PE firm KKR snaps up 2.7 million sq ft logistics portfolio
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US private equity firm KKR has acquired a 2.7 million sq ft portfolio of eight UK logistics sites from Ares Real Estate funds. The portfolio comprises assets across established distribution markets in the Midlands, South East and North of England, including Corby, Doncaster, Stoke-on-Trent and Milton Keynes. It is fully occupied, with a weighted average lease term to break of nine years across a diversified tenant base. Approximately 60 per cent of the rent roll is derived from investment-grade tenants or subsidiaries of investment-grade parent companies. Mai-Lan de Marcilly, co-head of European Real Estate Equity at KKR, said: "We continue to see strong fundamentals in UK logistics, underpinned by resilient occupier demand and constrained supply in key markets. "With its combination of durable income and meaningful growth potential, this portfolio represents the type of opportunity KKR's diversified pools of capital are well positioned to pursue." KKR made the purchase with Mirastar, KKR Real Estate's industrial and logistics platform in Europe. Ekaterina Avdonina, chief executive and co-founder at Mirastar, said: "This portfolio broadens Mirastar's presence across several important UK logistics markets, adding a high-quality group of assets to our growing European platform. "We see clear opportunities to apply Mirastar's operating capabilities across the portfolio to drive...
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