Current Investments Under Management
ARC US Senior Living VI
In November 2016 Arcapita announced the acquisition of a privately-held portfolio consisting of three senior living communities for a total transaction value of approximately $110 million in the metropolitan areas surrounding Washington D.C. and Atlanta. The properties will be managed by an affiliate of The Arbor Company, an experienced senior living management company with over 30 years of experience in the Eastern and Southeastern regions of the United States. The portfolio is comprised of 112 independent living, 140 assisted living and 58 memory care units, featuring high quality facilities. The properties offer restaurant-style dining, a 24-hour emergency call system, exercise programs, outdoor activities, common area living rooms and weekly housekeeping.
ARC UAE Logistics Park
In April 2016, Arcapita acquired a logistics park in Dubai, UAE, for a total transaction value of approximately $100 million. The investment comprises nine freehold plots of land to be developed into ten warehousing facilities that will be under a long term master lease with a reputable UAE conglomerate. The logistics park is strategically located in the Al Quoz Industrial Area next to Al Khail Road, one of Dubai’s main transport arteries, and covers an area of approximately 630,000 square feet.
ARC US Senior Living V
In January 2016, Arcapita acquired a privately-held portfolio of senior living communities in Colorado, United States, in a joint venture with MorningStar Senior Living, an experienced operating partner specializing in this sector. The transaction value totaled approximately $85 million. The portfolio consists of three assisted living and memory care communities offering a total of 196 units and 243 licensed beds in the Denver and Colorado Springs, Colorado. The modern communities were built in 2013 and 2014 and offer premium, state-of-the-art facilities including large courtyards, fireside living rooms, fitness and spa facilities, massage therapy rooms and other advanced features.
ARC Saadiyat Beach Apartments, Limited
In July 2015, Arcapita acquired phase one of Saadiyat Beach Residences, a premium residential apartment complex located on Saadiyat in Abu Dhabi. Developed by the Tourism Development & Investment Company (TDIC) in 2013 to high-quality standards, the residential complex is composed of 285 one to three-bedroom apartments and is designed to foster a close-knit community in addition to providing high-end facilities and amenities. Arcapita acquired three low-rise buildings within the residential gated complex with a three-year master lease attached. Saadiyat is a natural 27 square kilometer multi-faceted island destination featuring a wide range of luxurious hotels and resorts, a beach club, a world-class golf course and a variety of leisure, retail and educational offerings, including high profile museums such as the Louvre Abu Dhabi, Guggenheim Abu Dhabi and Zayed National Museum and the New York University Abu Dhabi campus. Saadiyat is around five minutes from downtown Abu Dhabi.
Bahrain Bay Development II B.S.C.(c)
Bahrain Bay II will be developed on a 292,787 square meter plot of land that will be reclaimed at the outer rim of Bahrain Bay Development I and to the west of the proposed interchange for the new North Manama Causeway. Bahrain Bay II’s development mix will be configured to complement Bahrain Bay I. Skidmore, Owings & Merril developed Bahrain Bay II’s masterplan, ensuring that Bahrain Bay II will be complementary to Bahrain Bay I.
Arcapita CEE Residential Development I
Arcapita and Layetana Developments have entered into two joint ventures to develop mid-income residential property in Warsaw, Poland. The joint ventures will comprise over 1,500 mid-income apartments in the central Warsaw districts of Mokotów and Zoliborz. Poland is the largest economy of Central and Eastern Europe, excluding Russia. The combination of high economic growth, favorable demographics and the emergence of the residential mortgage market, offer attractive investment opportunities in the Poland real estate market.
Arcapita GCC Utilities Development I
Arcapita has entered into an agreement with Dalkia to build a GCC portfolio of utilities projects, principally district cooling and related utilities, with a country focus on Saudi Arabia, Bahrain, Kuwait and Qatar. District cooling is an established technology that offers a number of benefits over conventional air-cooling systems, and is particularly suited to high density office, retail and residential developments, servicing entire districts efficiently through a centralized plant. By using chilled water as the cooling mechanism, it requires lower energy inputs, incurs lower operational costs, lower maintenance costs and is quieter and less visible than the conventional alternative. Dalkia, a subsidiary of Veolia Environnement, is a leading provider of energy management services and operates over 680 district cooling and heating systems in 38 countries.
Arcapita India Business Park Development I
The Ascendas India Development Trust is an India-specific private real estate trust set up to undertake mixed/multi-use development projects serving high-growth sectors in selected cities in Southern India. The Trust will invest in multi-use integrated development projects, including Special Economic Zones. The primary activity of the Trust will be the development of business parks. The Trust may also develop residential property, retail, hotel, recreation and other ancillary uses that support the business park development.
Arcapita International Luxury Residential Development I
A portfolio of high-end residential developments in Tuscany, Italy; Aspen, Colorado; the island of St. John in the US Virgin Islands; and Steamboat Springs, Colorado. One Steamboat Place One Steamboat Place is a four and a half acre mixed-used development located at the base of Steamboat Mountain Resort in Colorado, that will contain 38 whole-ownership condominiums, 42 PRC units, a members-only Alpine Club, as well as commercial and retail space.
Arcapita Ventures I Limited
In October 2006 Arcapita launched first shrai’ah compliant Venture Capital Fund with a target size of US$ 200 million. The fund intends to generate long-term capital appreciation through investments in growth and expansion stages companies, with a primary focus within the healthcare, information technology and industrial technology sectors. Aiming to invest in US based firms that have large addressable markets, a proven management team that can scale the business, and an existing customer base.
