Bahrain's Investcorp says acquires trio of UK industrial buildings

The deals are the first step in the firm’s $129 million industrial growth strategy
By Sarah Townsend
Tue 04 Jul 2017 12:04 PM

Bahrain-based Investcorp, said on Tuesday it had completed its first real estate investments in Europe.

Investcorp has acquired two warehouse units in Doncaster, a key logistics and distribution hub in the UK.

It has also acquired a light manufacturing facility on the Sutton Fields Estate, the largest industrial estate in Hull, northern England.

Investcorp said it acquired the assets for a total of around £35 million ($45 million), in partnership with UK-based real estate investment group, Brydell Partners.

The properties comprise a total of 504,000 square feet and are both let to two different tenants on long leases.

The acquisitions form the seed assets of Investcorp’s £100 million ($129 million) UK industrial and logistics programme, which will target income-generating industrial assets across the UK.

The programme, which is part of Investcorp’s wider European investment strategy, aims to build a diversified portfolio of single-let assets in the UK with individual lot sizes of £10 million-£20 million and a combined portfolio value in excess of £100 million.

Mohammed Al Ardhi, executive chairman of Investcorp, said: “Today’s announcement marks the beginning of an exciting new chapter for Investcorp’s European real estate operations.

“Our US real estate arm has seen some great success investing in the industrials and logistics space and we look forward to leveraging and replicating that experience and success in Europe as we approach our medium-term target of $25 billion assets under management and are working on a strategy to increase that to $100 billion.”

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Last Updated: Thu 06 Jul 2017 04:12 PM GST

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