KKR Invests $475 Million in Alexandria's Campus Point Life Science Megacampus in San Diego
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KKR (NYSE: KKR) has made a $475 million joint venture investment in Alexandria Real Estate Equities' (NYSE: ARE) Campus Point life science campus in San Diego, acquiring a minority interest in the nearly 2 million-square-foot property as Alexandria seeks additional capital for development and portfolio investments. The transaction gives capital accounts advised by KKR a 49% noncontrolling equity interest in Alexandria's Campus Point investment entity, representing approximately 28.5% indirect ownership in the underlying property joint venture. Alexandria will retain control of the underlying joint venture and continue managing the campus's operations, leasing and development activities. The investment provides Alexandria with long-term capital to support ongoing development, tenant leasing and property improvements while allowing the real estate investment trust to retain its controlling position in one of its major San Diego life science properties. Campus Point is located in San Diego's University Town Center submarket, near the University of California San Diego, the Salk Institute and Scripps Research. The property is part of Alexandria's Megacampus portfolio, which consists of large-scale life science and advanced technology developments designed to accommodate research, laboratory and related commercial operations. Campus Point's tenants include Novartis, Bristol...
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