New York (HedgeCo.Net) – Investcorp, the $11 billion hedge fund manager, is expanding its U.S.-based real estate arm.
Through separate transactions, Investcorp has acquired a portfolio of office and industrial properties in Durham, NC, Seattle, WA and Jacksonville, FL for approximately $250 million. Combined, the properties acquired consist of nearly 2.2 million square feet and have an average occupancy rate of 87 percent.
“These properties provide significant diversification across product types and tenants and are located in fast-growing markets with strong demand generators,” said Ryan Bassett, Principal in Investcorp’s Real Estate Group. “We believe that the portfolio is already well-positioned with stable cash flows, and with additional leasing improvements, we think these assets demonstrate good upside potential as the U.S. economy continues to recover.”
This acquisition follows Investcorp’s 2012 acquisition of three properties in the Raleigh market, which was recently named by Forbes as the fastest growing city in the U.S.
As of June 30, 2014 Investcorp’s real estate group had approximately $1.4 billion in assets under management. Investcorp deployed $312 million in real estate investments in the fiscal year ending June 30, 2014, continuing its focus on commercial, office and residential real estate assets in the top 30 largest markets in the U.S.
