Saudi's Alkhabeer inks US real estate deal

Saudi investment firm Alkhabeer Capital said on Sunday it has acquired an office building in Houston, US in a deal with partner USAA Real Estate Company.

Alkhabeer Capital announced the acquisition of Park Ten Plaza, a three-storey, Class A office building in the US city. It did not disclose the value of the deal.

The property is located in The Energy Corridor, which is home to several of the world's largest energy companies as well as over 300 multinational companies.

Developed in 1999, Park Ten Plaza, 155,140 sq ft building, is fully leased to eight tenants and is anchored by two full-floor international space users who occupy 69 percent of the overall rentable area, the statement said.

Ammar Shata, Alkhabeer's executive director and CEO, said: "Following the successful launch and offering of our Central London Residential Development Private Fund... we have partnered with USAA Real Estate Company to complement our business plan with access to quality real estate investment opportunities in the US.

"We strongly believe in the depth of the US real estate market, and our focus in 2013 will be on quality, income-producing assets. We look forward to working with the USAA Real Estate Company team in building a beneficial, long term relationship."

USAA Real Estate President & CEO, Len O'Donnell, added: "Park Ten Plaza's location and diverse tenancy represents a very attractive institutional quality opportunity, affording Alkhabeer and USAA Real Estate Company strong cash flow with growth potential.

"This acquisition marks our initial acquisition with Alkhabeer Capital and we look forward to working with them on this and future investments."