KBS Strategic Opportunity REIT II is a non-traded real estate investment trust (REIT) focused on acquiring an investment portfolio with capital appreciation as the primary goal. These investments may consist of opportunistic or value-added real estate, distressed debt or other real estate-related investments in the United States and Europe.
The company employs a “Buy/Improve/Sell” strategy to identify value opportunities and drive total return by repositioning properties through improvements and additional lease-up after acquiring them. Favorable interest rates create an opportunity to acquire properties with marginally higher cost basis and higher occupancies than distressed assets, but with the potential to increase yields through a combination of additional lease-up, increases in rental rates and building improvements. KBS Strategic Opportunity REIT I has been one of the most successful strategies employed by South Coast over the last several years and REIT II looks to continue to capitalize on these special situations.