KKR further expands industrial real estate portfolio in Phoenix

KKR has acquired two multi-tenant industrial buildings totaling about 154,000 square feet in the Papago industrial park, located in the Southwest Valley submarket of Phoenix, Ariz.

The financial terms and the seller were not disclosed.

The transaction grows KKR’s industrial real estate footprint in the Phoenix metropolitan statistical area (MSA) to nearly 2.5 million square feet.

The property consists of two multi-tenant buildings completed in 1997. Located close to Interstate 10, a major cross-country trucking artery, it offers direct access to downtown Phoenix in about 10 minutes. Each building was 100 percent leased at acquisition with a weighted average lease term of about two years. KKR acquired the asset from Mountain West Industrial Properties, an affiliate of Baron Properties.

“We are excited to grow our portfolio in Phoenix with the purchase of these two strategically located infill buildings,” said Ben Brudney, a director in the real estat