Investcorp, the alternative asset manager with Mubadala Investment Company as its largest shareholder, completed $4 billion in real estate transactions in the United States in 2021, capitalizing on demand for residential and industrial assets.
The business claimed on Monday that it purchased 200 buildings for $2.5 billion and sold assets worth $1.5 billion in the world’s largest economy.
“The high amount of activity in our North American real estate business in 2021 has generated many chances to assist drive Investcorp’s growth and maintain its position as a leading cross-border real estate buyer and seller in the United States,” said executive chairman Mohammed Alardhi.
“We regarded residential and industrial real estate investments to be one of the most recession-proof sectors well before the pandemic, and this approach has shown to be appealing given business and lifestyle changes, many of which were hastened by Covid-19.”
Last year, the Bahrain-based corporation spent $1 billion of its customers’ money in US real estate, bringing its total industrial assets in the country to $3.5 billion, which includes more than 425 structures.
It also increased the value of its US residential assets to around $4.1 billion, which included 18,000 multifamily units and 2,700 student housing beds.
“While we entered 2021 acutely aware of the short- and long-term effects Covid-19 may have on the real estate market,” Michael O’Brien, Investcorp’s co-head of real estate in North America explained, “we have witnessed strong macroeconomic tailwinds fueling ongoing confidence in these industries.”
“We remain optimistic for 2022 and look forward to expanding our platform.”
Investcorp has acquired over 1,000 properties globally for a total value of more than $23 billion since 1996.
Alardhi told Bloomberg in September that the business plans to more than quadruple its assets under management to $100 billion in seven years, up from $37.6 billion as of June 30, 2021.
Last year, Investcorp also formed a joint venture with two top sovereign wealth funds to buy industrial property assets in the United States.