Kennedy Wilson and Security Benefit have formed a new joint venture targeting stabilized, income producing, high-quality real estate investment. Initially, the joint venture plans to execute $500 million in acquisitions throughout the Western US.

The joint venture has already made its first acquisition, Sunset North, an institutional quality, three-building campus in Bellevue, Washington, for $227 million. The Joint Venture invested $77 million of equity, including $15 million of equity from Kennedy Wilson, and secured a 10-year, fixed rate, interest only loan for $150 million at 3.25%.

Kennedy Wilson will serve as asset manager and plans to invest alongside Security Benefit with a 20% interest in the investments of the joint venture and will earn customary fees.