PROPERTY Investcorp buys $800m real estate portfolio spread over five US cities
Investcorp, the Bahrain company that counts Mubadala Investment Company as its biggest shareholder, bought a portfolio of 126 industrial properties in the US for $800 million (Dh2.93 billion).
The properties are spread across five cities including Atlanta, Chicago, Dallas, Charlotte and Memphis with a total area of 10.2 million square feet, the company said on Thursday.
“We are excited to build upon our position as one of the largest international buyers of US real estate through this transaction, which represents the biggest real estate portfolio acquisition in our history,” said Mohammed Alardhi, executive chairman of Investcorp.
“This milestone demonstrates our confidence in the US market, our team’s prowess in identifying attractive investment opportunities with strong underlying fundamentals, and our ability to put greater capital behind our convictions.”
Investcorp ranks among the top 10 international investors in US real estate over the past five years and is one of the country’s top 50 overall investors in the sector for the same period, according to Real Capital Analytics. Abu Dhabi’s Mubadala holds a 20 per cent stake in the company, which aims to double its assets under management over the next three years.
The latest acquisition provides Investcorp with a 91.5 per cent leased portfolio of top-tier warehouse, distribution and light manufacturing or research and development buildings across logistics, e-commerce, industrial chemicals and food services industries. Investcorp owns about 240 industrial properties across the US totalling more than 20 million square feet.
With consumers and businesses demanding faster deliveries, industrial real estate assets close to major population centres will become important, Mr Alardhi said.
“We have been actively building our industrial and logistics portfolio to capitalise on the opportunities of this secular growth trends,” he added.
The company bought 11 properties in the US in June for $370 million. Established in 1982, Investcorp is one of the oldest Middle East private equity companies and manages about $28bn of assets across private equity, real estate, absolute return investments and credit.