BEVERLY HILLS, CA - International real estate investment and services firm Kennedy Wilson announced that it and its partners acquired a portfolio of 19 real estate loans with an unpaid principal balance of $82.5 million. The loans are all secured by real estate located primarily in Southern California. This transaction brings the company's total note acquisitions over the past 12 months to $653 million of unpaid principal balance. The aggregate purchase price on these notes totals $402 million, or 62% of the unpaid principal balance.
Source: Kennedy Wilson
"Since relaunching our debt buying business less than a year ago, we have made great strides in note acquisitions and settlements so far in this cycle," stated Mary Ricks, executive vice chair of Kennedy Wilson. "Our progress on the loan collections is going well, and we expect to generate significant profits through additional recoveries over the next 18 months."
The average leverage utilized on the purchases is 63%, and Kennedy Wilson's share of the equity in the notes purchased over the past 12 months is approximately 34%. In addition to its 34% ownership of the notes, Kennedy Wilson, in most cases, also has a promoted interest in the profits generated from these investments.
Founded in 1977, Kennedy Wilson is an international real estate investment and services company headquartered in Beverly Hills, CA with 21 offices in the U.S. and Japan. The company offers a comprehensive array of real estate services including property and asset management, brokerage and auction services, and construction and trust management. Through its fund management and separate account businesses, Kennedy Wilson is a strategic investor and manager of real estate investments in the U.S. and Japan.