NEW YORK, Nov. 17, 2014 /PRNewswire/ -- Investcorp, a leading provider and manager of alternative investment products, announced today that its U.S. based real estate arm, in partnership with American Real Estate Partners, has acquired the Canal Center, a 540,000 square foot Class A office complex located on the banks of the Potomac River in Alexandria, VA, minutes from downtown Washington, DC.
Constructed in 1987, the four-building complex is currently 83% leased with no major tenant expirations until 2018. The Canal Center is located in the northern Old Town Alexandria submarket and in close proximity to Ronald Reagan Washington National Airport and the local Braddock Metro Station. With convenient access to Washington and its mixed-use property market, Alexandria has attracted a wave of residential development projects over the last several years.
"We are excited to continue our successful partnership with American Real Estate Partners to acquire another high quality asset on behalf of our investors," said Herb Myers, managing director in Investcorp's real estate group. "This acquisition is in line with Investcorp's approach of targeting properties located in major metropolitan areas with attractive yields that offer near-and long-term upside potential."
Investcorp's joint acquisition of the Canal Center follows its recent acquisitions of a portfolio of office and industrial properties in Durham, NC, Seattle, WA and Jacksonville, FL for approximately $250 million. As of June 30, 2014 Investcorp's real estate group had approximately $1.4 billion in assets under management, continuing its focus on commercial, office and residential real estate assets in the top 30 largest markets in the U.S.
Investcorp is a leading provider and manager of alternative investment products and is publicly traded on the Bahrain Bourse (INVCORP). The Investcorp Group has offices in New York, London, Bahrain, Saudi Arabia and Abu Dhabi. Investcorp has three business areas: corporate investment in the US, Europe and the Gulf, real estate investment in the US and global hedge funds. As at June 30, 2014, Investcorp had $11.4 billion in total assets under management. Further information, including our most recent periodic financial statements, which details our assets under management, is available at www.investcorp.com.