Fukuzaki-Carlson Kristina sold $849K of ARE

KKR (NYSE:KKR) invested $475M in Alexandria Real Estate Equities' (NYSE:ARE) San Diego life science campus, acquiring a 49% stake. The deal provides capital for development and leasing. Campus Point, with tenants like Novartis and Bristol Myers Squibb, has 98% of rental revenue under long-term leases. Alexandria retains control of operations.

KKR acquired the Campus Point Megacampus in San Diego for $475 million. Tenants include Eli Lilly, Novartis, and Bristol Myers Squibb. Alexandria Real Estate Equities, the seller, will use proceeds to optimize capital structure and support future investments. KKR and Alexandria are publicly traded (KKR, ARE).

Alexandria Real Estate (ARE) reported Q3 2026 earnings with a net loss of $3.74 per share due to $637.9M in real estate impairment charges. FFO per share was $1.54, down from $2.22 YoY. Leasing volume reached 1.2M RSF, the highest in seven quarters. The company completed $2.6B in asset dispositions, exceeding guidance. Management expects temporary occupancy pressure in early 2027 and negative same-property NOI performance.

Alexandria Real Estate Equities (ARE) sold stakes in its life sciences campuses, including a 29% stake in Campus Point (San Diego) for $475M, due to market downturn. The company reported a $638.5M Q3 loss, declining rents, and forecast lease expirations. ARE raised $1B in debt and expects to meet sales targets. Occupancy slightly improved to 87.1%.

Alexandria Real Estate Equities (ARE) reported leasing 1.2M sq ft in Q3, aiming for 1.25M sq ft in Q4. The company targets 5.6x–6.2x year-end leverage and reaffirmed $6.40 2026 FFO per share midpoint.

Alexandria Real Estate Equities (ARE) anticipates temporary occupancy pressure in early 2027 due to 1.4M sq ft of lease expirations, totaling $101M in expiring rent. Over 60% of 2027 lease rollovers are in discussions. The company expects occupancy growth in 2028 and negative same-property performance in 2027. ARE is pursuing advanced technology tenants and reduced its development pipeline by 50%. It completed $1.7B in capital activity, including asset sales and a $1B note offering.