BKM Capital Partners and Kayne Anderson Real Estate Acquire Four-Property Central Orlando Portfolio
Acquisition builds the firm’s Central Florida platform to 13 properties and more than one million square feet within two adjacent infill corridors
Orlando, FL — October 5, 2026 — BKM Capital Partners, a leading institutional fund manager and operator focused on small- and mid-bay light industrial properties, and Kayne Anderson Real Estate have acquired a four-property, 543,000-square-foot light industrial portfolio in Central Orlando. The assets sit in the 33rd Street/McLeod and Silver Star corridors and bring BKM’s Central Florida holdings to 13 properties totaling more than one million square feet.
The portfolio comprises seven buildings and 22 units and is 95% occupied, with a 4.3-year weighted average lease term (WALT). The buildings offer clear heights of 16 to 28 feet and a 1:4,000-square-foot loading ratio. Two of the four properties will join BKM’s Gridline Orlando portfolio and two will operate as standalone assets:
Gridline | District 4 (formerly 4600-4680 LB McLeod Rd.): three buildings, 208,000 square feet
Gridline | East Block (formerly 3600 Vineland Rd.): one building, 117,000 square feet
Bryn Mawr Distribution Center (formerly 3785-3831 Bryn Mawr): two buildings, 121,000 square feet
Seaboard Industrial Center (formerly 4500 Seaboard Rd.): one building, 97,000 square feet
“We had transacted with this seller before and we already knew this real estate, so we weren’t starting diligence from scratch on a portfolio this size,” said Brett Turner, Partner and Managing Director of Acquisitions & Dispositions at BKM. “These buildings were originally developed for mid-bay users, which means the specifications run ahead of what small-bay tenants usually get. Twenty-eight-foot clear on select assets is not something you find in this size range, and it is not something anyone is building new.”
Turner led the acquisition for BKM alongside Max Stone, Associate Director of Acquisitions and Dispositions. Rick Brugge, Vice Chair with Cushman & Wakefield, marketed the portfolio on behalf of the seller.
BKM entered Florida in 2025 with the purchase of five parks in the same submarket that it rebranded as Gridline Orlando. This acquisition expands that portfolio to 11 properties totaling 815,000 square feet across 13 buildings.
“We’ve spent the past year leasing the Gridline assets a few blocks from these buildings, so this plan is grounded in what we’re seeing firsthand,” said Mason Waite, Partner and Managing Director of Asset Management at BKM. “Smaller, well-configured suites are moving quickly there and rents have followed, while what is on these rent rolls today sits below that. Reconfiguring larger spaces as they come available is how we close that gap, and running this much space in one submarket means we usually hear about where demand is headed before it reaches the broader market.”
BKM has developed an extensive capital improvement plan to revitalize the asset, with planned work including roof and HVAC replacements, exterior painting, water-efficient landscaping, parking lot repairs and upgraded building and tenant signage. The firm will also reconfigure larger spaces as they become available, increasing unit count across the four properties from 22 to approximately 30 and reducing office buildout across the assets.
“Orlando’s industrial market has been remarkably steady for a market growing this quickly, averaging 5% vacancy and 7% annual rent growth over the past decade and through more than one cycle,” said Brian Malliet, BKM’s Founder, CEO and Chief Investment Officer. “That consistency is why we chose it as our entry point into Florida last year, and a year of operating results has not changed the view. When a market keeps performing, the right response is to own more of it.”
The properties have direct access to I-4, Florida’s Turnpike, John Young Parkway and State Road 408, placing downtown Orlando, Orlando International Airport and the region’s major demand drivers in close proximity. The surrounding residential ring, including Windermere, Doctor Phillips, Winter Park and College Park, gives last-mile and service-based tenants access to a dense, high-income customer base.
Competing supply is scarce. The Silver Star and 33rd Street submarkets together hold just 8.7 million square feet across 192 buildings, have recorded no new deliveries since 2022 and have nothing proposed. Neither offers functional dock-high space divisible to roughly 7,500 square feet, and there are no standalone availabilities above 50,000 square feet.
Central Florida’s tenant base spans defense, aviation, technology, healthcare, tourism and construction, anchored by more than $8 billion in annual defense contracts and the modeling, simulation and training industry. The metro has added more than 284,000 residents since 2020 and ranks first among the 30 largest U.S. metros for job, population and GDP growth, more demand than a constrained pipeline can meet.
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