Private credit firm Blue Owl Capital Inc has launched a new office in Abu Dhabi, designating the location as its regional headquarters. The move highlights ongoing interest from Wall Street firms in the Gulf despite heightened regional tensions linked to the ongoing Iran conflict.

Blue Owl’s Abu Dhabi hub will house teams focused on institutional capital and general partner stakes. The firm, which manages approximately $315 billion in assets, has been expanding its presence in the region, building on previous partnerships such as a 2024 collaboration with Lunate and a $1 billion investment commitment from Mubadala Investment Company in 2023.

This development aligns with a broader trend of major U.S. alternative asset managers establishing operations in the Abu Dhabi Global Market (ADGM) financial free zone. Since the onset of the Iran war in late February, several firms including Bain Capital and Barings LLC have announced plans to open offices there. Despite security concerns, Wall Street entities such as Brookfield Corporation and Goldman Sachs remain engaged in the Gulf, driven by opportunities to deepen relationships with sovereign wealth funds channeling significant capital into diverse investment platforms.

While the United Arab Emirates has faced missile and drone attacks attributed to Iranian forces, businesses appear undeterred, signaling sustained confidence in Abu Dhabi as a financial hub. Industry analysts note that foreign investors in the Gulf face increasing expectations to deploy capital locally, with potential repercussions for partnerships involving state-backed entities if commitments are scaled back.

Blue Owl’s co-chief executives, Doug Ostrover and Marc Lipschultz, characterized the Abu Dhabi office opening as a continuation of the company’s regional growth strategy rather than entry into a new market. The firm’s expansion reflects the Gulf’s enduring allure for global financial firms despite security risks and geopolitical uncertainty in the area.