The Firm recently represented KKR Real Estate Select Trust Inc. (“KREST”), a non-diversified, closed-end management investment company, in connection with its public offering of up to $2 billion of common stock, at net asset value. KREST is among the first ever registered investment companies that intends to be taxed as a real estate investment trust for U.S. federal income tax purposes and is the first ever registered investment company to receive exemptive relief from the SEC to pay its investment advisory fees in shares rather than cash.
KREST intends to invest primarily in thematically-driven, income-generating commercial real estate, prime single tenant real estate and private real estate debt and preferred equity interests in the U.S., with a flexible mandate to invest globally, including developed markets in Europe and Asia. KREST is externally managed by KKR Registered Advisor LLC, an affiliate of Kohlberg Kravis Roberts & Co. L.P., a leading global investment firm.
The Simpson Thacher team included Rajib Chanda, Benjamin Wells, Lucie Enns, Hadley Dryland and Justin Guo (Registered Funds); Jennie Getsin (Blue Sky and FINRA); Marcy Geller, Joseph Tootle and Edward Grais (Tax); and Brian Robbins and Jeanne Annarumma (ECEB).