated unparalleled expertise and leadership in this domain. Looking ahead, we are committed to building on this collaboration, focusing on strengthening our long-term relationship and delivering exceptional outcomes together."
"Private real estate is an important investment opportunity for clients, and we're pleased to bring our platform-level investment expertise to NPS," said George Walker, CEO and Chairman, Neuberger Berman. "We help clients with investments across the public and private markets. Our Almanac group has long-running relationships with industry institutions and the experience and expertise to source opportunities. We look forward to bringing the diversification and returns of this asset class to this important pension fund client."
The NPS and Almanac relationship follows the formation of NPS' Real Estate Platform Investment Team. Established in 2024, this team is dedicated to identifying and investing in real estate platform opportunities globally. Their focus includes commitments to both established and emerging real estate operating platforms, as well as acquiring minority equity stakes in real estate investment managers.
"Almanac is excited to embark on this new partnership with NPS, whose perspective on the real estate industry aligns closely with ours," said Matthew Kaplan, Chairman and Group Head of Almanac. "This collaboration is a key milestone for us at Almanac, as we anticipate combining the decades of experience and resources of our teams to capitalize on the growing market for platform-level opportunities."
Almanac, a pioneer in the real estate platform investment space since 1996, brings unparalleled experience and networks to this partnership. Through this collaboration, NPS will leverage Almanac's extensive expertise as it expands into the real estate platform market on a direct basis.
About Almanac Realty Investors
Almanac Realty Investors, a business unit of Neuberger Berman, is a leading provider of growth capital to private and public real estate companies. Originally founded in 1981 under the name Rothschild Realty, Almanac Realty Investors partners with established owner-operators in all sectors of the real estate market to accelerate company growth and has committed more than $8.3 billion in capital to 56 real estate companies, both private and public, throughout North America. For more information, visit www.almanacrealty.com.
About National Pension Service Investment Management
The National Pension Service Investment Management was launched in 1999 as an investment arm of the National Pension Service (NPS) with the objectives of effectively coping with fast-changing economic and financial circumstances and managing the National Pension Fund (NPF), commissioned by the Minister of Health and Welfare, in a systematic and professional manner. Backed by the endeavors, the NPF has evolved into one of the world's largest pension funds with assets under management of KRW 1146 trillion, with a cumulative return of KRW 675 trillion from its inception in 1988 to September 30, 2024.
About Neuberger Berman
Neuberger Berman is an employee-owned, private, independent investment manager founded in 1939 with over 2,800 employees in 26 countries. The firm manages $508 billion of equities, fixed income, private equity, real estate and hedge fund portfolios for global institutions, advisors and individuals. Neuberger Berman's investment philosophy is founded on active management, fundamental research and engaged ownership. Neuberger Berman has been named by Pensions & Investments as the #1 or #2 Best Place to Work in Money Management for each of the last eleven years (firms with more than 1,000 employees). Visit www.nb.com for more information. Data as of December 31, 2024.
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