Meridian Surgical Partners, LLC
In May 2006, Arcapita and its co-investors acquired a controlling interest in Meridian Surgical Partners, a US-based ambulatory surgery center company. Meridian partners with physicians to improve efficiencies at the center level and to achieve economies of scale. The company will purchase existing centers and focus on “de novo” development (new facility development) in complementary markets. Meridian’s strategy is to develop a critical mass of assets in selected markets across the country to enjoy economies of scale for recruiting and marketing purposes as well as establish local leverage with selected payors.
Bahrain Bay Development B.S.C.(c)
Bahrain Bay is an exclusive, mixed-use waterfront development, master-planned by Skidmore, Owings & Merrill, and covering an area of 427,423m2 off the North East coast of Manama, Kingdom of Bahrain. Bahrain Bay currently has three anchor developments which include the Four Seasons Hotel, Bahrain, the Arcapita headquarters building, and a residential and retail zone to be operated by CapitaLand under their premium Raffles City brand. Reclamation for the anchor developments is complete, as is piling for the Four Seasons Hotel and the Arcapita Headquarters.
Arcapita US Residential Development I
Arcapita has entered into a joint venture with Bainbridge Communities Management (“Bainbridge”) to undertake a condominium conversion and townhouse development project in Orlando, Florida. Based in Florida, Bainbridge is a fully integrated real estate company engaged in the development, construction, management, acquisition and disposition of commercial and residential real estate, and has extensive experience in the Florida residential market. First Bainbridge purchased two apartment communities, totaling 911 units, in Orlando, Florida for the purpose of conversion into condominiums and consequent sale. In addition, the joint venture purchased a 48-acre parcel of land in Orlando, Florida, in order to develop and sell 243 townhouses.
Exited Investments (Date refers to Exit Date)
Computer Generation Incorporated
In December 2000, Computer Generation Incorporated was acquired by Intec Telecom Systems PLC, a publicly listed company based in the United Kingdom. Intec (LSE: ITL) is the leading provider of third party software solutions for interconnect billing and settlement between telecommunications carriers. In May 1999, Arcapita and its co-investors acquired a controlling interest in Computer Generation Incorporated, a leading global provider of telecommunications mediation systems designed to collect and process electronic transactions and operating data passing through telecommunications switches. As part of its mediation systems, CGI sold software and hardware, as well as software and hardware maintenance services. The company was founded in 1968 and was based in Atlanta, Georgia. Arcapita's investment thesis was based on continued industry investment in infrastructure to accommodate rapid growth in both traditional telecom services and emerging IP-based data services. Arcapita worked closely with management to enhance CGI’s class-leading mediation capabilities, particularly with respect to mediating transactions from Internet-based networks.
In August 2001, the water sports division of WaterMark, Inc. was acquired by Confluence Watersports Company, a privately-held entity in the same line of business as WaterMark. WaterMark, one of the top three manufacturers and sellers of kayaks, canoes and paddlesports accessories, was acquired by Arcapita and its co-investors in June 1998. The original investment was made to purchase the well-known Dagger and Perception brands within the kayak and canoe industry. Shortly thereafter, the company acquired the Harmony brand, and, in turn, created the world's most complete line of paddlesports equipment and accessories. The company enjoyed positive customer relationships with multiple outdoor specialty stores and many large outdoor chains such as REI, Dick's Sporting Goods, and Galyan's. WaterMark's brands are recognized and respected within the outdoor boating community. Arcapita's original investment was premised on the thesis that the kayak and canoe industry would benefit from consolidation of multiple brands under one sales, marketing and distribution umbrella. In consolidating Dagger, Perception and Harmony, in addition to the accessories brands, Aracpita created the most complete line of paddlesports gear in the world. This ultimately made WaterMark an attractive acquisition for Confluence.
In December 2003, Medifax's Medical Services Division was acquired by the Envoy division of WebMD Corp. (NASDAQ:HLTH), further strengthening WebMD's leadership position in electronic transaction processing for healthcare. The Pharmacy Services Division was retained by Arcapita and its co-investors and is now known as Working Rx. Arcapita and its co-investors acquired a controlling interest in Medifax-EDI, Inc. in June 2001. Headquartered in Nashville, Tennessee, Medifax EDI was a leading provider of medical eligibility transactions services in the United States and also provided claims management solutions, practice management systems and other financial services to both health care providers and payors through its Medical Services Division. In addition, Medifax was a leading provider of workers compensation prescription processing for retail pharmacies through its Pharmacy Services Division. Arcapita's investment thesis was based on growth and consolidation in the healthcare IT marketplace, and worked closely with management during the investment holding period to grow Medifax’s core business and to make a number of add-on acquisitions.
Arcapita US Residential Development II
Arcapita has entered into a joint venture with Elysian Development Group – Chicago, LLC (“Elysian”) to construct a 60-story high-rise tower in Chicago, Illinois. Elysian is a consortium of preeminent companies and individuals with extensive real estate experience in residential, retail, office, hotel, spa and mixed-use properties. The group has an impressive track record of more than 80 highly successful development projects throughout the United States. Centrally located in the heart of Chicago’s vibrant Gold Coast neighborhood, the project will consist of 51 residential condominiums, 188 hotel suites, retail space, a health club and spa, an upscale restaurant, a two-level, 110-space subterranean parking garage, and a 12,407 square foot land parcel situated in the southwest corner of the site.
