Firm Closes on Two Real Estate Transactions in the Greater Seattle Region

NEW YORK–(BUSINESS WIRE)–Dec. 23, 2019– KKR, a leading global investment firm, today announced the closing of two real estate transactions totaling over $1.2 billion located in the greater Seattle region, including the Summit located in downtown Bellevue and the F5 Tower in downtown Seattle.

The Summit is a 915,000-square-foot Class A office complex in the Bellevue central business district. The complex is 99% leased, and is comprised of two existing LEED Platinum office buildings and a third building currently under construction, expected to be completed in Q3 2020. The properties are well located in the heart of the central business district, one block from the Bellevue Transit Center and the Bellevue Downtown Light Rail Station opening in 2023.

F5 Tower is a recently completed 43-story tower in the Seattle central business district, which includes the 100% leased 516,000-square-foot office condominium acquired by KKR alongside a separate 189-room luxury hotel. The property is architecturally significant to the Seattle skyline and home to F5 Networks as their global headquarters.

“We are excited to be making these two real estate investments in the Puget Sound Region, a market we believe has attractive long-term growth driven by a highly educated employee base, attractive cost of living relative to other top tier markets in the U.S. and high-quality of life,” said Justin Pattner, KKR’s Head of Real Estate Equity in the Americas. “The region is the headquarters to several of the world’s largest companies, and has recently attracted others to build a significant presence in the region. We are looking forward to growing our own presence there with these transactions.”

The buildings will be operated by Urban Renaissance Group, a Seattle based real estate investor, developer, and manager of real estate, who assisted with the acquisitions.

Since launching a dedicated real estate platform in 2011, KKR has invested or committed approximately $9 billion in capital across over 200 real estate transactions in the U.S., Europe and Asia as of September 30, 2019. KKR’s global real estate team consists of over 85 dedicated investment professionals, spanning both the equity and credit businesses.

These investments are being funded by accounts co-advised by KKR and KKR’s balance sheet.

About KKR

KKR is a leading global investment firm that manages multiple alternative asset classes, including private equity, energy, infrastructure, real estate and credit, with strategic partners that manage hedge funds. KKR aims to generate attractive investment returns for its fund investors by following a patient and disciplined investment approach, employing world-class people, and driving growth and value creation with KKR portfolio companies. KKR invests its own capital alongside the capital it manages for fund investors and provides financing solutions and investment opportunities through its capital markets business. References to KKR’s investments may include the activities of its sponsored funds. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR_Co.

About Urban Renaissance Group

Urban Renaissance Group LLC is a Seattle-based full-service commercial real estate company, engaged in acquisitions, development, asset management, leasing, property management and ownership in Seattle, Bellevue, Denver and Portland. Founded in 2006, the strategic premise of URG is that the form of the American City will change dramatically during the next 20 years. The company acts as a catalyst that understands and ignites that change, thereby building community, generating appropriate returns for its investors and opportunities for its partners and employees. Learn more at www.urbanrengroup.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20191223005137/en/

Source: KKR

Media

KKR:
Kristi Huller or Cara Major
212.750.8300
Media@KKR.com

Successful completion of Selectirente’s capital increase
Paris, 17 December 2019 – Tikehau Capital, the alternative asset management and investment firm, today announced the successful completion of its listed subsidiary Selectirente’s capital increase,1 for a total of €217 million, also announcing that it now holds a 50.1% stake in the company.2
The success of this transaction confirms Selectirente’s attractive position in the real estate market, and provides the company with additional resources to finance its growth.

Selectirente is a listed real estate investment company specialised in commercial leasehold property in city centres and peripheral areas. Founded in 1997, Selectirente mainly invests in commercial property assets leased to retail tenants operating stores or boutiques, with a long-term target of generating secure rental income while optimising yields for the assets held in its portfolio. Since its inception, Selectirente has relied on the expertise of Sofidy (a subsidiary of Tikehau Capital), to which it has delegated full management of its portfolio.

Selectirente implements an ambitious development strategy with the support of Tikehau Capital, as previously announced during the public tender offer for shares and OCEANE announced by Tikehau Capital at the end of 2018. In a rapidly changing retail market, the proceeds from this capital increase will finance Selectirente’s growth strategy, which is organised along two main lines: continuing its focus on ground-floor retail premises in residential buildings, drawing on its strong track record in this area, while pursuing a second, more opportunistic, approach centred on the process of metropolisation.

