Investcorp acquires key properties in US
Manama, April 10, 2013
Bahrain Bourse-listed Investcorp, a leading provider and manager of alternative investment products, has acquired five office properties in the US, with a combined value of approximately $200 million, a report said.
The acquisition was done by Investcorp's US-based real estate arm, according to the report in the Gulf Daily News, our sister publication.
The properties are located in Washington, Denver and Houston metropolitan areas and exceed 1 million sq ft in total.
"Investcorp's strategy is to acquire high quality, high occupancy assets in prime locations underpinned by an attractive industry base," Investcorp Gulf Business president Mohammed Al Shroogi said.
"This new acquisition fulfils these requirements, expands our real estate portfolio and gives us the opportunity to generate cash flows in dynamic commercial markets," he added.
In addition to being one of the largest economies in the country, the Washington metropolitan area is densely populated, with limited new real estate supply or development. These factors, along with in-place lease agreements for the medium- to long-term, contribute to the property's stable current income.
Three of the office properties are located within the Denver-Boulder technology corridor, benefiting from a burgeoning healthcare and technology market, and include tenants such as McKesson, a leading medical technology company, and Alcatel-Lucent, a global telecommunications equipment company.
The Houston metropolitan area is home to one of the fastest growing and best performing economies, and is fuelled by the robust energy sector, as well as the healthcare, international trade and aerospace industries.
The alternative investment manager said the acquisitions affirm its approach of targeting high quality, stable assets with attractive valuations, which are located in markets characterised by economic growth and low unemployment.
These markets tend to be highly correlative with key demand generators, such as energy, healthcare, technology and education. – TradeArabia News Service