Investcorp Announces Completion of First European Real Estate Portfolio

23 Oct 2017

Investcorp (the “Company”), a leading global provider and manager of alternative investment products, today announces the completion of its first European real estate portfolio following the acquisition of seven additional assets.

The completion of the Firm’s debut European portfolio – its UK Industrial and Logistics portfolio - is the first step in the Firm’s ambition to build on its success in the US, where it is one of the biggest international real estate investors.  The European strategy, which aims to create a portfolio of income generating assets for investors, was launched in 2016.  Following this acquisition, Investcorp’s European real estate investment already exceeds $100 million. 

Investcorp will continue to explore multiple other European strategies, targeting income generating assets across various sectors and European geographies.

Mohammed Alardhi, Executive Chairman of Investcorp, said: “As we embark on our next phase of growth, I am pleased that our European real estate team is making significant progress in building out its property portfolio. This deal is further evidence of the momentum we’re creating in this important pillar of our growth strategy.

The strength of our global network combined with our local expertise provides Investcorp with a leading edge in sourcing and originating real estate deals across Europe, providing the potential for long-term attractive returns for our investors.”

Neil Hasson, Managing Director in Investcorp’s Real Estate Investment division in Europe, said: “We are delighted to announce the completion of our first European real estate portfolio, following the addition of these seven assets in the UK. The portfolio is well-positioned to benefit from the growing demand for industrial and logistics assets in the UK and the sector’s strong, underlying fundamentals.

Today’s announcement highlights the success and competitiveness of our recently formed European team and puts us in a strong position for the year ahead.”

Investcorp’s third real estate investment consists of a portfolio of seven industrial properties across the UK, for a total purchase price of approximately £40m. The portfolio of properties forms part of Investcorp's UK industrial and logistics programme, which made its first acquisitions in June of this year. The new investment consists of single- and multi-let assets in the UK industrial and logistics sectors.

The investment announced today comprises approximately 700,000 sq ft across three single let distribution warehouses and four multi-let light industrial properties.  The properties are located in High Wycombe, Leeds, South Elmsall, Liverpool, Warrington, Glasgow and Edinburgh, have a very high level of occupancy rate with more than 40 tenants including many well established occupiers.

The investment has been made in partnership with Citivale, a UK-based asset manager.