In 2000, Arcapita entered into joint ventures with Archstone-Smith to acquire US multifamily apartment complexes located in key markets throughout the United States. Both portfolios were sold in May 2005 to different regional buyers in the United States. Headquartered in Englewood, Colorado, Archstone-Smith is the second largest, publicly-quoted owner, developer and operator of multifamily residential properties in the United States, with a total market capitalization of over $9.5 billion. Archstone-Smith is responsible for property management, leasing, maintenance, and asset management of the property portfolio. In April 2000, First Multifamily Properties LLC acquired a portfolio of five apartment complexes located in Atlanta, Georgia; Nashville, Tennessee; Raleigh, North Carolina; Salt Lake City, Utah; and San Antonio, Texas.
In 2000, Arcapita entered into joint ventures with Archstone-Smith to acquire US multifamily apartment complexes located in key markets throughout the United States. Both portfolios were sold in May 2005 to different regional buyers in the United States. Headquartered in Englewood, Colorado, Archstone-Smith is the second largest, publicly-quoted owner, developer and operator of multifamily residential properties in the United States, with a total market capitalization of over $9.5 billion. Archstone-Smith is responsible for property management, leasing, maintenance, and asset management of the property portfolio. In June 2000, Second Multifamily Properties LLC acquired a portfolio of six apartment complexes located in Albuquerque, New Mexico; Atlanta, Georgia (2); Houston, Texas; Phoenix, Arizona; and Richmond, Virginia.
In May 2005, DVT Corporation was acquired by Cognex Corporation (NASDAQ: CGNX), a publicly traded company based in the United States, and a leader in the machine visions industry. DVT, a recognized global market leader in the machine vision systems industry, was acquired by Arcapita and its co-investors in September 1999. DVT developed, manufactured and marketed inspection devices or machine vision systems for many of the world’s most prominent manufacturers including General Motors, Ford, Nissan, Allied Signal and 3-M; technology companies such as IBM and Motorola; as well as consumer products companies such as SmithKline Beecham, Procter & Gamble, Nabisco, Kraft Foods and H.J. Heinz. DVT was the only manufacturer in the industry to provide free classroom, online and CD-based training; free operating software and software upgrades; and free online diagnostics and troubleshooting. The company was founded in Atlanta, Georgia in 1991 by a team of research scientists from the Georgia Institute of Technology. Under Arcapita’s stewardship, DVT built up a worldwide distribution network and established a reputation for innovation and superior service, which made it an attractive acquisition target for a recognized industry leader like Cognex.
Loehmann’s Holdings, Inc.
In May 2006, Loehmann’s Holdings Inc. was purchased from Arcapita by Istithmar PJSC, a Dubai-based investment firm. Loehmann’s was acquired by Arcapita and its co-investors in October 2004. Founded in 1921, the New York-based Loehmann’s is a leading US specialty retailer of well-known fashion brands, offering designer apparel and accessories at prices that are typically 30-60 per cent lower than prices at department stores. During the 18 months holding period, Arcapita worked closely with Loehmann’s to develop and implement an aggressive expansion phase, resulting in satisfactory value creation that was realized for Arcapita’s investors at exit.
Arcapita US Senior Living Yielding II
In 2002, Arcapita entered into a series of joint ventures with Sunrise Senior Living, Inc. to acquire lease (Ijara) interests in US assisted living properties. The first two portfolios were sold in September 2006 to a strategic buyer. Headquartered in McLean, Virginia, Sunrise is recognized as having pioneered assisted living healthcare and has revolutionized the long term care option for seniors by emphasizing quality of life and quality of care. Sunrise, which employs approximately 40,000 people, operates over 420 communities in the United States, Canada, the United Kingdom and Germany, with a combined resident capacity of approximately 50,000. In November 2002, Sunrise Second LLC acquired a portfolio of 12 assisted living properties, and one independent living facility, located in New Orleans, Atlanta, Minneapolis, Boston, Sacramento, Denver, Chicago and New Jersey.
Arcapita US Senior Living Yielding I
In 2002, Arcapita entered into a series of joint ventures with Sunrise Senior Living, Inc. to acquire lease (Ijara) interests in US assisted living properties. The first two portfolios were sold in September 2006 to a strategic buyer. Headquartered in McLean, Virginia, Sunrise is recognized as having pioneered assisted living healthcare and has revolutionized the long term care option for seniors by emphasizing quality of life and quality of care. Sunrise, which employs approximately 40,000 people, operates over 420 communities in the United States, Canada, the United Kingdom and Germany, with a combined resident capacity of approximately 50,000. In March 2002, Sunrise First LLC acquired a portfolio of 12 assisted living properties located in Los Angeles, New York, Chicago, Detroit, Philadelphia and Virginia.
In 2001 Arcapita entered into a series of joint ventures with ProLogis Trust (“ProLogis”) to acquire US industrial distribution facilities. The portfolios were sold in January 2006 to a strategic buyer. Headquartered in Denver, Colorado, ProLogis is a leading global provider of integrated distribution facilities and services throughout North America and Europe. ProLogis is responsible for property management, leasing and maintenance functions for the properties. In September 2001, ProLogis Third acquired a portfolio of 17 industrial distribution facilities with an average lease length of 6 years.
In 2001 Arcapita entered into a series of joint ventures with ProLogis Trust (“ProLogis”) to acquire US industrial distribution facilities. The portfolios were sold in January 2006 to a strategic buyer. Headquartered in Denver, Colorado, ProLogis is a leading global provider of integrated distribution facilities and services throughout North America and Europe. ProLogis is responsible for property management, leasing and maintenance functions for the properties. In June 2001, ProLogis Second acquired a portfolio of 34 industrial distribution facilities with an average lease length of 6 years.
