CalPERS to Invest in Spain’s Home Market

Hines, a closely held U.S. property investor, and the California Public Employees’ Retirement System said they had formed a $231-million fund to invest in Spain’s residential market.

The fund, HCS Interests, will focus on Spain’s Mediterranean coast, Houston-based Hines and CalPERS, based in Sacramento, said Monday. The fund will have a 10-year life, with a target of three years for initial investment.

The new fund will take advantage of demand for second homes and vacation properties among Spaniards and foreigners, Edouard Fernandez, a general manager with Hines Spain, said in a statement.

Hines has developed more than 3.2 million square feet of office, retail and residential projects in Spain in the last decade.