QInvest, a leading private investment group in Qatar, has announced the exit of a real estate mezzanine murabaha transaction in the US.

The transaction, backed by a diversified portfolio of 17 assets, generated an IRR of 14.9 per cent (representing a 1.23x multiple) over 20 months.

Tamim Hamad Al-Kawari, chief executive officer of QInvest, said: “While 2017 has been notable for adverse market conditions in the region, QInvest has witnessed continuing investor appetite for the international real estate sector, with particular interest in the US market. A return of almost 15 per cent over 20 months reflects a strong return for a mezzanine transaction given the conservative level of risk.

“Across the year, we have seen strong performance within our Real Estate division demonstrating the sustainability and resilience of our business strategy and professionalism of our team. We will continue to invest in key global markets on an opportunistic basis as we focus on delivering sustainable value for clients and shareholders.”

Craig Cowie, head of Real Estate Investments & Advisory at QInvest, said: “The real estate market continues to be a strategic priority for QInvest. As part of our strategy of originating new investment opportunities, across both the debt and equity segment, we have closed several real estate transactions this year. The latest is the mezzanine murabaha of a diversified portfolio of 17 US assets.

“Since inception, the Real Estate division has invested over $1 billion of QInvest’s balance sheet and advised on transactions with an aggregate value of over $4 billion. We are committed to providing effective financing solutions for real estate transactions in Qatar and in international markets, such as Continental Europe, UK and the US.”

Participating in a recent flagship industry event, “Doing Business and Investing in the United States & Qatar Forum”, Vaughn Weatherdon, a director in QInvest’s Real Estate division, shared his insights and experience regarding investment opportunities in the USA real estate sector, a market in which QInvest has a strong, long-term track record. In front of an audience of business leaders and decision makers, Weatherdon described QInvest’s strategy regarding US property given investor preferences and where optimum returns can be made.

“Alongside our achievements within the real estate sector, and in response to the growing investor demand for more innovative and income-generating products, we have successfully launched the second version of our QInvest SQN Income Fund,” Al-Kawari said.

“This series of products offers shareholders and investors a unique opportunity to access income generating assets in developed markets. The first version of these funds was oversubscribed. It aims to pay out a net yield of seven per cent per annum on a monthly basis and has a targeted IRR of between 8 per cent and nine per cent, with a tenure of five years. We also have a strong track record in managing funds via our managed account platform QMAP, as well as managing local equity funds. Currently, we are developing a series of attractive products, including those targeting local investment opportunities, that we plan to announce in coming months,” he added. – TradeArabia News Service