In 2001 Arcapita entered into a series of joint ventures with ProLogis Trust (“ProLogis”) to acquire US industrial distribution facilities. The portfolios were sold in January 2006 to a strategic buyer. Headquartered in Denver, Colorado, ProLogis is a leading global provider of integrated distribution facilities and services throughout North America and Europe. ProLogis is responsible for property management, leasing and maintenance functions for the properties. In April 2001, ProLogis First acquired a portfolio of 27 industrial distribution facilities with an average lease length of 7.5 years.
B.R. Lee Industries, Inc.
In May 2006, BR Lee was purchased from Arcapita by Vision Technologies Land Systems, Inc. (VTLS), a subsidiary of Singapore Technologies Engineering Ltd (ST Engineering). B.R. Lee, with its LeeBoy and Rosco brands, was acquired by Arcapita and its co-investors in January 2000. It was the number one original equipment manufacturer in the U.S. by unit volume for commercial class asphalt pavers and brooms. B.R. Lee also offered a one-stop comprehensive product offering, with approximately 65 different models of equipment for road construction and maintenance equipment and an extensive distribution network that covers all 50 U.S. states and 10 Canadian provinces.
In July 2007, Roxar AS was purchased from Arcapita by Corrocean AS, a publicly listed Norwegian oil and gas equipment and services company. Roxar was acquired by Arcapita and its co-investors in February 2006. Headquartered in Stavanger, Norway, Roxar is an independent technology services company, dedicated to developing effective solutions to optimize reservoir production for the global oil and gas industry. Over the 18 month holding period, Roxar’s management team made substantial progress against the board’s long term goals, positioning the company favorably for an early exit to Corrocean, a strategic buyer, at attractive terms for our investors.
South Staffordshire Plc
South Staffordshire Plc is a United Kingdom based water utility company. South Staffordshire Water is the principal subsidiary of South Staffordshire. Its main activity is the regulated supply of water services. South Staffordshire Water supplies water in the English Midlands to a population of 1.25 million in both urban and rural areas covering 1,500 sq.km., and to commercial customers.
Zephyr Investments Limited
In February 2004 Arcapita acquired a 33.3% ownership interest in an indirect investment in Zephyr Investments Limited, which indirectly through Beaufort Wind Limited, a UK company wholly owned by Zephyr, held a portfolio of approximately 17 wind farms in the United Kingdom, valued at approximately £408.1 million.
Smart Document Solutions, LLC
In June 2007, Smart Document Solutions, LLC was purchased from Arcapita by CT Technologies Holdings, LLC. Smart was acquired by Arcapita and its co-investors in June 2002. As the industry leader in healthcare document management, Smart offers comprehensive products and services including medical release of information, long and short term document storage and retrieval, automated release of information tracking and email notification of processed documents available on a secure personalized website. During the five-year holding period, Arcapita worked closely with Smart to develop and grow, including assistance with a transition of leadership. A robust auction for Smart allowed Arcapita to achieve a premium valuation.
In August 2007, TST was purchased from Arcapita by Riverside Manufacturing, Inc. TST was acquired by Arcapita and its co-investors in October 2000, and since then, TST has successfully continued to develop and market a range of technologically advanced vehicle safety and control products, all designed to save lives, avoid injuries, reduce operating costs, and improve operator control.
TLC Health Care Services, Inc.
In March 2008 TLC was purchased from Arcapita and its co-investors by Amedisys, Inc. Acquired by Arcapita in 2005, TLC is one of the largest home healthcare and hospice services providers, and one of the largest Medicare home care service providers, in the United States. Founded in 1978 and headquartered in Lake Success, New York, TLC has 94 locations in 23 states and the District of Columbia. TLC’s licensed personnel provide skilled nursing services including disease management, cardiac care, behavioral healthcare, hospice support, and healthcare counseling. During the three-year holding period, Arcapita led an intense reorganization of management, and a major realignment of the cost structure and compensation plans to drive growth and profitability. This organizational transformation and strong financial performance over the past 18 months led to the premium valuation.
Transportation Safety Technologies, Inc.
In August 2007, TST was purchased from Arcapita by Riverside Manufacturing, Inc. TST was acquired by Arcapita and its co-investors in October 2000, and since then, TST has successfully continued to develop and market a range of technologically advanced vehicle safety and control products, all designed to save lives, avoid injuries, reduce operating costs, and improve operator control.
In August 2009 Church’s Chicken was purchased from Arcapita and its co-investors by an affiliate of Friedman Fleischer & Lowe, a San Francisco-based private equity firm. Church’s Chicken is one of the world’s largest quick-service chicken restaurant concepts, with over 1,600 outlets worldwide. Founded in San Antonio, Texas, in 1952, Church’s is a highly recognized brand name in the Quick Service Restaurant sector, with a strong reputation as being the “value leader” in the chicken category. Church’s serves traditional Southern-style fried chicken in a simple, no-frills restaurant setting, with a focus on providing complete meals at low prices for value-conscious consumers. The fried chicken concept operates under two brands worldwide: Church’s Chicken and Texas Chicken. Arcapita acquired Church’s Chicken in December 2004, and under Arcapita’s ownership, the company has increased margins, expanded the store base, and added new markets in the U.S., Latin America, the Arabian Gulf, the U.K., Russia and India. It has also recorded earnings growth of almost 60% and at the time of exit, global system sales had reached $1.2 billion annually.
Yakima Products , Inc.
