{"id":1004166300,"date":"2017-02-08T04:48:10","date_gmt":"2017-02-08T12:48:10","guid":{"rendered":"https:\/\/www.commercialsearch.com\/news\/?p=1004166300"},"modified":"2022-12-08T23:11:52","modified_gmt":"2022-12-09T07:11:52","slug":"bkm-launches-value-add-fund-targets-300m-in-equity","status":"publish","type":"post","link":"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/","title":{"rendered":"BKM Launches Value-Add Fund, Targets $300M in Equity"},"content":{"rendered":"

By Gail Kalinoski<\/p>\n

\"Brian<\/a>

Brian Malliet, BKM Capital Partners<\/p><\/div>\n

Orange County, Calif<\/strong>.\u2014Nearly one year after closing its debut fund, BKM Capital Partners, a California-based fund manager, has launched its second value-add institutional fund focusing on multi-tenant industrial assets. BKM Industrial Value Fund II LP will target $300 million in equity commitments and deliver $850 million in buying power.<\/p>\n

The fund will invest in the acquisition, improvement and repositioning of undervalued multi-tenant light industrial and small and mid-bay industrial warehouse properties in the Western U. S. to drive maximum value.<\/p>\n

\u201cThere is a disconnect in the market in our niche asset class that has allowed us to consistently acquire these properties at a significant discount to replacement cost and peak pricing,\u201d Brian Malliet, CEO & co-founder of BKM Capital Partners in Newport Beach, Calif., said in a prepared statement. \u201cWe have a deep pipeline of opportunities, which is why we have more than doubled our target equity goal for Fund II.\u201d<\/p>\n

Malliet and Nima Taghavi, who both have more than 25 years of experience in commercial real estate, founded BKM Capital Partners in 2013. A year ago, BKM announced the close of BKM Industrial Value Fund I LP<\/a>,\u00a0which raised more than $105 million in fund equity. It had $30 million in co-investment equity for a total of $135 million. BKM has already closed more than $340 million in transactions, recently bringing its first three Fund I assets full cycle, achieving IRRs above 38 percent on each asset and multiples ranging from 2.0-2.5, according to the firm.<\/p>\n

\u201cThe key to our platform\u2019s success is our specific focus on multi-tenant light industrial assets, a strict underwriting discipline with a meaningful amount of margin of safety in all of our assumptions and an intensely hands-on approach with our asset management and property management,\u201d Taghavi, co-founder & executive chairman, said in prepared remarks.<\/p>\n

Taghavi said Fund II will follow a similar strategy, targeting assets with significant value-add opportunities over the fund\u2019s five-year term. The BKM co-founders said their experience in this niche is an advantage that gives them insight into a deep pipeline of opportunities.<\/p>\n

\u201cAs specialized operators, we understand what works in these properties, and we know exactly how to execute,\u201d Malliet said. \u201cFurther, our deep broker relationships enable us to review off-market properties regularly, giving us the ability to create significant value by acquiring assets well below replacement cost and peak pricing.\u201d<\/p>\n

BKM\u2019s portfolio currently comprises 18 properties in four states and includes assets in Las Vegas, Seattle and Phoenix. The firm plans to continue its focus on the Western U.S. In addition to its new headquarters in Newport Beach, the firm\u2014which has tripled in size in the past year\u2014has offices in Seattle, Phoenix and Las Vegas.<\/p>\n

In November, BKM made its 18th<\/sup> acquisition, purchasing Andover Executive Park<\/a>, an 11-building, multi-tenant industrial business park with 181,163 square feet in Tukwila, Wash., for $19.8 million. Also in Tukwila, the firm acquired Tukwila Commerce Center,<\/a> an industrial park with 27 buildings and a total of 476,765 square feet of space, for $45.2 million in August. Earlier in the summer, BKM bought a five-building industrial campus, Tempe Commerce Park<\/a>, in Phoenix, for $58 million. It was the 10th<\/sup> acquisition in the Phoenix MSA for BKM.<\/p>\n

Last month, BKM announced it had sold the first three<\/a> multi-tenant industrial business parks in the debut fund\u2014a 223,009-square-foot multi-tenant industrial building and a 137,603-square-foot industrial complex, both in Las Vegas, as well as a 98,516-square-foot business park in Portland.<\/p>\n","protected":false},"excerpt":{"rendered":"

