INVESTOR PORTAL
KREST
Performance
Performance Summary
As of December 31, 2024
Net Distribution Rate1
NAV Per Share
Net Returns
| 1-MONTH | 3-MONTH | YTD | 3-YR (Annualized) | ITD* | |
|---|---|---|---|---|---|
| Class I | (0.75%) | (0.28%) | (2.17%) | (2.17%) | 6.34% |
Class I Shares, Class D Shares and Class U Shares are each not subject to a sales load; however, investors may be required to pay brokerage commissions on purchases and sales of Class I Shares, Class D Shares and Class U Shares to their selling agents. “Class U (With Sales Load)” data assumes 3.0% brokerage commission at initial subscription.
Note: Past performance is historical and not a guarantee of future results.
* Performance since inception through date indicated. Class I inception date is July 2, 2020; Class U inception date is June 30, 2021; Class S inception date is September 9, 2022. ITD performance number is annualized if time period is longer than one year. On May 11, 2023, KREST’s outstanding Class D shares were converted to Class I and there were no outstanding Class D shares between May 12, 2023 and September 18, 2023. Class D re-issue inception date is September 19, 2023. Performance is not reported for partial months of activity.
Summary of Share Class I Net Returns
| JAN | FEB | MAR | APR | MAY | JUN | JUL | AUG | SEP | OCT | NOV | DEC | YTD | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2024 | (0.18%) | (0.66%) | (1.20%) | (0.01%) | (0.96%) | 0.74% | 0.13% | 0.01% | 0.23% | 0.09% | 0.39% | (0.75%) | (2.17%) |
| 2023 | 0.54% | (0.96%) | 2.27% | (1.05%) | (2.38%) | (0.96%) | (0.03%) | (0.10%) | 0.34% | (0.62%) | (1.53%) | (1.87%) | (6.25%) |
| 2022 | 1.58% | 3.02% | 3.87% | 3.08% | 0.38% | (0.77%) | (1.98%) | 0.93% | (0.01%) | 0.30% | (1.16%) | (1.03%) | 8.32% |
| 2021 | 0.95% | 0.75% | 7.81% | 0.55% | 1.97% | (1.22%) | 1.88% | 0.71% | 4.86% | 1.24% | 1.43% | 2.74% | 26.06% |
| 2020 | – | – | – | – | – | – | – | – | 2.48% | 1.01% | 0.77% | 0.92% | 5.28% |
Past performance is historical and not a guarantee of future results.
The Fund employs leverage, which increases the volatility of investment returns and subjects the Fund to magnified losses if investments decline in value. There can be no guarantee that current trends will continue. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when repurchased, may be worth more or less than their original cost and current performance may be lower or higher than the performance data quoted.
(1) Net Distribution Rate: Reflects the annualized monthly dividend for December 2024 divided by the month-end NAV for the respective share class. KREST intends to make distributions necessary to maintain its qualification as a real estate investment trust. However, there is no assurance that we will pay distributions in any particular amount, if at all. Any distributions we make will be at the discretion of our board of directors. KREST may pay distributions from sources other than cash flow from operations, including without limitations, the sale of assets, borrowings, return of capital or offering proceeds. For the six months ended June 30, 2024, 85% of KREST’s distributions were funded through adjusted funds from operations (“AFFO”). The Fund defines AFFO as the increase in net assets applicable to common stockholders from operations (calculated in accordance with GAAP), excluding (i) the change in net unrealized (appreciation) depreciation of investments, (ii) amortization premium (accretion of discount) on real estate securities, (iii) amortization of deferred origination fees on real estate loans, (iv) amortization of deferred financing costs, (v) management and incentive fees paid in shares of the Fund and (vi) realized and including undistributed income attributable to the Fund’s unconsolidated subsidiaries. This statement is not an indication of the tax treatment of any KREST distributions. Stockholders will be informed of the tax characteristics of any distributions after the close of KREST’s fiscal year. For the 2023 tax year, 100% of KREST’s distributions were classified as Return of Capital (“ROC”). As of December 31, 2024, the Class I net distribution rate is 6.25%, the Class U net distribution rate is 5.40%, the Class D net distribution rate is 6.00% and the Class S net distribution rate is 5.42%.