In December 2009 Yakima Products, Inc. was purchased from Arcapita and its co-investors by Kemflo International, a Taiwan-based manufacturer of consumer durable goods, water filtration technology and metal and electronics products. Yakima is a leader in the design and manufacture of destination hardware and gear management solutions. Yakima’s products include vehicle racks for bikes, boats, ski equipment and gear, as well as a line of cargo boxes and bags for a variety of needs. Yakima Products is headquartered in Oregon. With the assistance of Arcapita, the company recruited a new senior management team, implemented operational improvements, introduced lean manufacturing in its Mexican manufacturing facility, redesigned all core products whilst reducing time to market, completed strategic acquisitions to strengthen the product range and began development into international markets.
Arcapita Asian Industrial Yielding I
In July 2008 Arcapita and its affiliates formed a joint venture with Mapletree Investments Pte Ltd, to acquire a portfolio of 62 industrial properties in Singapore. In October 2010, the portfolio was successfully listed via an IPO on the Singapore Exchange. Mapletree is a leading real estate company in Singapore, with an Asian focus. The company has extensive skills and experience in managing industrial and logistics properties and in structuring and managing REITs. It owns real estate assets of approximately $4.2 billion comprising office, logistics, industrial and retail/lifestyle properties and manages third party assets of $3.5 billion across Asia. The transaction was a joint venture with Mapletree to acquire a portfolio consisting of 39 blocks of flatted factories, 12 amenity centers, six stack-up and one ramp-up buildings, three multi-tenanted business park buildings and one warehouse building, all strategically located, with good access to city centers, key roads and transportation nodes.
American Pad & Paper LLC
In June 2010, Ampad was sold to Esselte Corporation, a competing manufacturer of paper-based office products. Based in Richardson, Texas, Ampad is one of the largest manufacturers and marketers of nationally branded and private label paper-based office products. Ampad was founded in 1888 in Massachusetts by Thomas W. Holley, the inventor of the ruled ""legal pad"", and has become one of the leading US suppliers of paper-based office products. In response to challenges early in the investment period, the company and Arcapita pursued a number of key initiatives to improve the performance of the company, including the recruitment of a new management team, the implementation of operational improvements and the redesign or elimination of unprofitable product lines.
Arcapita US Retail Yielding I
In July 2011, Arcapita and its affiliates exited from Value Retail, a geographically diverse portfolio of six outlet centers. The investment was a joint venture with an affiliate of Prescott Capital Management, LLC, the investment and asset management affiliate of The Prescott Group LLC, a New York based real estate merchant banking firm.
Cypress Communications' technology simplifies the complex world of phone, voice, data and internet communications and makes it accessible to small and mid-sized businesses by bundling these technologies into a single, easy-to-use solution. In September 2011, Cypress Communications merged with Broadvox, completing Arcapita and its investors' ownership of the company.
Arcapita European Self-Storage Development I
In June 2003 Arcapita formed a joint venture with Shurgard Self-Storage SCA to develop self-storage facilities in Europe. In March 2011, Arcapita and its investors sold their holding to their joint venture partner, Shurgard Europe. Shurgard Europe is a well-established developer, owner and operator of self-storage facilities in Europe. Shurgard Europe oversaw the construction management, design services and functions for the portfolio and played a key role in the marketing and lease-up of the properties under the Shurgard brand name. In June 2003, Arcapita and its co-investors formed First Shurgard SPRL which developed 38 self-storage assets, in the United Kingdom, France, the Netherlands, Denmark, Sweden and Germany. These assets were subsequently sold to Shurgard Europe in March 2011.
Arcapita European Self-Storage Development II
In July 2004 Arcapita formed a joint venture with Shurgard Self-Storage SCA to develop self-storage facilities in Europe. In March 2011, Arcapita and its investors sold their holding to their joint venture partner, Shurgard Europe. Shurgard Europe is a well-established developer, owner and operator of self-storage facilities in Europe. Shurgard Europe oversaw the construction management, design services and functions for the portfolio and played a key role in the marketing and lease-up of the properties under the Shurgard brand name. In July 2004, Arcapita and its co-investors formed Second Shurgard SPRL and developed 34 self-storage assets, in the United Kingdom, France, the Netherlands, Denmark, Sweden, Belgium and Germany. These assets were subsequently sold to Shurgard Europe in March 2011.
Arcapita US Senior Living Yielding III
In September 2003, Arcapita entered into a series of joint ventures with Sunrise Senior Living, Inc. to acquire lease (Ijara) interests in US senior living properties. The portfolio was sold in January 2011 to a strategic buyer. Headquartered in McLean, Virginia, Sunrise is recognized as having pioneered assisted living healthcare and has revolutionized the long term care option for seniors by emphasizing quality of life and quality of care. Sunrise, which employs approximately 40,000 people, operates over 420 communities in the United States, Canada, the United Kingdom and Germany, with a combined resident capacity of approximately 50,000. In two transactions, in June 2003 and September 2003, the joint venture acquired a portfolio of 29 properties, comprising 2,082 residential units in the senior living sector, located in California, Colorado, Illinois, Maryland, Massachusetts, Michigan, Minnesota, Missouri, New Jersey, New York and Ohio.
