- US land funds are attracting increased interest as global investors pull capital from the Gulf region.
- Walton Global launched a new Shariah-compliant fund aimed at Asian and Middle Eastern investors.
- Geopolitical tensions and flight disruptions are driving capital shifts from the Gulf to US real estate.
- Walton’s fund targets land acquisition in high-growth US housing markets with a focus on pre-entitled sites.
Investor Flows Shift to US Land
Walton Global aims to capture shifting cross-border capital flows with its US Land Income & Growth Fund, reports Bisnow. The launch follows rising conflict in Iran and growing regional uncertainty. As a result, investors increasingly diversify beyond Gulf Cooperation Council markets.
The fund targets offshore capital while focusing on Asia and the Middle East. This strategy aligns with broader trends, as global investors search for stable, income-generating US land opportunities.
Appeal of Shariah-Compliant Investment
The new US fund earned Shariah compliance certification from Malaysia’s Masryef Advisory. This approval makes it more attractive to institutions and investors across Islamic Gulf states.
As a result, the fund now fits mandates tied to Islamic finance rules. Walton says the certification unlocks access to Middle Eastern capital seeking compliant investments. Not all Walton vehicles meet these standards, which makes this fund stand out.
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Strategy Targets US Housing Opportunity
Walton focuses on buying undeveloped land in fast-growing markets like Texas, Georgia, and the Carolinas. It targets high-growth corridors, especially around Dallas-Fort Worth. The fund allocates about 65% of its holdings to land already entitled for development. This approach avoids construction and sales risk while keeping projects moving. This strategy aligns with a broader push to address the persistent US housing supply gap, which continues to shape investor demand for land.
At the same time, Walton supports homebuilders by providing short-term bridge financing for land acquisitions. It also uses its entitlement expertise to push unapproved parcels through zoning and approvals efficiently.
Market Uncertainty Fuels New Investment
Recent MSCI data shows Gulf cross-border commercial property acquisitions remain small but growing, with a spike in construction investment not fully captured by transaction statistics. Ongoing travel disruptions and geopolitical risk have increased investor wariness in the region. With global uncertainty rising, demand for stable and compliant options like US land funds is set to continue building momentum.
