Per a Bloomberg report, Kennedy-Wilson Holdings, Inc. KW, the Beverly Hills, CA-based real estate operations firm, is considering the sale of its ownership interest in 50 multifamily buildings in Japan. The company expects the proceeds generated from this divestiture to add to its financial strength.
Operating in the Japanese market since 1995, Kennedy Wilson began trading on the Tokyo Stock Exchange as Kenedix in 2002. However, in 2003, it sold its interest in Kenedix. It started building the apartment portfolio in the country in 2006.
Through the latest divestiture, Kennedy Wilson is expected to generate pretax proceeds of around 30.8 billion yen ($257 million). The transaction is expected to produce net pretax proceeds of $105–$110 million.
Kennedy Wilson is a real estate investment and services company, offering an array of services like property and asset management, brokerage and auction services, and construction and trust management. With operations spread across the U.S., the U.K., Ireland, Spain, Jersey and Japan, the company thrives on identifying, creating, seizing and maximizing real estate opportunities. The above-mentioned divestiture will help the company streamline its business as well as lend greater flexibility to its balance sheet.
Currently, Kennedy Wilson carries a Zacks Rank #3 (Hold).
Investors interested in the real estate operations industry may consider stocks like Reis, Inc. REIS, Sun Hung Kai Properties Limited SUHJY and Landmark Infrastructure Partners LP LMRK. While Reis sports a Zacks Rank #1 (Strong Buy), both Sun Hung Kai Properties and Landmark Infrastructure Partners hold a Zacks Rank #2 (Buy).
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