(By Balaseshan) Kennedy-Wilson Holdings Inc. (NYSE: KW), a real estate investment and services firm, said it has purchased Harrington Square, a 217-unit multifamily community in Renton, Washington for $41 million.
The company bought the property for $41 million, investing $15 million of equity in the transaction with Fannie Mae providing $26 million of financing at 3.35%, fixed for ten years. Kennedy Wilson previously owned the loan on the property, purchasing it at a discount in September of this year.
With the addition of Harrington Square, the company now owns nine apartment communities in the Pacific Northwest market, for a total of more than 3,000 units.
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Built in 2011, the property is a core asset in north Renton, appealing to professionals in Bellevue, Kent Valley and downtown Seattle. It offers convenient access to the I-90 corridor, which is home to companies such as Microsoft, Costco World Headquarters, Siemens and Farmers Regional Headquarters.
"This transaction exemplifies Kennedy Wilson's ability to source off market deals and utilize the various areas of expertise within the company. We were able to purchase the debt on the property at a discount, work out a deal directly with the borrower to purchase the property and secure financing in less than 90 days," said Matt Windisch, executive vice president of Kennedy Wilson.
Kennedy Wilson, together with its institutional partners, has acquired about $7.0 billion of real estate and real estate related debt since the beginning of 2010. The company's multifamily portfolio in the U.S., Ireland and Japan totals 14,830 units.
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KW is trading up 0.23% at $13.19 on Friday. The stock has been trading between $10.42 and $14.85 for the past 52 weeks.