KBS joint venture buys $516 million industrial real estate portfolio
A joint venture led by KBS Real Estate Investment Trust purchased an 11.4 million-square-foot industrial property portfolio for $516 million it was announced today.
Newport Beach, Calif.-based KBS REIT, with an 80 percent stake in the venture, joined forces with Los Angeles-based Hackman Capital Partners and Hudson, Mass.-based Calare Properties to purchase the portfolio of 24 properties from Needham, Mass.-based Equity Industrial Partners Corp. Hackman and Calare each own 10 percent of the portfolio.
Thirty-one separate buildings are included in the 24 properties, with assets located in seven industrial markets in Colorado, Connecticut, Massachusetts, New Hampshire, New York, Pennsylvania and Texas. The properties feature an average occupancy level of 94.4 percent. Also included in the deal were two undeveloped land parcels totaling 39 acres.
KBS REIT represented itself in the transaction, the largest ever single deal for the firm. Real estate firm Newmark Knight Frank, headquartered in New York City, represented Equity Industrial during the transaction. Financing for the purchase was secured through real estate investment banking firm Eastdil.
The deal follows on the heels of KBS acquisition in July of a 2.3 million-square-foot distribution and office/warehouse portfolio from Opus Corp. for nearly $125 million.
KBS REIT is advised and managed by KBS Capital Advisors LLC, and distributed by KBS Capital Markets Group LLC. Both KBS Capital Advisors and KBS Capital Markets are affiliates of real estate investment firm KBS Realty Advisors, which has completed more than $10 billion in transactional activity over the last 15 years.