Investcorp Capital exits 12 US residential assets

Investcorp Capital, majority owned by Bahrain-based Investcorp, has exited 12 residential multiple-occupancy real estate assets across five states in the US.

The exit was secured at $550 million, the company said in a statement. The company claimed the sale was at a “premium” but did not disclose further gains

“Though rent growth has cooled from the highs we saw in recent years, the long-term fundamentals supporting the multifamily sector remain compelling,” said interim CEO Mohamed Aamer.

He said that the company will continue to evaluate properties across target markets, identifying opportunities in the segment.

The multifamily market refers to a real estate segment that focuses on residential buildings with multiple housing units, typically for rent.

These US assets are 94 percent occupied on average and are situated in Atlanta, Philadelphia, North Carolina and Missouri, as well as Tampa and Orlando in Florida.

Listed on the Abu Dhabi bourse, in February Investcorp Capital completed the sale of a 432-unit garden-style apartment community in Atlanta.

In December, the company announced that investments exceeded $280 million across various asset classes over the last six months.

Investcorp unveiled a new $526 million venture in March 2024 to acquire industrial real estate assets in the US.

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Since 1996, it has acquired more than 1,300 properties with a total value of over $25 billion.

The company has been among the top five largest cross-border buyers of US real estate over the past five years, according to Real Capital Analytics. Almost 98 percent of the company’s portfolio consists of industrial or residential properties.

Investcorp Capital shares were up nearly 4 percent at AED1.66 on Thursday morning, down 17 percent in the year to date. Investcorp owns 71 percent of the company.