The Los Angeles Fire and Police Pensions (LAFPP) real estate emerging manager program is designed to identify and support talented investment managers in the early stages of their development.  The Real Estate Emerging Manager Program reflects LAFPP’s commitment to broadening participation in its investment program while maintaining strong fiduciary standards in order to optimize risk-adjusted portfolio returns.  LAFPP invests in commingled funds sponsored by real estate emerging managers.  Emerging managers account for approximately 19% of the private real estate fund managers. 

The Real Estate Emerging Manager Program defines real estate emerging managers as “those with less than $3 billion in assets under management.”  In addition, to be considered for the LAFPP real estate program, the firm must meet the following criteria:

• Emerging Fund Managers will be defined as those with less than $3 billion in assets under management, fewer than five (5) years as an institutional manager and/or those offering an initial institutionally focused commingled fund vehicle.

• The firm should currently manage no less than $100 million in the selected strategy. In the absence of current assets under management, a realized track record reflecting implementation of the strategy to the same degree is acceptable. A preference for other public fund experience will be given.

• The capital to be allocated may not exceed 35% of the firm’s total assets under management after the allocation and no more than 20% of capital raised for a specific commingled vehicle.

• No client can represent more than 50% of the management firm’s total assets under management.

• Any firm with less than a five-year track record may utilize track records established at prior firms when performance can be clearly attributed to the emerging firm’s key individuals and/or the specific team associated with the opportunity.

LAFPP works closely with our private real estate investment consultant, Townsend Group, to review and underwrite potential funds for consideration by the Board of Commissioners, which has sole authority to approve commitments.

All investment management firms interested in contracting with LAFPP must abide by the applicable City of Los Angeles and LAFPP Board policies, laws, and regulations, including the ones highlighted in the Contracting Requirements Section of the website.

If you have any questions, please contact Investments Staff by phone at (213) 279-3020 or by email at [email protected].  Due to contracting restrictions as described in the ordinance and policies below, we encourage contact with Investments Staff rather than LAFPP’s Board members, as contacting individual Board members may result in your firm being disqualified from consideration.  In addition, you may contact Townsend Group at [email protected].