Investcorp successfully completes exit of UK industrial real estate portfolio

11 Oct 2020

Investcorp today announced that it has successfully completed the sale of a portfolio of seven industrial real estate assets to Mileway, the pan-European last mile logistics real estate company.

Investcorp acquired the portfolio, which is made up of three single let buildings and four multi-let estates, in 2017. In total the portfolio comprises approximately 692,000 square feet of industrial, warehouse and distribution accommodation, located in Glasgow, Edinburgh, Liverpool, Warrington, Leeds, South Elmsall, and High Wycombe. During its ownership, Investcorp completed a number of value-enhancing initiatives, including increasing overall occupancy of the portfolio from 88% to 96% at the time of exit.

The transaction marks an important milestone for Investcorp’s European real estate business. Leveraging its long history of successfully investing in real estate in the US, Investcorp expanded its real estate platform to Europe in 2017 to help provide its clients with broader opportunities and diversification. Since then, Investcorp has acquired approximately £200 million of industrial and logistics assets in the UK with a combined area of approximately 2.8 million sq. ft across 28 assets. In combination with its other real estate investments in Germany, Belgium and the Netherlands Investcorp has grown its total European real estate assets under management (AUM) to over €800 million.

Timothy Mattar, Global Head of Distribution at Investcorp, said: “We are pleased to have successfully completed this exit, as it demonstrates our ability to identify attractive properties in a growing, resilient sector and successfully execute on our thesis to create value through active asset management. The industrial and logistics real estate sector remains a key focus in our European real estate strategy and we will continue to seek to realize value from the robust portfolio we have strategically assembled over the last three years.”