Cirrus Design Corporation
In June 2011 Cirrus Design Corporation was purchased from Arcapita and its co-investors by China Aviation Industry General Aircraft (CAIGA), a government-owned aviation company in China. Cirrus, headquartered in Duluth, Minnesota, was founded in the mid-1980s. Cirrus delivered its first general aviation aircraft, the SR20, in 1999 and went on to develop a higher-powered version, the SR22, for which delivery commenced in February 2001. During Arcapita's ten year holding period, Cirrus has built a reputation for aeronautical innovation, using new technologies and advanced avionics to develop aircraft that provide enhanced performance, comfort, ease of operation and safety. In this time, Cirrus Aircraft has delivered nearly 5,000 piston airplanes and for nine years in a row, its SR22 family of aircraft has been the best-selling 4-seater airplane in the world. Arcapita has also invested extensively in Cirrus's Vision Jet program, and at the time of sale, development efforts had moved from validation testing to focusing on design advancement, technical risk reduction and program critical path items.
Caribou Coffee Company, Inc.
Caribou Coffee is an international retail coffee business, offering premium brewed coffee and roasted whole bean coffee, as well as teas, bakery goods and related products. After completing an IPO of the stock in 2005, Arcapita and its investors fully exited from the investment in October 2011 with a successful secondary offering. At exit, Caribou was the second largest non-franchised specialty coffee house chain in the United States, with a growing presence in a number of other markets around the world.
Headquartered in Troisdorf, Germany, Profine GmbH – International Profile Group - is a worldwide leading manufacturer of PVC-U profiles for windows and doors and a renowned provider of shutter systems and PVC sheets. With its KBE, Kömmerling, and Trocal brands, the Group has an international presence with 28 sites in 21 countries. Profine Group manufactures at production facilities in Germany, France, Italy, Spain, Russia, Ukraine, the United States and China.
Church Street Health Management
Headquartered in Nashville, Tennessee, Church Street Health Management is the leading dental practice management company that exclusively focuses on serving the needs of children eligible for state paid dental care benefits. Church Street Health Management’s affiliated dental practices provide dental procedures including X-rays, the administration of tooth sealants, tooth extractions, fillings, crowns and general teeth cleanings. The company operates 69 clinics across 22 states throughout the United States.
Arcapita UK Senior Living Yielding I
Arcapita has entered into joint ventures with Sunrise Senior Living, Inc. to acquire properties in the senior living sector in the United Kingdom. Partnership with Sunrise Headquartered in McLean, Virginia, Sunrise is recognized as having pioneered assisted living healthcare and has revolutionized the long term care option for seniors by emphasizing quality of life and quality of care. Sunrise, which employs approximately 40,000 people, operates over 420 communities in the United States, Canada, the United Kingdom and Germany, with a combined resident capacity of approximately 50,000. Sunrise began its operations in the United Kingdom in 1999 and the first three properties in the portfolio were the first to be completed by Sunrise in the United Kingdom. The Transaction In May 2003, Arcapita and its co-investors entered into a joint venture with Sunrise Senior Living, Inc. that acquired three assisted living properties, comprising 256 residential units, located around the M25 motorway of London.
Compagnie Européenne de Prestations Logistiques (CEPL)
CEPL is a contract logistics company specializing in the high-growth, detailed picking segment of the warehouse logistics industry with operations in France and Germany. CEPL has built a leading position with a niche segment of the warehouse logistics business focusing on picking, packing and other value-added services within the warehouse for customers in high-end consumer product segments, such as beauty and fragrance, sportswear, apparel and electronics. CEPL uses highly automated picking lines and a proprietary information technology system to individually pick and pack thousands of small individualized parcels for direct shipping, through third party logistics companies, to retail outlets globally with close to 100% accuracy. CEPL’s customers include, among others, Guerlain, Estée Lauder, Givenchy, Davidoff, Calvin Klein, Adidas, Playtex and Sony.
Bijoux Terner, LLC
Headquartered in Miami, Florida, Bijoux Terner is one of the leading global suppliers of affordable high quality, fashion-forward accessories (watches, jewellery, handbags and soft goods) to the travel retail channel. The company partners with large travel retail developers, such as LVMH and The Nuance Group, who develop, own and manage the store locations, all of which are branded as Bijoux Terner stores. Bijoux Terner designs and sources the products, which its retail partners sell in their stores. The company operates in approximately 430 retail locations in over 30 countries and 5 continents and across several channels within the travel retail market, including airports, cruise ships, hotels and entertainment locations.
Arcapita European Industrial Development I
Arcapita and its co-investors entered into a joint venture with GEMFI Sarl, a wholly-owned subsidiary of GICRAM Groupe, a contractor/developer specializing in the French warehouse market. GICRAM has over 30 years experience in the French office, production, and logistics real estate markets. GICRAM has representation throughout France and has particularly strong relationships with local municipalities who not only act as a source of land, but at the same time act as the permitting authorities for the developments. The joint venture was originally formed to develop nine buildings within three different logistics parks located in Southern France. All the land of the first phase has been acquired and three properties were developed in 2006, but the joint venture does not intend to undertake further development. The portfolio is being asset managed by PointPark Properties (P3), a global developer and asset manager of industrial and logistics real estate. P3 is a 100% subsidiary of Arcapita.
Falcon Gas Storage Company, Inc.
Based in Houston, Texas, Falcon Gas Storage Company is the largest independently owned developer and operator of high-deliverability, multi-cycle (HDMC) natural gas storage capacity in the United States. Falcon has more than 20 Bcf of working gas storage capacity at its Hill-Lake and Worsham-Steed gas storage facilities in Texas. Falcon also is developing the MoBay Storage Hub, an HDMC gas storage project in Alabama, and has HDMC gas storage prospects in various stages of development in New Mexico and along the Texas, Louisiana and Mississippi Gulf Coast.
Southland Log Homes, Inc.