Net Returns
| 1-MONTH | 3-MONTH | YTD | 3-YR (Annualized) | ITD* | |
|---|---|---|---|---|---|
| Class U (No Sales Load) | (0.82%) | (0.49%) | (3.00%) | (1.06%) | 2.61% |
| Class U (With Sales Load) | (3.80%) | (3.46%) | (5.92%) | (2.06%) | 1.72% |
Class I Shares, Class D Shares and Class U Shares are each not subject to a sales load; however, investors may be required to pay brokerage commissions on purchases and sales of Class I Shares, Class D Shares and Class U Shares to their selling agents. “Class U (With Sales Load)” data assumes 3.0% brokerage commission at initial subscription.
Note: Past performance is historical and not a guarantee of future results.
* Performance since inception through date indicated. Class I inception date is July 2, 2020; Class U inception date is June 30, 2021; Class S inception date is September 9, 2022. ITD performance number is annualized if time period is longer than one year. On May 11, 2023, KREST’s outstanding Class D shares were converted to Class I and there were no outstanding Class D shares between May 12, 2023 and September 18, 2023. Class D re-issue inception date is September 19, 2023. Performance is not reported for partial months of activity.
Summary of Share Class U (No Sales Load) Net Returns
| JAN | FEB | MAR | APR | MAY | JUN | JUL | AUG | SEP | OCT | NOV | DEC | YTD | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2024 | (0.25%) | (0.72%) | (1.31%) | (0.04%) | (1.03%) | 0.63% | 0.09% | (0.06%) | 0.16% | 0.02% | 0.32% | (0.82%) | (3.00%) |
| 2023 | 0.43% | (1.02%) | 2.20% | (1.09%) | (2.45%) | (1.03%) | (0.10%) | (0.17%) | 0.27% | (0.70%) | (1.60%) | (1.94%) | (7.04%) |
| 2022 | 1.50% | 2.95% | 3.79% | 3.02% | 0.31% | (0.84%) | (2.06%) | 0.86% | (0.08%) | 0.23% | (1.23%) | (1.10%) | 7.40% |
| 2021 | – | – | – | – | – | – | 1.80% | 0.64% | 4.79% | 1.17% | 1.36% | 2.67% | 13.03% |
Past performance is historical and not a guarantee of future results.
The Fund employs leverage, which increases the volatility of investment returns and subjects the Fund to magnified losses if investments decline in value. There can be no guarantee that current trends will continue. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when repurchased, may be worth more or less than their original cost and current performance may be lower or higher than the performance data quoted.
(1) Net Distribution Rate: Reflects the annualized monthly dividend for December 2024 divided by the month-end NAV for the respective share class. KREST intends to make distributions necessary to maintain its qualification as a real estate investment trust. However, there is no assurance that we will pay distributions in any particular amount, if at all. Any distributions we make will be at the discretion of our board of directors. KREST may pay distributions from sources other than cash flow from operations, including without limitations, the sale of assets, borrowings, return of capital or offering proceeds. For the six months ended June 30, 2024, 85% of KREST’s distributions were funded through adjusted funds from operations (“AFFO”). The Fund defines AFFO as the increase in net assets applicable to common stockholders from operations (calculated in accordance with GAAP), excluding (i) the change in net unrealized (appreciation) depreciation of investments, (ii) amortization premium (accretion of discount) on real estate securities, (iii) amortization of deferred origination fees on real estate loans, (iv) amortization of deferred financing costs, (v) management and incentive fees paid in shares of the Fund and (vi) realized and including undistributed income attributable to the Fund’s unconsolidated subsidiaries. This statement is not an indication of the tax treatment of any KREST distributions. Stockholders will be informed of the tax characteristics of any distributions after the close of KREST’s fiscal year. For the 2023 tax year, 100% of KREST’s distributions were classified as Return of Capital (“ROC”). As of December 31, 2024, the Class I net distribution rate is 6.25%, the Class U net distribution rate is 5.40%, the Class D net distribution rate is 6.00% and the Class S net distribution rate is 5.42%.
Net Returns
| 1-MONTH | 3-MONTH | YTD | 3-YR (Annualized) | ITD* | |
|---|---|---|---|---|---|
| Class S (No Sales Load) | (0.82%) | (0.49%) | (3.00%) | – | (5.33%) |
Class I Shares, Class D Shares and Class U Shares are each not subject to a sales load; however, investors may be required to pay brokerage commissions on purchases and sales of Class I Shares, Class D Shares and Class U Shares to their selling agents. “Class U (With Sales Load)” data assumes 3.0% brokerage commission at initial subscription.
