Investcorp Buys DC Office Building for Over $1000/sf

Investcorp, the Bahrain-based asset manager, announced that its US-based real estate arm purchased 733 10th Street in Washington, DC for approximately $180 million, or $1,053 per square foot. The sale price of the fully leased, 170,813-square-foot office building came in just $48 per square foot short of the city's record, set by Jamestown last year for America's Square. Jamestown originally purchased 733 10th Street in 2012 for $140 million from Skanska, which built and developed the property in 2009. Investcorp purchased the property with a joint venture partner, real estate investment banking firm ScanlanKemperBard. Terms of the deal were not disclosed.

"The 733 10th Street property is a stable, prime asset offering what we believe to be resilient, long-term value in combination with attractive current yields," said Brian Kelley, Principal, Real Estate Investment at Investcorp. "We are actively seeking additional core-quality, stable properties like 733 10th Street in a handful of major gateway markets to supplement our ongoing investment activity in core-plus, high cash yield-oriented properties throughout the U.S."

The luxury office building at 733 10th Street is located in the heart of DC's East End office submarket, in close proximity to high-end retail stores, premium hotels and restaurants, two major Metro Stations and 3 blocks from the Verizon Center. Investcorp said that, despite falls in the global oil price, over the past 12 months its total real estate acquisitions have exceeded $1.5 billion in gross asset value as Arabian Gulf investors continue to look to diversify their wealth out of the Middle East region.

For more news and information visit Blumberg Partners.

GA Industrial Park Sold for $135M

Stone Mountain Industrial Park, a 4.1-million-square-foot, 69 building industrial campus in the Tucker/Stone Mountain submarket of Atlanta, traded hands for $135 million this week. Ackerman & Co. partnered with Investcorp, an alternative investment manager and active real estate investor in Atlanta and the Southeast, to acquire the property from the original developer, Pattillo Industrial Real Estate. Cushman & Wakefield's Stewart Calhoun, David Meline, Samir Idris and Casey Masters brokered the sale on behalf of Pattillo, who announced in June that they intended to dispose of the property.

"Investcorp and Ackerman are fortunate to own these well-built and strategically located properties," said Kris Miller, President of Atlanta-based Ackerman & Co., in a press release.

"We congratulate Ackerman and Investcorp on their bold new investment. They are committed to an area that has a Community Improvement District, a newly incorporated City of Tucker and a sterling location that has served a strong business community for many years," added Larry Callahan, CEO of Pattillo Industrial Real Estate.

For more news and information visit Blumberg Partners.

Investcorp Grows US Office Portfolio by Over $140M

Investcorp, a leading global provider and manager of alternative investment products, announced today that it had acquired seven high-quality office properties worth $140 million across key markets in the US. Covering over 900,000 square feet, the deals include two real estate equity acquisitions and one debt financing investment. The properties, with occupancy rates in excess of 95 percent, are leased by longstanding tenants including; the National Institute of Health in the Keystone Office Park in Raleigh, North Carolina; Oracle, in in the Duke Bridges office park complex in Frisco, Texas and; the law firm BakerHostetler in the Denver, Colorado suburb of Lakewood. Investcorp currently manages more than $11.5 billion in assets.

"Our real estate team has a proven track record of finding high-quality assets in metropolitan communities with strong diversified employment and economic growth above national levels that provide stable and attractive cash flows," said Investcorp president of Gulf business Mohammed Al Shroogi in a Gulf Daily News article.

Christopher Hoeffel, a managing director in Investcorp's Real Estate group continued, "Office properties in growth markets with strong demand generators are on the rebound, and can be purchased at better valuations than similar properties in major gateway cities. Rooted in our value-oriented investment approach, we also see significant opportunities for high-quality, performing debt investments that can be acquired or originated at attractive yields."

For more news and information visit Blumberg Capital Partners.