Investcorp Forms $526M Venture to Invest in U.S. Industrial Real Estate

Investcorp, a Bahrain-based alternative investment firm, in partnership with two undisclosed sovereign wealth funds, announced a $526 million venture focused on acquiring U.S. industrial real estate.

The new fund expands on an initial collaboration launched in November 2021 by Investcorp and the two wealth funds. Over the last two and a half years, they have contributed more than $1 billion in equity to acquire industrial property.

“The U.S. industrial sector continues to exhibit strong fundamentals, and we continue to see attractive opportunities to expand our investments in the last-mile subset of this asset class,” said Herb Myers, Investcorp co-head of real estate, U.S. “In particular, ecommerce, the rapid growth of nearshoring trends, and U.S. fiscal policy and government spending continue to drive record demand for last-mile facilities located near large and growing population centers.”

Investcorp’s U.S. industrial real estate holdings are currently worth $5.1 billion and span 43 million square feet. According to the company, the new venture will allow Investcorp to significantly increase its footprint in the U.S. industrial sector.

Since 1996, Investcorp has acquired over 1,300 properties totaling more than $25 billion. Investcorp’s U.S. real estate strategy focuses on industrial and residential properties, which account for 98% of the firm’s $9.2 billion portfolio.