KKR & Co., the private-equity firm run by Henry Kravis and George Roberts, formed a joint venture with Hines to develop a master-planned business park in Houston as it seeks to expand in real estate deals.
The partnership will build the Pinto Business Park, owned by Pinto Realty Partners, a subsidiary of Cockrell Interests Inc., KKR said in a statement today. Roads and drainage are already designed for the 971-acre (392-hectare) property, Houston’s largest development-ready business park.
The transaction is the fourth this year for KKR’s real estate team. The private-equity firm, which last year hired former Goldman Sachs Group Inc. executive Ralph Rosenberg as its first head of real estate, earlier this month joined with two other companies to buy the management business of Sunrise Senior Living Inc. for $130 million as part of Heath Care REIT Inc.’s acquisition of the senior-housing owner.
“Pinto Business Park will offer manufacturing clients the benefits of a large-scale, controlled business-park setting, and distribution clients the benefit of a second-to-none location,” Palmer Letzerich, managing director at Hines, a Houston-based property investor, said in the statement.