Warehouses purchased through KKR Real Estate Partners Americas III fund.

Global investment firm KKR added to its Central Florida industrial holdings with the acquisition of four warehouses in the middle of the Tampa and Orlando markets.

The industrial assets are located at the intersection of Interstate 4 and Route 27, near Deen Still Road and Waverly Barn Road. The properties sold for approximately $140 million. The fully leased warehouses comprise 1.2 million square feet of space about 25 miles south of Orlando.

The tenants are high-quality, investment-grade public companies and regional market leaders, KKR said in a press release.

KKR has acquired an industrial portfolio in Central Florida between Tampa and Orlando. (KKR)

KKR acquired the portfolio through its KKR Real Estate Partners Americas III fund. The $4.3 billion fund closed in 2021 and targets diversified real estate assets primarily in the United States.

The four new industrial sites have boosted KKR’s total warehouse acquisitions to just under 8 million square feet of space throughout the country since the beginning of the year.

“We believe that prime transit-adjacent distribution locations in southwest Orlando continue to benefit from strong demand drivers and limited new supply,” said Ben Brudney, a managing director of KKR’s real estate group, in the release.

The I-4 corridor sees about 200,000 daily drivers along the 86-mile stretch between Tampa and Orlando and connects the two region's seaports and airports. The area's location has led to increased industrial development and investor interest over the past few years, particularly around Lakeland, Polk County's largest city and just 35 miles south of KKR's latest acquisition.

As of June 2024, KKR has invested $75 billion in real estate globally, according to its website. The company offers alternative asset management services in addition to capital markets and insurance solutions.