New York City Comptroller William C. Thompson, Jr. announced today that the New York City Employees Retirement System (NYCERS) has committed to invest up to $100 million through Tishman Speyer/Travelers NYC Real Estate Venture V, L.P., in a co-venture with Tishman Speyer/Travelers U.S. Real Estate Venture V, L.L.C. (the "Fund"). The objective of the Fund is to develop, redevelop and acquire premium commercial property throughout the five boroughs.

"Investments in premium office space today will keep businesses in our City for years to come," Comptroller Thompson said. "This is a prudent investment for NYCERS participants and one that supports the growth and redevelopment of our City's economy."

Martha Stark, Commissioner of Finance and chair of NYCERS, stated "Investing pension funds in New York's prime real estate market is a sound strategy for the City's employees that will also spur continued growth in the market as the City's economy improves."

NYCERS is taking advantage of Tishman Speyer's experience in value-added acquisitions to generate appropriate risk-adjusted returns and at the same time, promote the continued investment of high-quality, first-tier office properties for the City.

"We know that these assets represent the hard work and future well being of hundreds of thousands of our fellow New Yorkers, men and women whose devotion and service to our City we greatly respect and appreciate," said Rob Speyer, senior managing director of Tishman Speyer Properties. "They deserve our best efforts, and we pledge to give them that."

The Fund will seek out a portfolio of property within New York City. The goal of each individual investment will be either to reposition the property; to redevelop the property into premium space; or to develop new property, creating new opportunities in the real-estate market.

Once a property is acquired, Tishman Speyer will manage the day-to-day investment decisions of the Fund and oversee the execution of each project. Each property will be funded on a stand-alone basis, generally with non-recourse financing. The holding period for investments will allow The Fund to maximize the value and returns on properties.

"As investment advisor for all five of the New York City pension funds, I believe we must seek out investments that not only generate a market rate of return for participants, but cultivate economic development throughout the City," Thompson said. "Tishman Speyer has a long history of making New York City a prime location to conduct business, and this investment reinforces that mission."

Tishman Speyer/Travelers U.S. Real Estate Venture V, L.P. (TST V) is a New York-based real estate investment partnership sponsored by Tishman Speyer Properties, L.P. and Travelers Group Inc., a subsidiary of Citigroup Inc., to acquire, develop, redevelop and operate real estate assets located in the United States. TST V will commit $50 million to New York City projects based on NYCERS' $100 million commitment.

Besides Thompson, the other trustees of the New York City Employees' Retirement System's board are: Martha Stark, Chair, New York City Commissioner of Finance; Betsy Gotbaum, Public Advocate of The City of New York; C. Virginia Fields, Borough President of Manhattan; Marty Markowitz, Borough President of Brooklyn; Adolfo Carrion, Borough President of the Bronx; Helen Marshall, Borough President of Queens;
James Molinaro, Borough President of Staten Island; Carl Haynes, President, Local 237, International Brotherhood of Teamsters; Lillian Roberts, Executive Director, District Council 37; and, Roger Touissant, President, Transport Workers Union Local 100.

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