KKR Real Estate Select Trust I, a subsidiary of KKR, has acquired a portfolio of core medical office buildings and ambulatory surgery centers located in seven Sun Belt states. The financial terms were not disclosed.
The portfolio was assembled by Montecito Medical and FCA Partners, a real estate investment management company. The transaction will recapitalize the portfolio with Montecito Medical, retaining its interest in and operational responsibility for the properties.
The purchase marks KREST’s first acquisition of core healthcare real estate assets, further diversifying the fund’s portfolio after its recent first-time multifamily property investment, as well as its first international property acquisition. The investment aligns with KREST’s focus on thematically driven, stabilized, income-generating commercial real estate, which is one of the fund’s three primary investment strategies.
The portfolio consists of 15 outpatient medical office buildings
