Bahrain's Investcorp exits real estate investment in Germany

Sale of office campus marks company's first exit in Europe since 2017

A front view of Investcorp headquarter. Image used for illustrative purpose.

A front view of Investcorp headquarter. Image used for illustrative purpose.

Bahrain’s Investcorp, which counts Abu Dhabi sovereign wealth fund Mubadala Development Co. as a major investor, has sold its long leasehold interest in an office campus in the commercial area of Stuttgart, Germany.

The sale of Bürocampus Wangen (“the Campus”) to Art-Invest Real Estate marks the company’s first real estate exit since it entered the European market in 2017, the global investment manager with $37.6 billion in assets under management, said on Tuesday.

“The transaction marks Investcorp’s first continental European exit and the latest step in the firm’s broader pan-European real estate strategy,” the statement said.

The 15-acre property comprises 12 office and research buildings and one DIY store. It is home to several well-known tenants, predominantly in the technology and automotive sectors.

The company acquired the property in 2018 from BEOS Corporate Real Estate Fund Germany I. Upon acquisition, Investcorp re-structured the title and sold the freehold to an institutional investor, retaining the long leasehold interest.

“We are delighted to have marked our first European real estate exit since we entered Europe in 2017. This is a true testament to our continued execution on our strategy to target attractive, stable real estate assets in markets underpinned by strong fundamentals,” said Khulood Ebrahim, real estate product specialist at Investcorp.

The company said it still has plans to expand its European presence.

“We will continue to identify opportunities with the potential to drive value for our clients and grow our footprint across Europe,” said Yusef Al Yusef, managing partner for Investcorp’s private wealth.

Since the beginning of September, the company has acquired assets in Europe, including an office in Milan and seven industrial assets in the United Kingdom.

(Writing by Cleofe Maceda; editing by Seban Scaria )

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