By Michael Jabri-Pickett
Second US acquisition made by Dubai Investments subsidiary
Al Mal Capital PSC, a subsidiary of Dubai Investments PJSC and a diversified, multi-line investment institution headquartered in Dubai, has acquired Poinsettia Plaza, a 153,000-square feet neighbourhood shopping centre in Ventura, California.
The transaction, executed through Al Mal Direct Investments, builds on the company’s investments in private companies and real estate assets. The Poinsettia Plaza acquisition is the second investment for Al Mal Capital in US real estate. The first was in a residential complex in Louisiana comprising 290 apartments, which the company exited in 2015 for an IRR of 16 percent.
Naser Al Nabulsi, vice chairman and CEO of Al Mal Capital, said: “Al Mal Capital is committed to diversify its assets under management in line with its growth strategy and reinforcing its strong reputation. As part of this, the Al Mal Direct Investments division is targeting investments around the globe focused on building long-term value, with its approach centring on proprietary deal flow, due diligence and aligning the company’s interests with partners and management teams.
“The Poinsettia Plaza project offered an attractive combination of income stability and growth potential,” Al Nabulsi said. “Al Mal Capital has partnered with a US-based real estate investment and management company with deep knowledge of the US market and a proven track record in executing and managing US real estate transactions.
“Poinsettia Plaza is anchored by tenants such as Ross, Petco, Starbucks, Office Depot, Coffee Bean, FedEx, among many others. The forward strategy is to complete capital improvement to the exterior of the property and proactively increase occupancy to achieve an increase in yield and realise capital gains upon exit.”
Al Mal Capital Direct Investments was established in 2016 to align its investments with that of its clients to deliver yield and long-term capital gains. The division is focused on income-generating real estate and GCC-based growth businesses in select sectors, including F&B, healthcare, education, niche manufacturing, value-added distribution, business services and consumer goods.