Australia’s Rest to invest up to $250 million in US retail property fund

Australian superannuation fund Rest said on Wednesday it will invest up to $250 million in a U.S. retail property fund managed by Nuveen Real ‌Estate, as ⁠it ⁠looks to expand exposure to income-generating assets and diversify its portfolio.

The commitment will ​be made to the U.S. Cities Retail Fund (USCRF), which invests ​in neighborhood shopping ⁠centres across major ‌metropolitan areas in ​the ​United States.

The fund currently ⁠holds 10 retail properties in ​cities including Austin, Philadelphia and San ​Diego, with five additional shopping centres recently secured for inclusion in the portfolio.
Rest said the investment is expected to ‌deliver stable, risk-adjusted returns across market cycles for its ​more ​than 2 million ⁠members, while strengthening diversification within its property portfolio.
Nuveen launched USCRF in 2018 and ​recently completed a $330 million capital raise, in which Rest was a major participant.