BKM Capital Partners and Kayne Anderson Real Estate buy Blackstone-affiliated industrial portfolio
Valued at $1.81 billion, the 8.5-million-square-foot portfolio covers small-bay industrial assets serving nearly 2,000 tenant spaces across four states.
Takeaways
- Blackstone-affiliated portfolio (275 properties, 8.5M sq ft) is a multi-tenant light industrial real estate properties.
- BKM Capital Partners and Kayne Anderson Real Estate is acquiring Blackstone-affiliated portfolio (275 properties, 8.5M sq ft).
- The target serves small business tenants in light manufacturing, distribution, services, and last-mile logistics across California, Washington, Texas, Georgia.
A 275-property, 8.5-million-square-foot portfolio of multi-tenant light industrial real estate was sold by Blackstone affiliate Link Logistics Real Estate to BKM Capital Partners and Kayne Anderson Real Estate for $1.81 billion.
The assets span 51 multi-tenant industrial properties in California, Washington, Texas and Georgia, with nearly 2,000 tenant spaces and about 90% occupancy.
Small-bay suites typically run 1,000 to 15,000 square feet and serve contractors, suppliers, local distributors, service companies and light manufacturers.
“Light industrial, particularly small- and mid-bay, has seen a surge of capital driven by the diversity of the rent roll, limited new construction, and strong rent growth potential,” said Barbara Perrier, vice chairman, National Partners Industrial & Logistics at CBRE.
The deal makes the BKM Capital Partners and Kayne Anderson Real Estate joint venture the largest U.S. owner-operator of multi-tenant small-bay industrial properties and brings the venture to 15 million square feet.
It includes eight regional offices and 40 employees in property management, leasing, construction and accounting.
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