Southland is the largest and most sophisticated manufacturer and marketer of pre-cut log home kits in North America. From its manufacturing facilities in Irmo, South Carolina and Elliston, Virginia, and 16 sales offices located throughout the Southeast and mid-Atlantic United States, Southland designs, manufactures and sells log home kits that offer homeowners exceptionally high quality living space with unique aesthetic and lifestyle appeal. Southland’s customers can choose from one of the company’s complete standard kits or develop custom designs for log homes that typically range in size from 575 square feet to more than 5,000 square feet.
Arcapita European Industrial Yielding I
Arcapita built up a portfolio of industrial distribution facilities in Germany, France, Italy, Netherlands and Spain, which is managed by Arcapita-owned asset manager, Pointpark Properties (P3). In December 2002, Arcapita established the first phase of the platform (previously called Crescent Euro I) to invest in fully-leased industrial distribution facilities in Germany. In August 2003, the platform was expanded to include France and Italy, and then in May 2004, it was further expanded to include Spain and the Netherlands. The portfolio currently consists of 33 industrial properties comprising over one million square meters of rental space.
Arcapita India Business Park Development II
A joint venture with Capitaland to establish a world-class business park development in Navi Mumbai, India. CapitaLand is one of the largest listed companies in Asia and recognized as a leader in asset management and real estate financial services. Headquartered in Singapore and listed on the Stock Exchange of Singapore, the multinational company’s core businesses in property, hospitality and real estate financial services are focused in key cities in Asia, Australia, Europe and the Middle East. The joint venture will develop a world-class business park on 30 acres of land in Navi Mumbai, India, a suburb of Mumbai that is benefiting from its rapid growth. The property will have a built- up area of 3.06 million square feet. The joint venture may also develop residential property, retail, and other ancillary uses to support the business park development.
Varel International Energy Services, Inc.
Based in Carrollton, Texas, Varel produces polycrystalline diamond compact and roller cone bits for the oil and gas bit market. The company also produces roller cone bits for the mining and industrial bit market. With operations in 22 countries, the company operates five manufacturing/repair facilities and 41 sales offices worldwide. Varel’s global reach enables it to serve leading oil and gas and mining and industrial companies, including Saudi Aramco, Sonatrach, Total, Agip, BP, Shell, Petronas, Kuwait Oil, XTO, Devon, Chesapeake, EOG, Occidental, BHP Billiton, Phelps Dodge, Rio Tinto, Grupo Mexico and Barrick Goldstrike.
Arcapita US Residential Developmental III
A joint venture with Capella Corporation, Marquette Companies and KMG Partners to convert a portfolio of properties across the United States into condominiums. Waverly Place is a joint venture with KMG Partners, LLC to convert an apartment community to condominiums in Greenwich Village, a sought-after district within New York City. Bourbon Square is a joint venture with Marquette Companies to convert an apartment community to condominiums in a near-in northwest suburb of Chicago. Villages of La Mesa is a joint venture with Capella Corporation to convert an apartment community into condominiums in La Mesa, a suburb of San Diego.
The Tensar Corporation, LLC
Headquartered in Atlanta, Georgia, Tensar offers an integrated suite of over 50 products and services that provides soil stabilization, earth retention, foundation support and erosion and sediment control. Tensar is a “one-stop-shop” for site construction solutions. The integration of its business lines substantiates the company’s goal of providing “Everything from the Ground Down” site solutions for its end-customers, which include commercial, industrial and residential site developers, resource extractors, transportation authorities, coastal and waterway authorities, and waste management companies. Tensar operates four key subsidiaries: Tensar Earth Technologies, North American Green, Geopier Foundation Company and Tensar Polytechnologies. In 2006, Arcapita completed the acquisition of Tensar International in the UK, allowing Tensar to begin more aggressive targeting of non-US markets.
Victory Heights Golf Residential and Development Company LLC
Victory Heights is a joint venture with Dubai Sports City LLC to develop a lifestyle residential community centered around a signature championship golf course and academy, world class tennis, soccer and cricket academies and a wellness center within Dubai Sports City. Dubai Sports City is the world’s first purpose-built, fully integrated sports city. Victory Heights will be developed on 25 million square feet of land centered around an 18-hole championship golf course designed by top ranked golfer Ernie Els. Victory Heights will complement Dubai Sports City’s wide array of stadiums, training academies and other sporting facilities. The development will comprise approximately 1,000 upscale single family units within a gated and master planned community.
Riffa Views B.S.C.(c)
Arcapita has formed a joint venture with Bahrain International Golf Course Company to develop a golf course residential community at the Riffa Golf Club, and adjacent land, in the Kingdom of Bahrain. Riffa Views involves the development of a uniquely themed residential community around the 18-hole Riffa golf course under three distinct signature estates – The Lagoons, The Oasis, and The Park. Approximately 970 single family units will be developed within a gated community with access to world-class sporting facilities, a country club, a health club, Boris Becker’s tennis academy, a retail center, and an international school. As part of the development, the golf course has been redesigned by the world renowned golfer, Colin Montgomerie.
Jill Acquisition, LLC
J. Jill is a leading multi-chain retailer of women’s apparel, accessories and footwear based in the United States. Headquartered in Quincy, Massachusetts, J. Jill operates 225 retail stores across the United States. The stores feature natural design elements and spacious, well-lit fitting rooms and comfortable seating for customers’ friends, spouses and children, creating a carefully developed customer experience. In this way, the Company has successfully built a brand targeting 40- to-65 year-old high-income women, offering comfortable, age-appropriate, fashionable, casual, high-quality clothing. Additionally, J. Jill offers a private label line of clothing through its higher-margin “Essentials” and “Core” apparel segments.
