Bahrain’s Investcorp sells eight US properties for over $900m

Bahraini investment firm Investcorp announced that it has recently sold eight multifamily properties across the US for more than $900m.

The properties were garden and townhome-style apartment buildings located in major metropolitan areas in Arizona, California, Florida and New York.

Investcorp acquired the assets in 2016 and 2017 and completed initiatives for value enhancements, increasing the average monthly revenue per unit by approximately 20 per cent, implementing select property and amenity upgrades and interior unit renovations.

Tarek AlMahjoub, head of UAE and Oman for Investcorp’s Private Wealth, said: “Investcorp has a strong, proven track-record of investing in the US real estate market in general and in multifamily assets in particular.

“Our team’s deep market expertise allowed us to see the potential value of these assets and deliver solid execution on our operating plan. We are pleased with the outcome of these investments and we remain focused on identifying additional properties that generate solid cash flows and offer further potential upside.”

“We are pleased with the outcome of the exits and for the value that we created for our investors and shareholders,” noted Khulood Ebrahim, real estate product specialist at Investcorp.

“We assembled this portfolio of highly-leased residential properties in key target markets with strong underlying economies, growing populations and limited supply, and the sales are a testament to our ability to consistently execute on our investment thesis to target strong cash-flow generating assets with opportunities for further capital appreciation through active, hands-on management.”

Investcorp has today a presence in 12 countries across the US, Europe, GCC and Asia, including India, China and Singapore. As of June 30, 2020, Investcorp Group had $32.2bn in total assets under management, including assets managed by third party managers.

Earlier this year, Investcorp acquired two residential properties in South Florida for $164m, which had made it the second-largest international acquirer of US multifamily properties in 2019, according to Real Capital Analytics.

Read: Bahrain’s Investcorp acquires two US properties for $164m