KKR Expands US Industrial Real Estate Strategy with Scratch Development Investments | News


NEW YORK–(BUSINESS WIRE)–May 9, 2022–

KKR, a leading global investment firm, today announced the expansion of KKR’s industrial real estate investment strategy in the United States to include the development from scratch of Class A industrial logistics properties. KKR’s wholly owned U.S. industrial real estate platform, Alpha Industrial Properties (AIP), has begun development at four sites and has four more sites in pre-development. KKR has appointed industry veterans Greg Bradley and Matt Singleton as senior vice presidents at AIP, responsible for managing the platform’s procurement, pre-development and development activities.

The eight projects are expected to provide 1.8 million square feet (SF) of state-of-the-art industrial space serving the Atlanta, Dallas, Denver and Orlando markets. Funding for the projects is provided by KKR Real Estate Partners Americas III, KKR Americas’ opportunistic real estate fund.

“Adding core development capabilities enhances our ability to build diversified portfolios of high-quality industrial real estate and expand our presence in growth markets where we believe supply and demand fundamentals remain. dynamic,” said Ben Brudney, director of the Real Estate Group at KKR who oversees the company’s industrial investments in the United States. “Our extensive experience in acquiring approximately $7 billion of industrial real estate in the United States over the past four years allows us to identify attractive opportunities and development is a natural extension of our strategy.”

The development program reinforces KKR’s strategy to acquire assets and industrial portfolios in key US markets that are experiencing outsized demand for logistics real estate driven by demographic trends and the proliferation of e-commerce. Across its funds, KKR has committed or acquired approximately $7 billion of US logistics assets since 2018 and currently owns more than CHF 45 million of industrial real estate.

Square Mile Capital and BMO Harris Bank provided KKR with a $200 million construction facility to fund its investments in industrial developments nationwide.

About KKR

KKR is a leading global investment firm providing alternative asset management solutions as well as capital markets and insurance solutions. KKR aims to generate attractive returns on investment by following a patient and disciplined investment approach, employing world-class people and supporting the growth of its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer pension, life insurance and reinsurance products under the management of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For more information about KKR & Co. Inc. (NYSE:KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR—Co.

See the source version on businesswire.com: https://www.businesswire.com/news/home/20220509005655/en/

CONTACT: Media

Miles Radcliffe-Trenner

212-750-8300

media@kkr.com

KEYWORD: NEW YORK UNITED STATES NORTH AMERICA

INDUSTRY KEYWORD: PROFESSIONAL SERVICES LOGISTICS/SUPPLY CHAIN ​​​​MANAGEMENT TRANSPORT COMMERCIAL BUILDING & REAL ESTATE FINANCE CONSTRUCTION & PROPERTY BANKING

SOURCE: KKR

Copyright BusinessWire 2022.

PUBLISHED: 05/09/2022 16:15 / DISK: 05/09/2022 16:16

http://www.businesswire.com/news/home/20220509005655/en

Copyright BusinessWire 2022.

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