Real estate equity strategies

The Iowa Public Employees' Retirement System (IPERS) is conducting a Request for Proposal (RFP) for Real Estate Equity Strategies, seeking experienced real estate managers to manage a private real estate investment portfolio. The procurement aims to select managers for a core and/or core-plus real estate equity strategy, with a goal of exceeding the National Council of Real Estate Investment Fiduciaries NFI-ODCE Index. Proposing firms must be registered investment advisors with at least 10 years of experience managing the proposed product and a minimum of $1.0 billion in assets under management as of December 31, 2024. The evaluation criteria will be weighted across five key areas: Terms (25%), Performance (25%), Investment Process (20%), Product (20%), and Firm/Organization (10%). Key dates for this RFP include March 21, 2025, for inquiries, March 28, 2025, for responses to inquiries, and the proposal submission deadline of April 18, 2025, at 4:00 p.m. Central time. IPERS emphasizes that the selection will be based on the best match to RFP requirements, not necessarily the lowest-cost proposal, with final selection subject to approval by the IPERS Investment Board.

The RFP does not specify any set-aside designations or restrictions on respondents based on disadvantaged enterprise status. The current U.S. based real estate portfolio has a net asset value of $2.4 billion as of December 31, 2024, and includes two generalist core real estate mandates, one apartment core real estate mandate, and one value-add real estate fund investment. IPERS has a strong preference for separately managed accounts with asset management fees calculated as a percentage of Net Operating Income (NOI) and no incentive fee. While specific award values are not explicitly stated, the scope suggests a potential significant investment allocation for the selected real estate manager(s). Proposing firms will be evaluated on their ability to provide a transparent investment strategy, detailed performance history, and comprehensive information about their organization and personnel. The RFP indicates that selected firms may be placed on a manager bench list for future allocations, even if an immediate allocation is not made.