Bessent Says Private Equity Firms Won't Be Forced to Sell Homes

Gulf Islamic Investments (GII), a Dubai-based private equity firm, aims to triple its assets under management to $10 billion by the end of the decade. The firm plans to raise capital through Islamic debt and explore strategic partnerships to achieve this goal according to Bloomberg.

The Middle East has become a key hub for global private equity, with firms like KKR, Permira, and Brookfield expanding their operations in the region as reported. Regional players such as Gulf Capital and Affirma Capital are also increasing their presence according to Bloomberg.

UMH Properties, a U.S.-based REIT that owns and operates manufactured home communities, reported a 9.1% year-over-year increase in January 2026 rental and related income, driven by occupancy gains and rent hikes according to Seeking Alpha.

Why the Move Happened

GII's strategy includes a focus on real estate, private credit, and debt opportunities, with plans to raise a $250 million private debt fund in Saudi Arabia according to Bloomberg. The firm also plans to take a minority stake in Hotpack, a Middle East industrial packaging company according to Bloomberg.

The firm's ability to act as a conduit for overseas investors to access regional deal flow has given it an edge in a competitive market according to Bloomberg. GII has already participated in major deals, including the acquisition of a digital trade bank from Mubadala Investment Co. and a majority stake in a Saudi dental and dermatology care provider according to Bloomberg.

How Markets Responded

UMH Properties reported strong fourth-quarter results, with same-property rental and related income up 7% year-over-year to $56.2 million. The company added 170 new homes during the quarter and expects continued growth according to Seeking Alpha.

In the U.S., both the House and Senate introduced housing bills in 2025 aimed at addressing the housing crisis. The Senate's ROAD to Housing Act and the House's Housing for the 21st Century Act include provisions to expand housing supply, strengthen community investment, and improve affordability according to NovoCo.

What Analysts Are Watching

Analysts are monitoring GII's capital raise and strategic initiatives as it aims to become the Blackstone of the Middle East. The firm's focus on Islamic finance and regional expansion could attract more institutional investors according to Bloomberg.

UMH Properties' performance highlights the growing demand for manufactured housing and affordable rental options, particularly in markets where traditional housing remains expensive according to Seeking Alpha.

The U.S. housing bills, if enacted, could reshape federal housing policies and funding for affordable housing programs like the HOME Investment Partnerships Program according to NovoCo. Increasing the public welfare investment (PWI) cap could unlock additional private capital for housing and community development projects according to NovoCo.