Note: Past performance is historical and not a guarantee of future results.
* Performance since inception through date indicated. Class I inception date is July 2, 2020; Class U inception date is June 30, 2021; Class S inception date is September 9, 2022. ITD performance number is annualized if time period is longer than one year. On May 11, 2023, KREST’s outstanding Class D shares were converted to Class I and there were no outstanding Class D shares between May 12, 2023 and September 18, 2023. Class D re-issue inception date is September 19, 2023. Performance is not reported for partial months of activity.
Summary of Share Class S (No Sales Load) Net Returns
| JAN | FEB | MAR | APR | MAY | JUN | JUL | AUG | SEP | OCT | NOV | DEC | YTD | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2024 | (0.25%) | (0.72%) | (1.27%) | (0.04%) | (1.07%) | 0.67% | 0.05% | (0.06%) | 0.16% | 0.02% | 0.32% | (0.82%) | (3.00%) |
| 2023 | 0.47% | (1.02%) | 2.20% | (1.12%) | (2.45%) | (1.03%) | (0.10%) | (0.17%) | 0.27% | (0.70%) | (1.60%) | (1.94%) | (7.04%) |
| 2022 | – | – | – | – | – | – | – | – | (0.20%) | 0.26% | (1.26%) | (1.10%) | (2.29%) |
Past performance is historical and not a guarantee of future results.
The Fund employs leverage, which increases the volatility of investment returns and subjects the Fund to magnified losses if investments decline in value. There can be no guarantee that current trends will continue. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when repurchased, may be worth more or less than their original cost and current performance may be lower or higher than the performance data quoted.
(1) Net Distribution Rate: Reflects the annualized monthly dividend for December 2024 divided by the month-end NAV for the respective share class. KREST intends to make distributions necessary to maintain its qualification as a real estate investment trust. However, there is no assurance that we will pay distributions in any particular amount, if at all. Any distributions we make will be at the discretion of our board of directors. KREST may pay distributions from sources other than cash flow from operations, including without limitations, the sale of assets, borrowings, return of capital or offering proceeds. For the six months ended June 30, 2024, 85% of KREST’s distributions were funded through adjusted funds from operations (“AFFO”). The Fund defines AFFO as the increase in net assets applicable to common stockholders from operations (calculated in accordance with GAAP), excluding (i) the change in net unrealized (appreciation) depreciation of investments, (ii) amortization premium (accretion of discount) on real estate securities, (iii) amortization of deferred origination fees on real estate loans, (iv) amortization of deferred financing costs, (v) management and incentive fees paid in shares of the Fund and (vi) realized and including undistributed income attributable to the Fund’s unconsolidated subsidiaries. This statement is not an indication of the tax treatment of any KREST distributions. Stockholders will be informed of the tax characteristics of any distributions after the close of KREST’s fiscal year. For the 2023 tax year, 100% of KREST’s distributions were classified as Return of Capital (“ROC”). As of December 31, 2024, the Class I net distribution rate is 6.25%, the Class U net distribution rate is 5.40%, the Class D net distribution rate is 6.00% and the Class S net distribution rate is 5.42%.
Net Returns
| 1-MONTH | 3-MONTH | YTD | 3-YR (Annualized) | ITD* | |
|---|---|---|---|---|---|
| Class D (No Sales Load) | (0.77%) | (0.34%) | (2.42%) | – | (4.87%) |
Class I Shares, Class D Shares and Class U Shares are each not subject to a sales load; however, investors may be required to pay brokerage commissions on purchases and sales of Class I Shares, Class D Shares and Class U Shares to their selling agents. “Class U (With Sales Load)” data assumes 3.0% brokerage commission at initial subscription.
Note: Past performance is historical and not a guarantee of future results.
* Performance since inception through date indicated. Class I inception date is July 2, 2020; Class U inception date is June 30, 2021; Class S inception date is September 9, 2022. ITD performance number is annualized if time period is longer than one year. On May 11, 2023, KREST’s outstanding Class D shares were converted to Class I and there were no outstanding Class D shares between May 12, 2023 and September 18, 2023. Class D re-issue inception date is September 19, 2023. Performance is not reported for partial months of activity.
