Bahrain-based Investcorp, a leading global provider and manager of alternative investment products, said its US-based real estate arm has bought two office buildings in New York City's garment district for $156 million.

Both 229 West 36th Street and 256 West 38th Street are situated in Midtown Manhattan. Centrally located, the properties offer easy access to the city's primary transportation hubs and are positioned to benefit from the transformation of Manhattan's West Side.

Investcorp said these properties are fully leased to a diverse roster of over 20 long-term tenants. Consistent with Investcorp's investment approach, both properties maintain strong cash flows, proven operating histories, and high occupancy rates.

On the strategic buy, Mohammed Alardhi, the executive chairman of Investcorp, said: "We are excited to announce our investment into the Manhattan market, as expanding our real estate portfolio in the US is a key component of our firm's overall growth strategy."

"As one of the largest foreign investors in US real estate, we have invested over $2 billion in the last 18 months and will continue to focus on uncovering opportunities in gateway cities across the country," he stated.

Brian Kelley, the managing director in Real Estate Investment at Investcorp, said these centrally-located properties are well-positioned to benefit over the long-term from the development activity around Hudson Yards, Manhattan West, Penn Station, and Moynihan Station while providing stable, in-place cash flows to our investors.

As part of the transaction, Investcorp has entered into a joint venture with Brickman, a New York-based owner-operator with a proven track record in the New York real estate market. Brickman maintains a joint-venture investment in the properties and will serve as the leasing and management agent.

"We are excited to enter into our third partnership with Brickman, as we believe their investment and management capabilities will unlock immediate value in each of the properties," noted Kelley.

Since its inception in 1982, Investcorp has made over 170 corporate investments in the US, Europe and the Middle East and North Africa region, including Turkey worth over $55 billion.

The company employs 390 people across its offices in Bahrain, New York, London, Abu Dhabi, Riyadh, Doha, and Singapore. It is publicly traded on the Bahrain Bourse.-TradeArabia News Service