Aermont Capital is getting a combined €200 million from a pair of U.S. pension funds for a new real estate investment vehicle, IPE Real Assets reported, citing two board meeting reports.

The New York State Teachers' Retirement System is committing €150 million, and the Los Angeles County Employees Retirement Association is expected to invest €50 million in the fund.

Aermont Capital Real Estate Fund IV has a €2 billion upper cap. The real estate fund manager is looking to secure €1.6 billion for the vehicle by September, with Aermont and its employees expected to co-invest €20 million or more, according to the publication.

The fund is expected to target change-of-use investments and redevelopments across sectors, with a focus on western European cities, IPE wrote.

Aermont Capital was previously known as PW Real Assets when it spun off from Perella Weinberg in 2015. Fund IV is the first fund under the new Aermont name.