U.K.-based Bridgepoint Group has entered the U.S. real estate market. 

The middle-market investor announced Monday an agreement to buy Kayne Anderson Real Estate, a Boca Raton, Fla.-based real estate investment platform, at an upfront enterprise value of approximately $1.4 billion.

The cash-and-stock deal comprises $759 million in cash and roughly $189 million in newly issued Bridgepoint shares. The move is expected to strengthen Bridgepoint’s position with a new real estate vertical while expanding its U.S. footprint. 

Kayne Anderson reports $22 billion of real estate debt and equity under management. The platform focuses on specialist sectors like medical office, senior housing, student housing, multifamily housing and light industrial across the U.S. 

Bridgepoint’s combined platform with Kayne Anderson will total approximately $117 billion in assets under management and span five verticals, adding real estate to private equity, credit, infrastructure and secondaries.

The agreement follows Bridgepoint’s prior acquisitions of EQT Credit, Energy Capital Partners and Newbury Partners.

“This marks another major step forward in our strategy to strengthen our position as a leading global middle-market private markets platform,” Raoul Hughes, Bridgepoint’s CEO, said in a statement. “Real estate is a growing private markets asset class, and Kayne Anderson Real Estate has built a leading position as a scaled specialist with an exceptional track record and strong fundraising momentum.”

Kayne Anderson’s latest flagship fund raised $5.12 billion, double the size of the previous fund, in May of this year. The real estate investment platform earlier this month partnered with BKM Capital Partners to acquire a 8.5 million-square-foot light industrial portfolio from Blackstone’s Link Logistics.

The business will operate as Bridgepoint’s specialist real estate platform and be managed under the new Kayne Bridgepoint brand by Al Rabil, Kayne’s co-founder and CEO, and David Selznick, its chief investment officer.

“We are in the beginning of a super cycle for the alternative real estate sectors on which we focus, and joining together with Bridgepoint provides additional global resources to capitalize on this opportunity and support our continued growth,” Rabil said in a statement. 

Moelis & Company served as Bridgepoint’s lead financial adviser in the acquisition, alongside Goldman Sachs as capital markets adviser and Simpson Thacher & Bartlett as legal adviser. BNP Paribas, J.P. Morgan and Morgan Stanley are acting as Bridgepoint’s joint corporate brokers. Kayne Anderson Real Estate was advised on the financial side by Evercore, with legal support from Kirkland & Ellis.

The acquisition is expected to complete at the end of 2026. 

Emily Davis can be reached at edavis@commercialobserver.com.

Keywords: Al Rabil, David Selznick, Raoul Hughes, BNP Paribas, Bridgepoint Group, Evercore, Goldman Sachs, J.P. Morgan, Kayne Anderson Real Estate, Kirkland & Ellis, Moelis & Company, Morgan Stanley, Simpson Thacher & Bartlett