The California-based company is aiming for a total of $850 million in buying power.<\/p>\n","protected":false},"author":1068,"featured_media":1004166301,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21808,21825,21748,21783,1594,21742,15],"tags":[33648,33895,33896],"class_list":["post-1004166300","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-featured","category-finance","category-industrial","category-investment","category-los-angeles","category-latest","category-west","tag-bkm-capital-partners","tag-brian-malliet","tag-nima-taghavi"],"acf":[],"yoast_head":"\nBKM Launches Value-Add Fund, Targets $300M in Equity - Commercial Property Executive<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"BKM Launches Value-Add Fund, Targets $300M in Equity\" \/>\n<meta property=\"og:description\" content=\"The California-based company is aiming for a total of $850 million in buying power.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/\" \/>\n<meta property=\"og:site_name\" content=\"Commercial Property Executive\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/CPExecutive\" \/>\n<meta property=\"article:published_time\" content=\"2017-02-08T12:48:10+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2022-12-09T07:11:52+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2017\/02\/Brian-Malliet-e1486556653513.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1089\" \/>\n\t<meta property=\"og:image:height\" content=\"818\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Gail Kalinoski\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@cpexecutive\" \/>\n<meta name=\"twitter:site\" content=\"@cpexecutive\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/\",\"name\":\"BKM Launches Value-Add Fund, Targets $300M in Equity - Commercial Property Executive\",\"isPartOf\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2017\/02\/Brian-Malliet-e1486556653513.jpg\",\"datePublished\":\"2017-02-08T12:48:10+00:00\",\"dateModified\":\"2022-12-09T07:11:52+00:00\",\"author\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/fc5b5df1393e5023d2417bd48c2fda57\"},\"breadcrumb\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/#primaryimage\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2017\/02\/Brian-Malliet-e1486556653513.jpg\",\"contentUrl\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2017\/02\/Brian-Malliet-e1486556653513.jpg\",\"width\":1089,\"height\":818,\"caption\":\"Brian Malliet, BKM Capital Partners\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.commercialsearch.com\/news\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"BKM Launches Value-Add Fund, Targets $300M in Equity\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#website\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/\",\"name\":\"Commercial Property Executive\",\"description\":\"\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.commercialsearch.com\/news\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/fc5b5df1393e5023d2417bd48c2fda57\",\"name\":\"Gail Kalinoski\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/04\/Gail-Kalinoski-headshot.jpeg?w=86\",\"contentUrl\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/04\/Gail-Kalinoski-headshot.jpeg?w=86\",\"caption\":\"Gail Kalinoski\"},\"description\":\"Kalinoski has been a contributing writer to Commercial Property Executive and Multi-Housing News since 2010 and previously wrote for three years for Commercial Property News. Gail has been a freelance writer and editor for more than 20 years, contributing to daily websites, magazines, weekly business newspapers, market intelligence newsletters, research reports, monthly B-to-B and consumer magazines. Earlier in her career, Gail worked for Gannett Corp. as an editor and reporter for 15 years. Gail has a bachelor\u2019s degree in journalism from Pace University.\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/author\/gail-kalinoski\/\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"BKM Launches Value-Add Fund, Targets $300M in Equity - Commercial Property Executive","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/","og_locale":"en_US","og_type":"article","og_title":"BKM Launches Value-Add Fund, Targets $300M in Equity","og_description":"The California-based company is aiming for a total of $850 million in buying power.","og_url":"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/","og_site_name":"Commercial Property Executive","article_publisher":"https:\/\/www.facebook.com\/CPExecutive","article_published_time":"2017-02-08T12:48:10+00:00","article_modified_time":"2022-12-09T07:11:52+00:00","og_image":[{"width":1089,"height":818,"url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2017\/02\/Brian-Malliet-e1486556653513.jpg","type":"image\/jpeg"}],"author":"Gail Kalinoski","twitter_card":"summary_large_image","twitter_creator":"@cpexecutive","twitter_site":"@cpexecutive","schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/","url":"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/","name":"BKM Launches Value-Add Fund, Targets $300M in Equity - Commercial Property Executive","isPartOf":{"@id":"https:\/\/www.commercialsearch.com\/news\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/#primaryimage"},"image":{"@id":"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/#primaryimage"},"thumbnailUrl":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2017\/02\/Brian-Malliet-e1486556653513.jpg","datePublished":"2017-02-08T12:48:10+00:00","dateModified":"2022-12-09T07:11:52+00:00","author":{"@id":"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/fc5b5df1393e5023d2417bd48c2fda57"},"breadcrumb":{"@id":"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/#primaryimage","url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2017\/02\/Brian-Malliet-e1486556653513.jpg","contentUrl":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2017\/02\/Brian-Malliet-e1486556653513.jpg","width":1089,"height":818,"caption":"Brian Malliet, BKM Capital Partners"},{"@type":"BreadcrumbList","@id":"https:\/\/www.commercialsearch.com\/news\/bkm-launches-value-add-fund-targets-300m-in-equity\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.commercialsearch.com\/news\/"},{"@type":"ListItem","position":2,"name":"BKM Launches Value-Add Fund, Targets $300M in Equity"}]},{"@type":"WebSite","@id":"https:\/\/www.commercialsearch.com\/news\/#website","url":"https:\/\/www.commercialsearch.com\/news\/","name":"Commercial Property Executive","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.commercialsearch.com\/news\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/fc5b5df1393e5023d2417bd48c2fda57","name":"Gail Kalinoski","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/image\/","url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/04\/Gail-Kalinoski-headshot.jpeg?w=86","contentUrl":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2023\/04\/Gail-Kalinoski-headshot.jpeg?w=86","caption":"Gail Kalinoski"},"description":"Kalinoski has been a contributing writer to Commercial Property Executive and Multi-Housing News since 2010 and previously wrote for three years for Commercial Property News. Gail has been a freelance writer and editor for more than 20 years, contributing to daily websites, magazines, weekly business newspapers, market intelligence newsletters, research reports, monthly B-to-B and consumer magazines. Earlier in her career, Gail worked for Gannett Corp. as an editor and reporter for 15 years. Gail has a bachelor\u2019s degree in journalism from Pace University.","url":"https:\/\/www.commercialsearch.com\/news\/author\/gail-kalinoski\/"}]}},"jetpack_featured_media_url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2017\/02\/Brian-Malliet-e1486556653513.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts\/1004166300","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/users\/1068"}],"replies":[{"embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/comments?post=1004166300"}],"version-history":[{"count":1,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts\/1004166300\/revisions"}],"predecessor-version":[{"id":1004614519,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts\/1004166300\/revisions\/1004614519"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/media\/1004166301"}],"wp:attachment":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/media?parent=1004166300"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/categories?post=1004166300"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/tags?post=1004166300"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}