Kennedy Wilson completes $1.8bn portfolio purchase

After completing the first phase of the transaction in October, the Beverly Hills-based global real estate firm has completed the second and final phase of its acquisition of a loan portfolio from the Bank of Ireland.

Kennedy Wilson has finalised its acquisition of a UK-based loan portfolio from the Bank of Ireland for $1.8 billion. According to the Beverly Hills-based global real estate investment firm, the purchase occurred in two phases, with $1.4 billion closed on 21 October and $400 million closed on 5 December. Most of the loans in the portfolio are secured by Class A office, multifamily and retail properties in London.
Following the close of what Kennedy Wilson's chief executive officer William McMorrow has called a “landmark deal,” the firm now has approximately $4.5 billion of assets under management in Europe, as well as 18 professionals in Dublin and London.

Mary Ricks, executive vice chair of Kennedy Wilson, said in a statement: “We have been able to add key members to our team of talented and experienced executives in Europe who are dedicated to developing and growing our platform.” After the first phase of closing in October, Ricks had said that she hopes the closing of this deal will help “the company's further expansion in Europe”.

The purchase of the portfolio follows Kennedy Wilson's announcement in June that it was acquiring Bank of Ireland Real Estate Investment Management, a €1.6 billion ($2.3 billion) real estate investment platform.

With its institutional partners, Kennedy Wilson has acquired roughly $5.1 billion of real estate and real estate-secured debt through joint venture and consolidated investments since the beginning of 2010. The estimated value of the firm’s assets under management currently is more than $12 billion.