KW Europe Unit Nabs Portfolio Group for $1.16 B

LONDON—Global real estate investment and services firm Kennedy Wilson says its Europe Real Estate plc, has acquired three portfolios in London and Ireland and a stand-along Dublin property for a total consideration of approximately $1.16 billion (£685M). The price including approximately $342 million (£202M) of assumed non-recourse debt.

The deal includes the Fordgate Jupiter Portfolio in the UK, the Central Park and Opera property portfolios in Ireland and the Liffey Trust Building in Dublin.

“The successful completion of these significant acquisitions represents excellent progress towards our goal of building a large-scale and diverse portfolio, with numerous active asset management and value-add opportunities,” said Mary Ricks, president and CEO of Kennedy Wilson Europe. “We are pleased with the high quality of assets that now comprise our investment portfolio and the timing of our acquisitions at this point in the property cycle.”

Since its IPO in February, Kennedy Wilson Europe Real Estate plc has acquired real estate and real estate loans for a total purchase price in excess of $1.7 billion (£1B) . Following the completion of the recent acquisitions, Kennedy Wilson Europe Real Estate plc has now invested, or committed to invest, over 85% of the net cash proceeds received from its IPO in February of this year. Kennedy Wilson Europe Real Estate plc will target an LTV ratio of 50%, and currently has approximately $342 million (£202M) of assumed non-recourse debt.

Kennedy Wilson is the investment manager and a 13.2% shareholder in Kennedy Wilson Europe Real Estate plc (which includes 1.0% purchased subsequent to the IPO). In exchange for its services as investment manager, Kennedy Wilson is entitled to receive management fees as well as performance fees based upon annual asset appreciation.