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The California State Teachers’ Retirement System (CSTRS) is the second largest public pension fund in the nation, providing retirement, disability and survivor benefits to California schools educators. Over 776,000 kindergarten through college educators are people in the CSTRS, which currently comes with an investment portfolio of $142 billion.Keeping quality educators within the California schools is of first concern to everybody in the state. Without well-educated California schools youth, the city, businesses and economy from the state will suffer. Thus, when Lionstone Group, a research-based investment firm, announced last month they and CSTRS had formed a discretionary $100 million real estate investment fund, the news was well received by everyone. As with any organization, good benefits will attract and keep quality educators within the California schools.Why is the announcement so exciting is Lionstone’s history with another fund it made up of the Oregon Public Employees Retirement Fund (OPERF). Known as the Cash Flow Office One, the fund has consistently exceeded expectations since its inception in December 2002. In those days, OPERF committed $75 million to the fund, expecting Lionstone to take a position the main city within Two years. Lionstone invested over 80 % of OPERF’s capital within 12 months with excellent returns. OPERF expanded its funding commitment in 2004 and now has over $200 million of equity and owns 20 offices around the country which are valued at $550 million.Like OPERF’s fund, the California schools educators’ fund, referred to as Income Office Two, will target high occupancy office buildings in permanent locations across the United States.CSTRS has committed $100 million towards the fund, which can grow to in excess of $500 million over time. Lionstone contributes one percent from the fund’s total equity. Using the combined equity put Cheap Air Max Shoes (www.shoesairmax2012.com/) into debt Airmax 2012 (www.shoesairmax2012.com/) as high as 50 percent loan-to-value (LTV), the entire buying power the fund is around $1 billion.The Lionstone Group was formed in 2001. It creates national investment strategies using primary research. Dedicated teams execute each investment strategy, such as the fund for the California schools educators. Before creating the fund using the California schools educators’ retirement system, Lionstone refined their investment process to target locations that produce buildings with lower risk factors, based on Lionstone Principal Dan Dubrowski.The California schools CSTRS Portfolio Manager Michael Thompson stated the Lionstone management team over the Income Office Two Air Max 2012 (www.shoesairmax2012.com/) fund is extremely entrepreneurial. He added their skill set will enable CSTRS to continue to grow their core real estate portfolio.What is the news gives all California schools educators expect a better future, knowing they've a great resource during their tenure with the California schools as well as in retirement.