Institutional investors are indicating a growing appetite for going their separate ways — as in favoring separate accounts over commingled funds. Large tax-exempt investors are expecting to place as much as 60 percent of their 2013 real estate commitments in separate accounts.

That is the conclusion of Tax-Exempt Real Estate Investment 2013,the annual plan sponsor survey produced jointly by Institutional Real Estate, Inc. and Kingsley Associates. The survey says investors intend to target separate accounts for 29 percent of new capital commitments in 2013, an increase from 11 percent in 2012. Jim Woidat, principal at Kingsley Associates, points out that this is the highest percentage of separate accounts since 2004. Larger investors are drawn to this style of investing because of the control and