Muscat: Investcorp, a global provider and manager of alternative investment products, on Wednesday announced that its US-based real estate arm has invested in two office buildings in New York City’s garment district, 229 West 36th Street and 256 West 38th Street, for a total purchase price of approximately $156 million.
"We are excited to announce our investment in the Manhattan market, as expanding our real estate portfolio in the US is a key component of our firm’s overall growth strategy,” said Mohammed Alardhi, Executive Chairman of Investcorp.
“As one of the largest foreign investors in US real estate, we have invested over $2 billion in the last 18 months and will continue to focus on uncovering opportunities in gateway cities across the country.”
Centrally located, the properties offer easy access to the city’s primary transportation hubs and are positioned to benefit from the transformation of Manhattan’s West Side. The properties are fully leased to a diverse roster of over 20 long-term tenants and total approximately 267,000 square feet. Consistent with Investcorp’s investment approach, both properties maintain strong cash flows, proven operating histories, and high occupancy rates.
“Investcorp has an established track-record of successful investments in US real estate. Centrally located in New York, one of the most vibrant cities in the world, these new acquisitions bring further depth to our growing portfolio of well-occupied properties in prime metropolitan locations across the country,” said Harsh Shethia, Managing Director at Investcorp in Oman.
As part of the transaction, Investcorp has entered into a joint venture with Brickman, a New York-based owner-operator with a proven track record in the New York real estate market. Brickman maintains a joint-venture investment in the properties and will serve as the leasing and management agent.