KENNEDY WILSON SELLS $422 MILLION MULTIFAMILY PORTFOLIO
The 174-unit Heatherbrae Commons Apartments in Milwaukie at 10303 S.E. Bell Ave. is under new ownership.
Global real estate investment company Kennedy Wilson announced the total $422 million sale of six multifamily properties — including one in Oregon.
The asset sales are expected to generate net proceeds to Kennedy Wilson (KW) of approximately $104 million. KW has an average of 41.3 percent ownership in the six properties.
Located across four states in the western U.S., the properties in the portfolio include Heatherbrae Commons in Milwaukie, Oregon (174 units); Slate Creek in Roseville, California (612 units); Xander 3900 in Las Vegas, Nevada (480 units); Big Trout Lodge in Liberty Lake, Washington (297 units); Montair at Somerset Hill in Tumwater, Washington (396 units); and StonePointe in University Place, Washington (240 units).
The six garden-style apartment communities were originally built between 1989 and 1999, and KW has added improvements to their exteriors and units while it owned them.
"This portfolio sale enables us to recycle capital into other strategic investment opportunities," said William J. McMorrow, Chairman and CEO of Kennedy Wilson. "These six properties represent the successful roll-out of our value-add asset management initiatives, and we are pleased to see those efforts create compelling value for our investors."
The sale frees up KW to return the approximately $104 million of net proceeds into other regional, strategic investment opportunities. So far in 2018, the company has completed more than $200 million in multifamily acquisitions totaling 956 units, with an additional 2,530 units in design and development stages.