Mubasher: KAMCO Investment Company on Tuesday announced the acquisition of HP Plaza in CityPlace at Springwoods Village in partnership with the US real estate asset management firm, Northridge Capital.
Spanning over 11.78 acres, the HP Plaza includes two buildings with 378,402 leasable square feet and is home to HP Inc. which occupies 100% of the property under a long-term lease, according to a statement.
The acquisition value of the property wasn’t disclosed.
The Kuwait-based firm will achieve a net yield of 7.50% per year from this takeover across the target holding period.
Completed in November 2018, the Class-AA office campus is situated in a newly-developed urban centre in north Houston, Texas which also features ExxonMobil’s 385-acre corporate campus.
“The property is 100% powered by renewable energy sources and is strategically located at the confluence of the I-45 and the Grand Parkway. This acquisition is in line with KAMCO’s commitment towards scaling its real estate portfolio through diversified assets,” KAMCO’s senior vice president and head of the alternative investments department, Mohammad Al-Othman, said.
Northridge Capital’s “partners focus on Class A properties with strong cash flows from credit tenants that are strategically located in dynamic markets well-positioned to capitalize on future momentum and growth,” Northridge Capital’s president, David Jackson, said.
“More Fortune 500 companies will choose to locate in these types of locations around the country in the “arms race” for the best human capital,” Jackson expected.
