Investcorp Buys 5 Industrial Buildings for $96M in New York

Redevelopment is in the plans for one of the properties.

Investcorp has acquired five industrial buildings in Long Island, New York for $95.5 million, as redevelopment for one of them is in the plans.

Metropolitan Realty Associates LLC (MRA), along with its partner TPG Angelo Gordon, sold the properties to Investcorp.

The properties in Suffolk County take up a total of 435,000 square feet. Each one ranges from as low as 33,000 to as high as 128,600 square feet. The buildings are located at the following five addresses:

The portfolio buildings feature cold storage, manufacturing, and a one-story warehouse. Ceiling heights range from 18 to 40 feet clear.

Joseph A. Farkas, CEO and founder of MRA, said in a statement that 80 percent of the sold buildings are fully leased to single-tenant occupiers.

Also, the 195 13th Avenue site, is set for redevelopment and was recently vacated.

“The redevelopment plans include a new parking lot with sought-after overnight truck and van parking, enhancing the property’s appeal and functionality,” Farkas said.

MRA mainly focuses on investment strategies in the New York metro area. TPG, meanwhile, commands a larger global footprint, with over 300 active portfolio companies based in 30 countries. Plus, the San Fransisco-headquartered company holds $229 billion in assets under management.

“These strategic dispositions follow the successful execution of our plan to acquire and reposition high-quality industrial assets in the Long Island market,” Doug Profenius, vice president of TPG said after the sale of five properties.

However, there has been some weakness in the area. New York, NY was recently recognized as one of the worst-performing markets for the industrial sector, according to a report from Green Street. In the first half, transactions were down 41.1 percent year-over-year. Nationwide, volume was down 2.2 percent.

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