Bahrain’s Investcorp invests $156m in Manhattan real estate market. Asset managers say they have invested $2bn in US real estate in last 18 months.
Investcorp the Bahrain asset managers are a world-leading manager of alternative investments for select individuals and institutions. Founded in 1982, they have built a global reputation for superior performance, innovation and client service.
They currently have more than $21.4 billion of assets under management before investing $156 million in two New York city office buildings to expand their real estate portfolio in the the gateway city.
“We are excited to announce our investment in the Manhattan real estate market, as expanding our portfolio in the US is a key component of our firm’s overall growth strategy,” said Mohammed Alardhi, executive chairman of Investcorp.
The office buildings are located in 229 West 36th Street and 256 West 38th Street giving easy access access to the city’s primary transportation hubs and Manhattan’s newly developed West Side.
The properties covering a total of 267,000 sq tt are fully leased to a group of over 20 long-term tenants with a proven history.
“These centrally located properties are well-positioned to benefit over the long term from the development activity around Hudson Yards, Manhattan West, Penn Station, and Moynihan Station while providing stable, in-place cash flows to our investors,” said Mohammed Al-Shroogi, co-CEO at Investcorp.
As part of the transaction, Investcorp entered into a joint venture with New York-based owner-operator Brickman with whom they already have a number of partnerships. Investcorp hope will unlock the value of the buildings with their expertise and role as the management company for the buildings.
After a sluggish year mainly due to the Chinese investors largely absent due to the Chinese government’s focus on capital controls.
On balance the Manhattan real estate market is in pretty good shape overall and should not see many problems in 2018.