MANAMA, Bahrain, 13 November 2018 – Arcapita, a global leader in Shari’ah-compliant alternative investments has acquired a seven-property industrial real estate portfolio in Cleveland, Ohio.
The Cleveland portfolio comprises 655,000 square feet of high-quality industrial assets within the metropolitan area and is occupied by a diverse range of creditworthy tenants operating in the logistics, technology, and assembly space.
Arcapita has partnered with Weston, an Ohio-based real estate owner-operator, with a strong history in Cleveland and the wider Mid-west. Weston will maintain a joint-venture investment in the portfolio and will serve as the leasing and managing agent.
The acquisition is part of Arcapita’s broader US industrial real estate strategy targeting quality assets within the last mile and light industrial sub-sectors, with locations in close proximity to major population centers that enjoy strong consumer demand and developed supply chain infrastructures.Atif A. Abdulmalik, Arcapita’s Chief Executive Officer, said: “We have a strong track record in the industrial warehousing sector, having overseen $2 billion of industrial real estate transactions in the US and Asia. We previously managed and successfully exited five industrial portfolios comprising over 100 properties, including a $1.4 billion IPO.”
“Expanding our US real estate footprint is a key pillar of our growth strategy, and I am pleased with the progress our US team has achieved in building our industrial portfolio. We have good momentum and are excited to expand our portfolio in the sector with additional acquisitions in the months to come.”
Commenting on the transaction, Martin Tan, Arcapita’s Chief Investment Officer, said: “We expect the industrial sector to experience attractive growth on the back of strong and continued demand from tenants in the e-commerce and manufacturing supply chain segments. We have recently expanded our US team, and this acquisition highlights the depth of our asset sourcing network in the US and our commitment to the market.”