Regional lender PacWest Bancorp said on Monday it entered into an agreement to sell a portfolio of 74 real estate construction loans with an aggregate principal balance of around $2.6 billion currently outstanding to a subsidiary of Kennedy-Wilson Holdings.

PacWest said in a filing it will also sell an additional six real estate construction loans with an aggregate principal balance of approximately $363 million to Kennedy-Wilson.

The transaction is expected to close in multiple tranches during the second quarter and early part of the third quarter of 2023.