Summary of Share Class D Net Returns
| JAN | FEB | MAR | APR | MAY | JUN | JUL | AUG | SEP | OCT | NOV | DEC | YTD | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2024 | (0.20%) | (0.68%) | (1.26%) | 0.01% | (0.98%) | 0.68% | 0.14% | (0.01%) | 0.21% | 0.06% | 0.37% | (0.77%) | (2.42%) |
| 2023 | 0.48% | (0.97%) | 2.25% | (1.04%) | (2.40%) | (0.98%) | (0.05%) | (0.12%) | 0.32% | (0.64%) | (1.59%) | (0.01%) | (3.89%) |
| 2022 | – | – | 3.06% | 3.10% | 0.33% | (0.78%) | (1.98%) | 0.91% | (0.03%) | 0.28% | (1.18%) | (1.05%) | 2.56% |
Past performance is historical and not a guarantee of future results.
The Fund employs leverage, which increases the volatility of investment returns and subjects the Fund to magnified losses if investments decline in value. There can be no guarantee that current trends will continue. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when repurchased, may be worth more or less than their original cost and current performance may be lower or higher than the performance data quoted.
(1) Net Distribution Rate: Reflects the annualized monthly dividend for December 2024 divided by the month-end NAV for the respective share class. KREST intends to make distributions necessary to maintain its qualification as a real estate investment trust. However, there is no assurance that we will pay distributions in any particular amount, if at all. Any distributions we make will be at the discretion of our board of directors. KREST may pay distributions from sources other than cash flow from operations, including without limitations, the sale of assets, borrowings, return of capital or offering proceeds. For the six months ended June 30, 2024, 85% of KREST’s distributions were funded through adjusted funds from operations (“AFFO”). The Fund defines AFFO as the increase in net assets applicable to common stockholders from operations (calculated in accordance with GAAP), excluding (i) the change in net unrealized (appreciation) depreciation of investments, (ii) amortization premium (accretion of discount) on real estate securities, (iii) amortization of deferred origination fees on real estate loans, (iv) amortization of deferred financing costs, (v) management and incentive fees paid in shares of the Fund and (vi) realized and including undistributed income attributable to the Fund’s unconsolidated subsidiaries. This statement is not an indication of the tax treatment of any KREST distributions. Stockholders will be informed of the tax characteristics of any distributions after the close of KREST’s fiscal year. For the 2023 tax year, 100% of KREST’s distributions were classified as Return of Capital (“ROC”). As of December 31, 2024, the Class I net distribution rate is 6.25%, the Class U net distribution rate is 5.40%, the Class D net distribution rate is 6.00% and the Class S net distribution rate is 5.42%.
Term Sheet
| FUND NAME | KKR Real Estate Select Trust Inc. (“KREST”) |
| FUND STRUCTURE | Non-listed, U.S. registered closed end fund with REIT taxation (’40 Act REIT) |
| INVESTMENT STRATEGY | Thematically invests at least 80% of its net assets (plus the amount of its borrowings for investment purposes) in a portfolio of real estate focused on three primary strategies: (i) thematically-driven stabilized, income-generating commercial real estate, (ii) prime single tenant real estate and (iii) private real estate debt and preferred equity interests In order to provide liquidity for share repurchases, also invests up to 20% of its net assets in securities and cash |
| INVESTOR ELIGIBILITY1 | None |
| SUBSCRIPTIONS/NAVS2 | Daily |
| MANAGEMENT FEE | 1.25% of the average daily value of the Fund’s net assets, payable monthly in arrears |
| INCENTIVE FEE3 | 12.50% of the Fund’s Portfolio Operating Income, payable quarterly (Fees applied only to the income component of the Fund) |
| LIQUIDITY | Quarterly, via tender offer, generally with a 5% cap on re-purchases for any given period, at the Board’s discretion |
| EARLY REPURCHASE FEE | None |
| DIVIDEND REINVESTMENT PLAN | Automatic participation, unless otherwise elected |
| DISTRIBUTIONS4 | Monthly income distributions Realized capital gains paid annually |
| LEVERAGE | Fund level leverage subject to 1940 Act limit of 33 1/3% of the Fund’s assets |
| EXPENSE CAP | The Adviser has agreed, through at least 4/30/2025, to waive its fees and/or reimburse expenses of the Fund so that certain of the Fund’s expenses (“Specified Expenses”)5 will not exceed 0.50% of net assets (annualized) |
| TAX REPORTING | Form 1099-DIV (U.S. Investors) |
| SHARE CLASS SPECIFIC FEES | CLASS S | CLASS U | CLASS I | CLASS D |
|---|---|---|---|---|
| Symbol | KRSSX | KRSOX | KRSTX | KRSDX |
| Minimum Investment | $10,000 | $10,000 | $1,000,000 | $10,000 |
| Upfront Commission6 | Up to 3.0% | None | None | None |
| Dealer Management Fee | 0.50% | None | None | None |
| Distribution Fee | 0.60% | 0.60% | None | None |
| Servicing Fee | 0.25% | 0.25% | None | 0.25% |
Note: For illustrative purposes only, may be subject to change. Certain terms of the Fund are highlighted above. This summary is qualified in its entirety by the more detailed information contained in the applicable Fund’s registration statement and organizational documents, as applicable, and related documentation, all of which should be reviewed carefully and contain additional terms to those included in this summary. These terms are subject to change.
