Bahrain’s Investcorp acquires 64 industrial properties worth $640m in the US

Bahrain’s Investcorp, an alternative assets manager, has acquired 64 industrial properties in the US for $640m.

The properties total approximately 5.6 million square feet across seven major US markets including Chicago, Illinois; Dallas, Texas; the New York metro; Atlanta, Georgia; Houston, Texas; Philadelphia, Pennsylvania and St. Louis, Missouri.

The latest property acquisition grows Investcorp’s US industrial real estate holdings to approximately $3.5bn across approximately 32 million square feet comprising of more than 425 buildings.

Since 1996, Investcorp has acquired over 1,100 properties for a total value of approximately $23bn.

Investcorp said earlier this year that its New York-based real estate team participated in nearly $4bn in deals last year, including both buying and disposition activity. The group acquired over 200 properties in 2021 valued at approximately $2.5bn and sold properties worth approximately $1.5bn.

According to Real Capital Analytics, Investcorp is among the top-10 largest cross-border buyers and sellers of US real estate over the past three full years of 2019, 2020 and 2021.

The 64 newly acquired properties provide Investcorp with Class B+/B industrial warehouses that are 95 per cent leased.

“We are pleased to have made another acquisition in the industrial and logistics sector as this sector continues to benefit from strong tailwinds, mainly driven by an increase in e-commerce, that were heightened by the pandemic,” said Yusef Al Yusef, managing partner for Investcorp’s Private Wealth.

“Our investment strategy has long approached the US industrial market with optimism, due to increased demand brought about by the rise of e-commerce and evolving supply-chain challenges,” added Khulood Ebrahim, Real Estate product specialist at Investcorp. “We believe that our latest acquisitions, which unlock access to highly coveted industrial markets across the country, should be well-equipped to deliver attractive potential returns for our investors.”

Last month, Investcorp announced that it had completed the sale of 10 UK industrial and logistics assets to three different purchasers, Kennedy Wilson, Realty Income and Investra Capital, for a combined sum of GBP108.4m.