Kennedy Wilson has launched a $1.5 billion joint venture with an unnamed global institutional investor to acquire and manage core-plus multifamily communities in the Western United States.
The platform was seeded with an $800 million portfolio, including nine multifamily properties that were previously owned by Kennedy Wilson. As part of the transaction, Kennedy Wilson sold a 49 percent interest in these wholly-owned assets to its partner.
The creation of the new platform and the sale of the ownership stake in the multifamily assets generated some $254 million in proceeds for the firm. The majority of these proceeds are expected to be reinvested into new wholly-owned acquisitions.
Following the transaction, Kennedy Wilson will continue to hold a 51 percent ownership stake in the new joint venture. The partnership will target $700 million in additional core-plus acquisition opportunities.
“We are honored to form a partnership with a prestigious, global i