KKR Buys Five Sunbelt Self-Storage Assets for $98M

The properties are located in Phoenix, Dallas, San Antonio and Palm City, Fla

Strong population growth and in-migration across the Sunbelt markets continue to fuel interest by leading real estate firms wanting in on self-storage facilities.

KKR acquired five new self-storage properties totaling approximately 4,100 units from four different sellers through three deals for an aggregate purchase price of approximately $98 million.

The properties are located in Phoenix, Arizona; Dallas, Texas; San Antonio, Texas; and Palm City, Fla., and are expected to bring “outsized demand over the medium to long term,” according to a release.

The purchases were made through KKR’s Americas opportunistic equity real estate fund, KKR Real Estate Partners Americas III.

Earlier this week, GlobeSt reported that self-storage owner and manager Storage Post reached an agreement with a fund sponsored by Almanac Realty Investors, a business unit of Neuberger Berman, to provide up to $500 million of capital to further the Storage Post growth strategy. 

The capital will allow Storage Post to accelerate its proven platform investment strategy of acquiring self-storage assets in the most attractive markets in the US.