Investcorp and Two Leading Sovereign Wealth Funds Establish Industrial Real Estate Venture

1 Dec 2021

Investcorp, a leading global alternative investment firm, in partnership with two leading sovereign wealth funds announced the formation of a new venture to acquire industrial real estate assets in the United States. This partnership provides the ability to acquire a critical mass of institutional-quality assets in premier logistics markets, in order to benefit from extraordinary operating fundamentals and tailwinds in the industrial space.

“We are pleased to partner with two premier global institutional investors to continue building our industrial presence across the U.S.,” said Herb Myers, Co-Head of Real Estate, North America. “The increasing pace of e-commerce adoption, especially throughout the pandemic, has demonstrated growing demand for last-mile logistics. This venture positions us well to expand our national industrial footprint in an asset class that we believe will continue to have strong fundamentals.”

In October, Investcorp announced its latest industrial acquisition of 89 industrial properties, which grew Investcorp’s US industrial real estate holdings to approximately U.S. $2.8 billion across approximately 27 million square feet compromised of more than 385 buildings. Since 1996, Investcorp has acquired approximately 1,040 properties for a total value of $22 billion. According to Real Capital Analytics, Investcorp is the 3rd largest cross-border buyer of US real estate, and 4th largest cross-border seller over 2019 and 2020.

In 2014-2015, Investcorp Real Estate leadership made the strategic decision to focus their real estate investments on the industrial and residential sectors. This venture will provide Investcorp with the ability to continue to increase its presence in the growing US industrial segment.