NEW YORK CITY—Investcorp has further expanded its US apartment holdings with a trio of acquisitions valued at nearly $400 million combined. The Bahrain-based alternative investment manager did not disclose the sellers for the properties, located in New York, California, and Nevada.
The properties include Atlantic Point, a 795-unit class A development in the Long Island community of Bellport, NY; the Highlands, a 556-unit, class B, garden-style complex in Grand Terrace, CA, within the Inland Empire; and Villas at Green Valley, a 609-unit garden apartment complex in the Las Vegas suburb of Henderson, NV. All three properties are located in markets which benefit from robust fundamentals, ranging from low vacancy to rapid population growth.
“During the past 18 months we have continued to invest actively in the residential space, having purchased a diverse portfolio of well-leased multifamily and student housing assets,” says Herb Myers, a managing director in real estate investment at Investcorp. “We believe that the outlook for the multifamily and student housing sectors remains strong and these investments generate attractive annual yields in a low-yielding global environment.”
Investcorp's executive chairman, Mohammed Alardhi, expresses “great confidence” that the US will remain “a place where our investments will continue to serve our global client base well, as we believe the U.S. economy is poised for significant growth. We have a long history of investments in the US, and our $1.2 billion investment in residential properties in the past 18 months demonstrates our belief that the U.S. real estate market provides high-quality investments that will generate steady returns in the years to come.”
The asset manager's recent forays into US multifamily include another portfolio valued at approximately $400 million. That October 2015 transaction, comprising individual purchases, brought properties in the Atlanta, Chicago, Dallas, Denver and Las Vegas metro areas into the Investcorp fold.
The properties include Atlantic Point, a 795-unit class A development in the Long Island community of Bellport, NY; the Highlands, a 556-unit, class B, garden-style complex in Grand Terrace, CA, within the Inland Empire; and Villas at Green Valley, a 609-unit garden apartment complex in the Las Vegas suburb of Henderson, NV. All three properties are located in markets which benefit from robust fundamentals, ranging from low vacancy to rapid population growth.
“During the past 18 months we have continued to invest actively in the residential space, having purchased a diverse portfolio of well-leased multifamily and student housing assets,” says Herb Myers, a managing director in real estate investment at Investcorp. “We believe that the outlook for the multifamily and student housing sectors remains strong and these investments generate attractive annual yields in a low-yielding global environment.”
Investcorp's executive chairman, Mohammed Alardhi, expresses “great confidence” that the US will remain “a place where our investments will continue to serve our global client base well, as we believe the U.S. economy is poised for significant growth. We have a long history of investments in the US, and our $1.2 billion investment in residential properties in the past 18 months demonstrates our belief that the U.S. real estate market provides high-quality investments that will generate steady returns in the years to come.”
The asset manager's recent forays into US multifamily include another portfolio valued at approximately $400 million. That October 2015 transaction, comprising individual purchases, brought properties in the Atlanta, Chicago, Dallas, Denver and Las Vegas metro areas into the Investcorp fold.
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Paul Bubny
Paul Bubny is managing editor of Real Estate Forum and GlobeSt.com. He has been reporting on business since 1988 and on commercial real estate since 2007. He is based at ALM Real Estate Media Group's offices in New York City.