Tikehau Capital took part in this capital increase with an investment of €97million, raising its stake in Selectirente to 50.1%2 (and 52.07% in concert3) thereby strengthening its expertise in a buoyant market segment, while maintaining Selectirente SIIC status.
1 Cash capital increase without preferential subscription rights and with a priority period for existing shareholders to apply for new shares, launched on 4 December 2019.
2 Of which, 37.5% held by Tikehau Capital SCA and 12.6% held by Sofidy.
3 See Selectirente’s press release dated December 16, 2019 (https://www.selectirente.com/augmentation-de-capital/)

About Tikehau Capital:
Tikehau Capital is an asset management and investment group with €24.3bn of assets under management (as at 30 September 2019) and shareholders’ equity of €3.1bn (as at 30 June 2019). The Group invests in various asset classes (private debt, real estate, private equity and liquid strategies), including through its asset management subsidiaries, on behalf of institutional and private investors. Controlled by its managers, alongside leading institutional partners, Tikehau Capital employs more than 500 staff (as at 30 September 2019) in its Paris, London, Amsterdam, Brussels, Luxembourg, Madrid, Milan, New York, Seoul, Singapore and Tokyo offices.
Tikehau Capital is listed on the regulated market of Euronext Paris, Compartment A (ISIN code: FR0013230612; Ticker: TKO.FP)
www.tikehaucapital.com

Press Contacts:
Tikehau Capital: Julien Sanson – +44 20 3821 1001
Finsbury: Arnaud Salla & Charles O’Brien – +44 207 251 3801
press@tikehaucapital.com
Shareholders and Investors Contact:
Louis Igonet – +33 1 40 06 11 11
shareholders@tikehaucapital.com

Disclaimer:
This press release is not intended for publication, dissemination, transmission or distribution directly or indirectly to or within the United States of America, Canada, Australia, Japan or any other country in which the publication, dissemination, transmission or distribution of this press release is unlawful.
This document is not an offer of securities for sale or investment advisory services. This document contains general information only and is not intended to represent general or specific investment advice. Past performance is not a reliable indicator of future results and targets are not guaranteed.
Certain statements and forecasted data are based on current expectations, current market and economic conditions, estimates, projections, opinions and beliefs of Tikehau Capital and/or its affiliates. Due to various risks and uncertainties, actual results may differ materially from those reflected or contemplated in such forward-looking statements or in any of the case studies or forecasts. All references to Tikehau Capital’s advisory activities in the US or with respect to US persons relates to Tikehau Capital North America.

New York/Bad Homburg, December 11, 2019. HQ Capital Real Estate has announced the final closing of its U.S. multifamily opportunistic real estate fund, RECAP Opportunity Fund III, with more than $255 million in total equity commitments, surpassing its target fundraising amount. The fund represents the largest individual real estate fund in the company’s 30-year history.

RECAP Opportunity Fund III continues to pursue the firm’s historical strategy of focusing on investments in ground-up development and select value-add acquisitions of multifamily properties located in growth-oriented markets throughout the United States. To date, the fund has closed on eight investments in Denver, Atlanta, Boston, Fort Worth, Tampa, Fort Lauderdale, and Houston. An additional three investments are expected to close by First Quarter 2020, with plans for the fund to be fully committed prior to the end of 2020.

“U.S. multifamily continues to offer solid risk-adjusted returns that are attractive to an increasing number of investors,” said Paul Doocy, Co-Head of HQ Capital Real Estate. “Compelling demographics, steady job growth and relative affordability are the key drivers of the success for this investment strategy.”

RECAP Opportunity Fund III is the 30th fund sponsored by HQ Capital Real Estate. The firm has successfully executed its U.S. multifamily opportunistic fund strategy since 1994, creating value by partnering with best-in-class local developers and operators to invest in Class A multifamily properties. Since its inception in 1989, HQ Capital Real Estate has invested in approximately $8.6 billion of multifamily properties.

