Since its establishment in 1974, Kuwait Financial Centre (Markaz) has taken a partnership-driven approach to investing in international real estate opportunities, European Real Estate Business Development Head Lisa Amin told IFN Investor.
“Our CEO, Ali H. Khalil, is a seasoned real estate professional, and our team has never favored the idea of simply acquiring stabilized assets for passive income. Instead, we focus on enhancing value through developments or repositioning strategies to optimize risk-adjusted returns,” Lisa explained.
Having executed over 95 projects worth over US$2.3 billion since the beginning of its real estate activity spanning various markets and property types in the US and Europe, Markaz continues to serve a diverse investor base, including high-net-worth individuals, family offices, and institutional investors from Kuwait – many of whom have been with the firm since its inception.
Maintaining a disciplined investment approach, Markaz places significant emphasis on risk assessment. “There have been instances where we have chosen not to proceed with certain transactions because they did not align with our standards for prudent investment advice, considering the risk exposure for our clients,” Lisa noted.
Markaz does not adhere strictly to Shariah compliant financing for real estate projects but actively considers it when it aligns with investor preferences and offers strategic advantages. “While we are not exclusively focused on Shariah-compliant financing, we assess it where it makes commercial sense – whether in terms of risk management, cash flow optimization, or meeting specific client mandates,” Lisa explained.
A key component of Markaz’s real estate investment strategy is its collaboration with leading international real estate partners who bring deep local market expertise and asset management capabilities. “We work with experienced developers and operators who have strong market knowledge and execution capabilities, ensuring that our investments are actively managed to maximize value creation,” Lisa emphasized.
Markaz’s first international real estate investments were in the US, with a primary focus at the moment on the logistics and living sectors. Based on recommendations from its US partners, the firm expanded into European markets, identifying opportunities that aligned with its investment themes.
“Our first deal in Europe was in Poland, which is not typically the first entry point for investors. However, given our strong conviction in the logistics sector as a key global investment theme, we identified compelling opportunities there,” Lisa explained.
Since then, Markaz has pursued multiple development projects in Poland, Germany, and the Netherlands.
In February 2024, the firm completed its first UK investment—a 200,000-square-foot warehouse in Southeast England, located approximately 35 miles southeast of Central London. The transaction was financed with GBP17.25 million (US$22.28 million) in Shariah compliant funding from the Bank of London and the Middle East (BLME).
“The UK has always been a market of interest for us, but we were waiting for the right opportunity. This acquisition aligns well with our strategy, and we are pleased to have structured the financing in a way that supports both our commercial objectives and investor preferences,” Lisa noted.
Beyond securing favorable commercial terms, BLME was selected as a financing partner due to its strong alignment with Markaz’s investment approach.
