Dealmaker: Kennedy Wilson Acquires Multifamily Portfolio for $198M

Kennedy Wilson, Beverly Hills, Calif., acquired 880 units across three multifamily properties in a $198 million off-market transaction.

Kennedy Wilson focuses on institutional-quality garden-style apartment properties in rapidly growing markets across the western U.S. The company’s value-add asset management plans include adding and improving amenities and updating unit interiors across the portfolio.

The assets acquired by Kennedy Wilson and investment vehicles it manages included Rockrimmon, a 260-unit community in Colorado Springs, Colo., which changed hands for $66 million, the 220-unit RockVue community in Broomfield, Colo. and the 400-unit Tempe Station community in Tempe, Ariz. Kennedy Wilson and its equity partners invested $87 million of equity in the portfolio including closing costs.

Senior Managing Director Shem Streeter leads acquisitions for Kennedy Wilson’s multifamily division. He called the firm very optimistic about the Mountain State markets, “where we foresee continued job and population growth over the long term,” he said. “We are also excited to expand our presence into Tempe, where the vibrant business community, relative affordability and lifestyle offerings will help support a strong multifamily market.”

The new portfolio increased Kennedy Wilson’s Mountain States multifamily portfolio to 9,404 units including assets under development. The company owns nearly 31,000 apartment units globally including properties under construction.