Fidelity spins out real estate investment unit

* Long Wharf partnership now runs $1.5 bln in two funds

* Spinout aimed for more flexibility - managing director

BOSTON, July 12 (Reuters) - Fidelity Investments said leaders of one of its real estate investment operations have formed an independent private equity firm, Long Wharf Real Estate Partners LLC, managing $1.5 billion.

Long Wharf and Fidelity, the family-controlled Boston mutual fund giant, said on Tuesday that Long Wharf now manages the money through a sub-advisory agreement with Fidelity's Pyramis institutional investment division.

Jeffrey Gandel, one of the new firm's four managing directors, said the new structure would give Long Wharf more flexibility and autonomy. Neither he nor a Fidelity spokesman would give many financial details around the transaction. Long Wharf will include 25 employees, all previously with Fidelity.

The deal follows another in January in which leaders of Fidelity's technology venture capital arm left to start an independent company, Volition Capital.

Another Fidelity real estate arm, Pembroke Real Estate, remains part of Fidelity, the spokesman said. It invests the private capital of Fidelity parent FMR LLC and its international affiliate; Pembroke's president is Edward Johnson IV, son of Fidelity's longtime chairman Edward "Ned" Johnson III.

(Reporting by Ross Kerber, editing by Bernard Orr)