The Ohio Public Employees Retirement System and real estate private equity firm PCCP LLC have formed a new venture that will originate first mortgages nationally for owners with a value-add business plan. The venture seeks to take advantage of the lack of liquidity in the floating-rate commercial mortgage debt space.
The venture will make loans secured by all major asset types, including office, industrial, retail,
The private equity firm has more than $6 billion under management in multiple closed-end funds and joint ventures with institutional investors. “[This] venture intends to offer a shorter-term, flexible first mortgage for owners with a value-added business plan. We expect to hold these loans to maturity and service our customers with creative solutions,” adds Kuemmeler.
PCCP has originated in excess of $3.5 billion of floating-rate loans over the past 12 years. “The Ohio Public Employees Retirement System recognized a need in the market, and we expect to have many opportunities to make excellent
With assets of $68.3 billion, the Ohio Public Employees Retirement System is the largest public pension fund in Ohio and the 12th largest public pension fund in the United States.