ARC Real Estate Income Fund
In March 2010 Arcapita initiated a joint venture with Al Rajhi Capital to create a US$ 300 million fund aimed to acquire multiple logistics and retail properties within the GCC region. Focusing to provide investors with current income and the potential for capital appreciation by acquiring prime cash-generating real estate assets that are backed by strong economic and real estate fundamentals, primarily in Saudi Arabia and other GCC countries.
Arcapita Qatar Real Estate Investment I
Arcapita Qatar Residential Development I is a 3.6 million sqm residential development and will include up to 3,200 residential units around a Greg Norman-designed 18-hole championship golf course, 9-hole academy course, golf academy and club house. Additionally, the development will include a country club and Chris Evert Sports and Tennis Center; a commercial village that will comprise retail, residential sports clubs and other supporting lifestyle amenities; civic facilities, such as a mosque, international school, nursery, library and small healthcare facility.
Freightliner Group Limited
Freightliner is a leading UK rail logistics company, moving containers and heavy goods between ports and inland distribution hubs. The business operates primarily in Great Britain and is engaged in a program of international growth. Based in London, Freightliner was privatized from British Rail in May 1996 via a management buyout backed by the previous owners. Freightliner has four main operating subsidiaries: Freightliner Intermodal, the largest inland hauler of deep-sea maritime containers in the UK; Freightliner Heavy Haul, transporting coal, aggregates, cement and petroleum; Freightliner International, currently operating in Poland and Australia, and in several other European countries through its subsidiary ERS; and Freightliner Maintenance, the company’s in-house provider of fueling and maintenance services.
Honiton Energy Caymans Ltd
Established in 2005, Honiton is engaged in the operation and development of wind farms in China. Honiton currently has a sizeable portfolio of windfarms located in China’s Inner Mongolia, a region which benefits from among the highest quality of exploitable wind in China. The windfarms are fully operational with a total capacity of 150 MW. The Company aims to grow the portfolio to about 500 MW or more over the next 3 years. Through further development, Honiton aims to be among the leading wind farm operators in China. Arcapita’s joint venture partner in Honiton is Colossus Holdings, a subsidiary of the Tanti Group, a family-owned Indian corporation that owns a majority of Suzlon, one of the world’s leading suppliers of wind turbines.
Founded in 1998 and headquartered in Clearwater, Florida, PODS is a provider of portable storage and moving solutions for residential and business customers. PODS has 145 locations in the United States, Australia, and Canada, consisting of 16 company-owned locations and 129 franchise locations. The Company delivers its specially designed storage containers to the customer’s location, which the customer can load at his convenience. Once the customer has completed his packing in the container, PODS will either take it to another location or will place it at a storage warehouse, until the final destination for the moving goods is ready to receive them. PODS containers are moved by trucks that are equipped with the Podzilla®, a patented hydraulic lift system, specially designed so that the contents of the container do not shift when loaded onto a truck.
Arcapita Japan Residential Yielding I
A joint venture with Capitaland to acquire a portfolio of rental residential properties in Japan. CapitaLand is one of Asia’s largest real estate companies and recognized as a leader in asset management and real estate financial services. Headquartered and listed in Singapore, the multinational company’s core businesses in property, hospitality and real estate financial services are focused in key cities of Asia Pacific, Europe and the Gulf region. The joint venture acquired a total of 26 properties in 10 major cities in Japan, and currently owns 4 properties in Osaka.
Arcapita US Senior Living Yielding IV
In 2002, Arcapita entered into a series of joint ventures with Sunrise Senior Living, Inc. to acquire lease (Ijara) interests in US assisted living properties. Headquartered in McLean, Virginia, Sunrise is recognized as having pioneered assisted living healthcare and has revolutionized the long term care option for seniors by emphasizing quality of life and quality of care. Sunrise, which employs approximately 40,000 people, operates over 420 communities in the United States, Canada, the United Kingdom and Germany, with a combined resident capacity of approximately 50,000. In July 2005, Sunrise Four LLC acquired a portfolio of 16 assisted living properties comprising approximately 4,000 residential units across 11 different states in the United States
Arcapita India Growth Capital I
AIGC I is a portfolio of growth capital, minority investments in mid-sized Indian companies. AIGC I focuses on companies in the consumer, healthcare, business services, and specialized manufacturing industries. To date, the Portfolio has invested in three companies: Polygel Technologies (www.polygelindia.com) Established in 1994 as a cable gels manufacturer, Polygel has successfully transformed its business from 2002 onwards to become a rapidly growing Indian manufacturer of specialty chemicals, including adhesives and sealants, construction chemicals and other polymer-based products, for industrial and retail applications. Idhasoft (www.idhasoft.com) Established in December 2006, Idhasoft is an IT services company offering SAP and Oracle products and customized application and consulting services to customers in the United States and India. Idhasoft has grown rapidly since inception through the acquisition of over 30 niche IT companies.
Viridian is a leading electricity generation and supply utility, operating across Northern Ireland and Republic of Ireland. The Group operates three main businesses, the Energia Group and Power NI, which provide generation in the Republic of Ireland and supply in both Northern Ireland and the Republic of Ireland; and PPB, its regulated power procurement business in Northern Ireland. Viridian generates electricity through its own conventional CCGT plants near Dublin, and is one of the Irish leading renewable electricity companies, generating and sourcing renewable electricity through its own growing portfolio of wind farms and through a portfolio of PPAs with wind farms owned by third parties.