Investcorp sells US multi-family real estate assets for $900mln

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

  
The Empire State Building and One World Trade Center rise above Manhattan as seen from an apartment in the Central Park Tower building as the building celebrates its topping out in New York, U.S. September 17, 2019.

The Empire State Building and One World Trade Center rise above Manhattan as seen from an apartment in the Central Park Tower building as the building celebrates its topping out in New York, U.S. September 17, 2019.

REUTERS/Lucas Jackson

Investcorp, a leading global provider and manager of alternative investment products, has announced that it has recently sold eight multifamily properties located in the US to multiple buyers for more than US $900 million.

These 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 numerous value-enhancing initiatives, increasing average monthly revenue per unit by approximately 20%, implementing select property and amenity upgrades and interior unit renovations as well as benefitting from the targeted markets’ consistently strong housing fundamentals with favourable supply/demand dynamics.
Tarek AlMahjoub, Head of UAE and Oman for Investcorp’s Private Wealth, said: "We have 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," he noted.
 
Khulood Ebrahim, Real Estate Product Specialist at Investcorp said: "We are pleased with the outcome of the exits and for the value that we created for our investors and shareholders."
"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," she added.-TradeArabia News Service

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