Mubadala, Cain Venture Aims to Spend Billions on Luxury Property - Bloomberg

Mubadala, Cain Venture Aims to Spend Billions on Luxury Property - Bloomberg

Mubadala Investment Co.’s asset management unit is teaming up with Cain International on a new venture that seeks to deploy billions of dollars into global luxury real estate, according to people familiar with the matter.

Mubadala Capital and Cain, a $13 billion asset manager, have each committed new capital to the partnership, the people said, asking not to be identified as the matter is private. Their partnership will seek to bolster and expand some of Cain and Mubadala Capital’s existing portfolios, while seeking to make new investments into luxury property, the people said.

Representatives for Mubadala Capital and Cain declined to comment.

Cain is a partnership between Chief Executive Officer Jonathan Goldstein and billionaire Todd Boehly’s Eldridge Industries. Goldstein spoke about the partnership with Mubadala Capital in a recent Bloomberg TV interview without disclosing details, and the firms are both investors in luxury hotel brand Aman Group.

The new partnership comes amid a boom in luxury real estate, which outperformed traditional property markets through 2024 and in the early months of this year, according to Sotheby’s International Realty. The outlook remains resilient, with investors viewing upscale properties as a haven even amid financial volatility, the firm said in a report released in June.

For Mubadala Capital, the venture is the latest sign of its global ambitions. Earlier this year, the firm sold a minority stake in itself to TWG Global, an investment firm led by Guggenheim Partners founder Mark Walter and financier Thomas Tull, in a deal that included a $10 billion syndicated investment in TWG. That came soon after the asset manager snapped up Canadian mutual fund manager CI Financial Corp. in one of the largest privatizations by an Abu Dhabi entity.

Cain, for its part, has increasingly bet on high-end hotels. It’s developing the ultra-luxury One Beverly Hills complex that’s set to feature an Aman hotel and branded residences, a botanical garden, spa and retail space.

The firm is also nearing a deal to acquire the Manhattan hotel once known as the Trump SoHo, Bloomberg News reported in July. Its global portfolio spans a diverse range of sectors, across residential, hospitality, commercial and mixed-use developments.