KKR has acquired a five-building industrial portfolio in Phoenix, totaling approximately 540,000 square feet for a purchase price of $68 million.
The portfolio consists of five shallow-bay, last-mile warehouses located in highly infill submarkets less than 10 miles from downtown Phoenix. The portfolio was 100 percent leased at acquisition and features an average clear height of 25 feet and an average vintage of 1988.
The transaction marks KKR’s second industrial acquisition in the Phoenix market in 2021 and expands KKR’s total Phoenix industrial footprint to approximately 2.5 million square feet.
“The favorable demographic trends in Phoenix that we saw in 2019 and 2020 have continued to accelerate in 2021,” said Ben Brudney, a director in the real estate group at KKR. “We are excited to further grow our footprint in the market with the addition of this portfolio. Phoenix is an important market for us as we continue to expand in 2021 and beyond.”
