KKR Acquires Phoenix’s The District at Scottsdale

Rhea-AI Summary

KKR has announced the acquisition of The District at Scottsdale, a 332-unit Class A residential building, enhancing its residential portfolio in the Phoenix area to over 2,600 units valued at approximately $650 million. This acquisition is part of KKR's strategy to invest in high-growth markets, with a total of $1.2 billion allocated to Class A apartments in the last 10 months. RPM Living will manage the property, which is situated in a prime location near upscale shopping and dining, signifying KKR's commitment to the Phoenix market.

Positive

• Acquisition of The District at Scottsdale adds 332 units to KKR's portfolio.
• KKR's residential footprint in Phoenix expands to over 2,600 units.
• Total investment of $1.2 billion in Class A apartments in the last 10 months.
• Property located in a prime, high-growth lifestyle hub of Scottsdale, enhancing attractiveness.

Negative

• None.

KKR, a leading global investment firm, today announced the acquisition of The District at Scottsdale, a 332-unit Class A residential building. Constructed in 2019, The District in Scottsdale is located in the heart of Scottsdale’s premier lifestyle hub, directly adjacent to the dining, shopping and entertainment options of Scottsdale Quarter and Kierland Commons. RPM Living will continue to manage the property.

The purchase grows KKR’s residential real estate footprint in the Phoenix metropolitan area to more than 2,600 units and approximately $650 million of value. Including The District at Scottsdale, KKR has acquired approximately $1.2 billion of Class A apartments for its core plus real estate strategy over the last 10 months with a focus on dynamic, high-growth markets across the United States.

“The District at Scottsdale is well positioned with a great location and world class amenities, supporting Phoenix’s continued growth as a leading destination to live and work,” said Michael Friedland, Managing Director at KKR. “We are excited to deepen our commitment to the Phoenix market with the addition of this trophy asset to our core plus real estate portfolio.”

Since launching a dedicated real estate platform in 2011, KKR has grown its real estate assets under management to approximately $28 billion across the U.S., Europe and Asia Pacific as of March 31, 2021. KKR’s global real estate team consists of over 110 dedicated investment professionals, spanning both the equity and credit business, across 11 offices and eight countries.

About KKR

KKR is a leading global investment firm that offers alternative asset management and capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of The Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR_Co.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210712005238/en/

FAQ

What is the value of KKR's acquisition of The District at Scottsdale?

The District at Scottsdale was acquired as part of KKR's strategy and increases its residential portfolio value in Phoenix to approximately $650 million.

How many units does KKR now own in the Phoenix area?

With this acquisition, KKR's residential real estate footprint in the Phoenix metropolitan area exceeds 2,600 units.

What is KKR's investment strategy with this acquisition?

KKR's investment strategy focuses on acquiring high-quality Class A apartments in dynamic, high-growth markets across the United States.

Who will manage The District at Scottsdale after the acquisition by KKR?

RPM Living will continue to manage The District at Scottsdale following the acquisition.