KKR said Wednesday that it has acquired Three Piper Ranch, an industrial distribution property in San Diego, California.
The property, consisting of two buildings totaling approximately 330,000 square feet, expands KKR’s industrial real estate footprint in Southern California to approximately 2.4 million square feet.
“We are excited to supplement our footprint in Southern California with the addition of this high quality asset,” said Ben Brudney, a Director in the Real Estate group at KKR. “We continue to like the long-term supply demand fundamentals in San Diego.”
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The newly acquired property was built in 2007 and features 32’ clear heights. It is located in the Otay Mesa submarket of San Diego with excellent access to SR-125, SR-905, I-805 and I-5. The property was 100% leased at acquisition to five separate tenants.
KKR purchased the property from Zurich Alternative Asset Management, LLC and CBRE Capital Markets helped to broker the sale.
KKR is making the investment through its Real Estate Partners Americas II Fund. Across its funds, KKR owns nearly 32 million square feet of industrial property in strategic locations across major metropolitan areas in the U.S.