Riyadh – Mubasher: Arcapita Capital Company, a subsidiary of Arcapita Group Holdings Limited, has closed Logistics Fund III at a value of SAR 1.80 billion ($500 million), according to a press release.
The transaction was concluded with participation from a leading sovereign wealth fund from the GCC region and other major institutional investors.
Arcapita has deployed a significant amount of the fund in a sizable portfolio of industrial real estate assets across the manufacturing and warehousing sectors.
Over the next months, the company is expected to execute a pipeline of further assets located in key locations across Riyadh, Jeddah, and the Eastern Province.
This established fund aligns with Arcapita’s strategy to leverage global expertise in industrial real estate across the Kingdom and support its ambitions of becoming a global logistics hub.
Hisham Al Raee, Deputy CEO of Arcapita Group, said: “We currently manage over SAR 3.8 billion ($1 billion) of industrial warehousing assets in KSA and the GCC region, and our investor base includes pension funds, sovereign wealth funds, and financial institutions.”
“The industrial and logistics sectors are key components of the Kingdom’s Global Supply Chain Resilience Initiative, which aims to attract SAR 40 billion ($10.60 billion) in investments,” Al Raee mentioned.
He underlined: “We look forward to continuing to deploy our expertise in the industrial real estate sector to play a key role in transforming the Kingdom into a global logistics hub.”
Yousif Al Abdulla, Managing Director and Head of MENA Investment at Arcapita Group, commented: “We expect Saudi Arabia’s industrial real estate market to experience substantial growth over the long term, driven by the significant and continued growth of e-commerce across the Kingdom and by strong government-led investment in infrastructure and the industrial sector.”
“Arcapita Group’s portfolio strategy will leverage opportunities presented by the National Industrial Development and Logistics Program, as well as the Kingdom’s Vision 2030 plan,” Al Abdulla continued.