“We are very pleased with the pace at which our capital is being deployed and the investments the fund has made to date. These investments are diversified across markets and partners, and we continue to source attractive opportunities across several markets through our extensive network,” said Jeremy Katz, Co-Head of HQ Capital Real Estate.

HQ Capital Real Estate plans to continue to focus on its multifamily strategy. “Strong U.S. economic and demographic fundamentals, which support demand for multifamily, are projected to continue. Our 30 years of experience, well-established relationships and strong track record make us a trusted and preferred partner in this space,” Mr. Katz continued.

“The U.S. real estate market has provided historically stable returns over the past three decades and is expected to continue to offer attractive return opportunities. As a specialist in U.S. multifamily real estate investments with a proven track record, HQ Capital Real Estate is well-positioned for future growth and success,” Dr. Bernd Tuerk, CEO of HQ Capital, remarked.

Paris, 2 December 2019 – Tikehau Capital, the alternative asset management and investment group, announces the acquisition of the “Atlantic Park” business park in Clamart, in the southwestern suburbs of Paris, through its pan-European Real Estate Value-Added fund.
The “Atlantic Park” consists in 5 buildings and lays on a 15,580 sqm. land plot and provides a total lettable area of 14,770 sqm. The buildings are composed of mixed area between light industrial and office space. The whole asset includes 295 underground and outside parking spaces.

The building is well located in Clamart in the Hauts-de-Seine department and in direct vicinity of the Noveos Business Park area, the second largest business park in the Hauts-de-Seine, which welcomes 10,000 workers per day. The park hosts more than an hundred companies and world-renowned blue chips including Coca-Cola, Mondelez or Renault.
Tikehau Capital’s Real Estate Value-Added fund’s sixth acquisition in 2019

This transaction is Tikehau Capital’s Real Estate Value-Added fund’s sixth investment this year following a sale & lease back operation, the acquisition of a mixed-use portfolio in Brussels, two hotels located in central Paris, and two shopping centers in the United Kingdom, in Maidenhead and Orpington. The pan-European Real Estate Value-Added fund, which was launched in 2018, invests across all Real Estate asset classes.

Tikehau Capital’s Head of Real Estate Frédéric Jariel said: “This operation is in line with the company’s acceleration of its Real Estate business and the deployment of our Value-Added fund. The acquisition of the “Atlantic Park” business park confirms our strategy to focus on assets offering great potential to unlock in attractive locations, such as the city of Clamart which is undergoing massive urbanization projects”.
Catella Asset Management advised Tikehau Capital in this operation.

About Tikehau Capital:
Tikehau Capital is an asset management and investment group with €24.3bn of assets under management (as at
30 September 2019) and shareholders’ equity of €3.1 bn (as at 30 June 2019). The Group invests in various asset
classes (private debt, real estate, private equity and liquid strategies), including through its asset management
subsidiaries, on behalf of institutional and private investors. Controlled by its managers, alongside leading
institutional partners, Tikehau Capital employs more than 500 staff (as at 30 September 2019) in its Paris, London,
Amsterdam, Brussels, Luxembourg, Madrid, Milan, New York, Seoul, Singapore and Tokyo offices.
Tikehau Capital is listed on the regulated market of Euronext Paris, Compartment A (ISIN code: FR0013230612;
Ticker: TKO.FP)

Press Contacts:
Tikehau Capital: Jawad Khatib – +33 1 40 06 11 27
Finsbury: Arnaud Salla & Charles O’Brien – +44 207 251 3801
press@tikehaucapital.com
Shareholders and Investors Contact:
Louis Igonet – +33 1 40 06 11 11
shareholders@tikehaucapital.com

DISCLAIMER:
This document are not an offer of securities for sale or investment advisory services. This document contains
general information only and is not intended to represent general or specific investment advice. Past performance
is not a reliable indicator of future results and targets are not guaranteed.
Certain statements and forecasted data are based on current expectations, current market and economic
conditions, estimates, projections, opinions and beliefs of Tikehau Capital and/or its affiliates. Due to various risks
and uncertainties, actual results may differ materially from those reflected or contemplated in such forward-looking
statements or in any of the case studies or forecasts. All references to Tikehau Capital’s advisory activities in the
US or with respect to US persons relates to Tikehau Capital North America.