Investcorp, a leading global provider and manager of alternative investment products, today announced that it has recently sold eight multifamily properties located in Arizona, California, Florida and New York to multiple buyers for more than US $900 million.
Michael O’Brien, Managing Director and Co-Head of North America Real Estate at Investcorp, said: “We worked diligently and methodically to assemble this portfolio of highly-leased residential properties in key target markets with strong underlying economies, growing populations and limited supply. We are pleased with the value that we created for our investors and shareholders through these transactions. We believe that these sales are a testament to our ability to consistently execute on our investment thesis to target strong cash-flow generating assets with opportunities for further capital appreciation through active, hands-on management.”
The properties were garden and townhome-style apartment buildings located in major metropolitan areas in Arizona, California, Florida and New York. Investcorp acquired the assets in 2016 and 2017 and completed numerous value-enhancing initiatives, increasing average monthly revenue per unit by approximately 20%, implementing select property and amenity upgrades and interior unit renovations as well as benefitting from the targeted markets’ consistently strong housing fundamentals with favorable supply / demand dynamics.
Timothy Mattar, Global Head of Distribution at Investcorp, said: “We continue to see attractive opportunities in US multifamily and industrial real estate given the strong secular tailwinds supporting their growth and resilience. Looking ahead, we will continue to leverage our deep market expertise and long history of successfully investing in real estate to identify additional opportunities that we believe to meet our proven investment criteria.”
About Investcorp
Investcorp is a global investment manager, specializing in alternative investments across private equity, real estate, credit, absolute return strategies, GP stakes and infrastructure. Since our inception in 1982, we have focused on generating attractive returns for our clients while creating long-term value in our investee companies and for our shareholders as a prudent and responsible investor.
We invest a meaningful portion of our own capital in products we offer to our clients, ensuring that our interests are aligned with our stakeholders, including the communities that we operate within, towards driving sustainable value creation. We take pride in partnering with our clients to deliver tailored solutions for their needs, utilizing a disciplined investment process, employing world-class talent and combining the resources of a global institution with an innovative, entrepreneurial approach.
Investcorp has today a presence in 12 countries across the US, Europe, GCC and Asia, including India, China and Singapore. As of June 30, 2020, Investcorp Group had US $32.2 billion in total AUM, including assets managed by third party managers, and employed approximately 450 people from 44 nationalities globally across its offices. For further information, visit www.investcorp.com and follow us @Investcorp on LinkedIn, Twitter and Instagram.
