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Riyadh – Investcorp, a global provider and manager of alternative investment products, announced today that its U.S.-based real estate arm has invested in an industrial portfolio of properties in the Chicago and Boston metropolitan areas for a total purchase price of approximately $160 million. The portfolio includes six properties with an aggregate of approximately 1.8 million square feet of warehouse and distribution space.
Yasser Bajsair, Managing Director at Investcorp in the Kingdom of Saudi Arabia, said, "E-commerce is becoming an increasingly important channel for consumer shopping, which has made industrial and logistics real estate an increasingly attractive asset class. We believe these warehouses benefit greatly from being in close proximity to Boston and Chicago, and are well positioned to generate steady rental income as well as value growth."
The Chicago portfolio, located in close proximity to downtown Chicago, is comprised of three individual cold storage industrial buildings that are used primarily for the storage and distribution of frozen food products. There is limited cold storage industrial space in Chicago and minimal new development that is able to service the city’s growing consumer base as demand for fresh, organic and perishable food products continues to grow. Investcorp is partnering with Bridge Development Partners, one of the largest owner/operators of cold storage in the Chicago market.
In Boston, Investcorp has purchased a warehouse, distribution and flex portfolio totaling approximately 1.1 million square feet. These properties are located in the southern portion of the Boston metropolitan area, with convenient access to major transportation thoroughfares for easy distribution to businesses throughout the city and adjacent suburbs. The supply and demand dynamics are strong for industrial space in the Boston region and these properties boast a large and diversified tenant base with long lease durations, providing a steady cash flow for landlords. Investcorp has recapitalized these assets with Condyne Capital Partners, a vertically integrated owner/operator focused on northeastern commercial real estate assets.
With these investments, Investcorp adds to its Boston-based industrial assets, as the Firm purchased a four-building industrial portfolio in the region comprising 900,000 square feet in October 2016.
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About Investcorp
Investcorp is a leading provider and manager of alternative investment products and is publicly traded on the Bahrain Bourse (INVCORP). Investcorp focuses on generating investor and shareholder value through a disciplined investment approach in four lines of business: corporate investment, real estate, alternative investment solutions (formerly known as hedge funds), together with the recently added credit management business. Investcorp employs approximately 390 people across its offices in New York, London, Bahrain, Saudi Arabia, Abu Dhabi, Doha and Singapore.
Media Contacts:
Investcorp
Firas El Amine
+973 3998 7838
felamine@investcorp.com
© Press Release 2017
