$108.3 billion STRS Ohio plans a 2027 real estate rebalance that channels new capital to apartment and industrial assets while cutting office exposure.
The shift keeps new deals focused on core properties with durable income and cash flow, rather than development projects, and also leaves room for necessity-based and grocery-anchored retail.
Real estate is expected to stay near the pension fund’s 8% neutral allocation; the sector accounted for 7.7% of total assets at the end of April.
STRS Ohio, one of the few public pensions that buys single properties directly, can also invest globally through commingled funds, including assets in the US and Europe.