Off-market transaction brings YTD multifamily acquisitions to 6,449
units and total global unit count to over 26,000 units
BEVERLY HILLS, Calif.--(BUSINESS WIRE)--Jul. 29, 2015--
Global real estate investment and services firm Kennedy
Wilson (NYSE: KW) today announced that the company and its
equity partners have, in an off-market transaction, acquired Slate Creek
at Johnson Ranch, a 612-unit apartment community located in Roseville,
California, for $100 million. The company and its equity partners
invested an aggregate of $38.5 million of equity in the transaction
(inclusive of closing costs), of which the company’s initial share is
approximately 12.5%. As part of the transaction, the company and its
equity partners assumed $63 million of debt.
“Slate Creek benefits from strong area incomes and a wide base of local
employers, providing us the opportunity to execute a robust value-add
plan on a low density property,” said Kurt Zech, president of Kennedy
Wilson Multifamily Investments. “The property is situated on a 39-acre
site, which is nearly impossible to replicate in this submarket.”
Slate Creek is located within an upscale residential neighborhood in
Roseville, which has a median area home price of $715,000. The property
is in close proximity to downtown Sacramento, catering to employees of
nearby companies such as Hewlett-Packard, Kaiser Permanente, Oracle,
Intel and Sutter Health Systems.
Year to date, Kennedy Wilson has acquired interests in 6,449 multifamily
units in the Western U.S. at an average cap rate of approximately 7.0%.
With this acquisition, Kennedy Wilson’s global multifamily portfolio
totals over 26,000 units.
About Kennedy Wilson
Founded in 1977, Kennedy Wilson is a vertically integrated global real
estate investment and services company headquartered in Beverly Hills,
CA, with 25 offices in the U.S., U.K., Ireland, Spain, Jersey and
Japan. The company, on its own or with partners, invests
opportunistically in a variety of real estate related investments,
including commercial, multifamily, loan purchases and originations,
residential, and hotels. Kennedy Wilson offers a comprehensive array of
real estate services including investment management, property services,
auction, conventional sales, brokerage and research. For further
information on Kennedy Wilson, please visit www.kennedywilson.com.
Special Note Regarding Forward-Looking Statements
Statements in this press release that are not historical facts are
“forward-looking statements” within the meaning of U.S. federal
securities laws. These forward-looking statements are estimates that
reflect our management’s current expectations, are based on assumptions
that may prove to be inaccurate and involve known and unknown risks.
Accordingly, our actual results or performance may differ materially and
adversely from the results or performance expressed or implied by these
forward-looking statements, including for reasons that are beyond our
control. For example, we may not be able to maintain our current
acquisition pace or identify future properties to acquire on terms we
consider attractive, and our current property portfolio may not perform
as expected. Furthermore, the capitalization rates of our properties at
acquisition may not reflect future performance. Accordingly, you should
not unduly rely on these statements, which speak only as of the date of
this press release. We assume no duty to update the forward-looking
statements, except as may be required by law.
View source version on businesswire.com: http://www.businesswire.com/news/home/20150729005844/en/
Source: Kennedy Wilson
Kennedy Wilson
Christina Cha
VP of Corporate Communication
(310)
887-6294
[email protected]
or
Daven
Bhavsar
Director of Investor Relations
(310) 887-3431
[email protected]