PE Deals

KKR buys industrial warehouses in the Phoenix and Atlanta markets

The acquisitions are two separate transactions from two different sellers for an aggregate purchase price of approximately $250 million.

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  • The Arizona property is near major transportation nodes including Interstate Highway 10 and Arizona State Route 101
  • The Georgia property is in close proximity to the CSX Fairburn Intermodal Terminal and the Atlanta airport
  • Across its funds in the U.S., KKR has committed or acquired approximately $7.5 billion of logistics assets in the industrial sector since 2018

KKR has acquired an industrial park in Phoenix and an industrial warehouse in Atlanta. The acquisitions were done in two separate transactions from two different sellers for an aggregate purchase price of approximately $250 million.

The Arizona property is strategically located in Phoenix’s Southwest Valley industrial submarket in close proximity to major transportation nodes including Interstate Highway 10 and Arizona State Route 101.

The Georgia property is located in Palmetto, in close proximity to the CSX Fairburn Intermodal Terminal and the Atlanta airport.

“We are pleased to further expand our industrial footprint in these markets, which continue to benefit from attractive growth fundamentals including positive demographic trends and on-shoring manufacturing trends,” said Ben Brudney, a director in the real estate group at KKR who oversees the firm’s industrial investments in the United States, in a statement. “We are seeing resilient demand for high quality, well located industrial product and we believe despite near-term supply headwinds, industrial supply-demand fundamentals will remain attractive in the medium to long term.”

The purchases were made through KKR Real Estate Partners Americas III, KKR’s Americas opportunistic equity real estate fund. Across its funds in the U.S., KKR has committed or acquired approximately $7.5 billion of logistics assets in the industrial sector since 2018 and currently owns over 48 million SF of industrial real estate in major U.S. metropolitan areas.