The Fund intends, but is not obligated, to conduct quarterly tender offers for up to 5.0% of the aggregate NAV of its outstanding Common Stock at the applicable NAV per share as of the applicable valuation date. Repurchases will be made at such times and on such terms as may be determined by the board of directors of the Fund, in its sole discretion. However, no assurance can be given that repurchases will occur or that any Common Stock properly tendered will be repurchased by the Fund. Due to these restrictions, an investor should consider an investment in the Fund to be of limited liquidity. Investing in the Fund is speculative and involves a high degree of risk, including the risks associated with leverage and the risk of a substantial loss of investment.
(1) Financial intermediaries may apply more stringent investor qualifications.
(2) The purchase and repurchase price for shares of our common stock will be based on the NAV of each class of common stock and will not be based on any public trading market. Because valuation of properties involves subjective assumptions and projections, our NAV may not accurately reflect the actual price at which our assets could be liquidated on any given day. It also may be difficult to reflect fully and accurately rapidly changing market conditions or material events that may impact the value of our commercial real estate investments between valuations, or to obtain complete information regarding any such events in a timely manner. As a result, our NAV per share may not reflect a material event until such time as sufficient information is available and the impact of such an event on a property’s valuation is evaluated in accordance with our valuation policies.
(3) Incentive fee on adjusted income is calculated and payable quarterly in arrears in an amount equal to 12.50% of the Fund’s Portfolio Operating Income for the immediately preceding quarter. Portfolio Operating Income does not include any component of capital gains or capital appreciation. Please see the Prospectus for a definition of Portfolio Operating Income.
(4) KREST intends to make distributions necessary to maintain its qualification as a real estate investment trust. However, there is no assurance that we will pay distributions in any particular amount, if at all. Any distributions we make will be at the discretion of our Board of Directors. KREST may pay distributions from sources other than cash flow from operations, including without limitations, the sale of assets, borrowings, return of capital or offering proceeds. For the 12 months ended December 31, 2022, 96% of KREST’s distributions were funded through adjusted funds from operations (“AFFO”). The Fund defines AFFO as the increase in net assets applicable to common stockholders from operations (calculated in accordance with GAAP), excluding (i) the change in net unrealized (appreciation) depreciation of investments, (ii) amortization premium (accretion of discount) on real estate securities, (iii) amortization of deferred origination fees on real estate loans, (iv) amortization of deferred financing costs, (v) management and incentive fees paid in shares of the Fund and (vi) realized and including undistributed income attributable to the Fund’s unconsolidated subsidiaries. This statement is not an indication of the tax treatment of any KREST distributions. Stockholders will be informed of the tax characteristics of any distributions after the close of KREST’s fiscal year.
(5) Please refer to the “Management of the Fund—Expense Limitation and Reimbursement Agreement” section of the prospectus for a definition of Specified Expenses.
(6) Class I Shares, Class D Shares and Class U Shares are each not subject to a sales load; however, investors may be required to pay brokerage commissions on purchases and sales of Class I Shares, Class D Shares and Class U Shares to their selling agents. Investors should consult with their selling agents about the sales load and any additional fees or charges their selling agents might impose.
Contact Us
If you are interested in investing in KREST, please contact your financial advisor.
If you are a Financial Professional interested in offering KREST to your clients, please call 888 920 1959 and select Option 2 (please press Option 1 for all other inquiries) or contact us below.